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Northern Graphite Corp V.NGC

Alternate Symbol(s):  NGPHF

Northern Graphite Corporation is a Canada-based flake graphite producing company. The Company is focused on producing natural graphite and upgrading it into high-value products critical to the green economy, including anode material for lithium-ion batteries/electric vehicles (EVs), fuel cells and graphene, as well as advanced industrial technologies. Its mining operations include Lac des Iles, Okanjande and Bissett Creek. Its products include Flake Graphite Products and Porocarb Products. The Lac des Iles (LDI) mine is the only flake graphite producer in North America. The LDI mine is located approximately two kilometers south of Lac-des-Iles, Quebec, 110 kilometers (km) northeast of Ottawa and 180 km northwest of Montreal. The Okanjande mining is located in Namibia, one of Africa's finest mining jurisdictions. It holds a 100% interest in the Bissett Creek Project, which is located around 15 km from the Trans-Canada Highway between the towns of Deep River and Mattawa, Ontario.


TSXV:NGC - Post by User

Bullboard Posts
Post by thekernelon Aug 04, 2011 12:57am
486 Views
Post# 18902071

Comparisons

ComparisonsDiscussion is a good as long as its for knowledge and DD and is not personal.

It is obvious that FMS has lower cost per tonne of concentrate due to grade.  But must consider revenue per tonne to evaluate margin which is most important number.  One tonne of NGC concetrate, all large flake, sells for $2,500/t, costs are $1,000/t and margin $1,500.  FMS concentrate 20% large flake, 20% medium and 60% -150 mesh.  Price is $1,250/t, costs $350/t and margin $900/t.  Lower margin mean lower cash flow and lower NAV.

I use price of $600/t for -150 because it cannot be used for batteries, graphene etc., will go oversupply as new mines like Lac Knife built and may be difficult to sell as happen often in past.

Must also relate margin/CF to shares outstanding (NGC 31M, FMS 77M) and amount of annual prodcution that can be made into anode material and increase price (NGC -20,000t, FMS - 8,000t).
Bullboard Posts