RE: RE: disagree... What are you people on? How is this anything but a positive sell on FMS? It is a wake up call for the other high cost hopefuls but for FMS this is pure gold. Read between the lines and relax guys. And Espagnol, for many of us longs we don't look as this as a quick flip junior, we look at this as a long term investment.
For example, battery manufacturers’ costs in 2012 for graphite anode material was approximately $5,000/tonne. The electric vehicle market needs one of two things to be successful: - Either the price per tonne of anode materials needs to be pared back to the $1500/tonne range, or; - The same anode needs to be capable of producing four times more energy capacity.
It is possible to achieve both. Customers are demanding better prices in order to be globally competitive over the next five to 10 years.
Competitive necessity requires producers to have the in-house capability of matching customers niche, technical requirements. Purification outsourcing adds additional cost layers.
The challenge going forward today is to protect both shareholders and business operations from external risk.
Risk protection to us is based upon a four point formula:
- Know your customers’ needs. Secure them with quality product and competitive prices
- Invest, then continue to invest in the creation of new and existing cost-mitigating technologies
- Leverage the advantage of your graphite deposit by creating a cutting edge, high technology graphene business component,
- Expand your high-grade graphite assets - domestically and globally - to support your long-term, competitive market position
Pursuing a technology agenda means sustainable, long-term profitability.