GREY:BNCIF - Post by User
Post by
MrChion Jan 10, 2014 4:45am
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Post# 22076993
Canadian Graphite Juniors See Increased Interest
Canadian Graphite Juniors See Increased Interest Mineweb reported that this month there has been a “massive pick-up of interest in Canadian graphite juniors,” particularly Lomiko Metals Inc. (TSXV:LMR) and Berkwood Resources Ltd. (TSXV:BKR). As yet it is uncertain whether the trend will continue.
As quoted in the market news:
Can you pinpoint a single reason for the run up in junior graphite names? My take is that as junior valuations scrape new bottoms – graphite names with them – overall optimism about the future of the graphite sector has picked up.
For example, there’s been a fair bit of digital ink dispensed on the technological potential of graphene – touted as revolutionary in applications such as screens, though its potential effect on graphite demand would seem to be limited as a super thin application of carbon. Meantime – perhaps with more realistic implications for graphite prices – there has recently been a report on declining supply from graphite mines in China by Industrial Minerals, which reported December 16 that a major graphite producer in China would be shutting down. In turn that, Industrial Minerals suggested, could push up near term graphite prices. In this environment, I wonder if speculative money considers graphite juniors beaten up and worth betting on.