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Juniors Head to Ontario as Flake Graphite Prices Flag

Tuesday July 16, 2013, 4:30am PDT
By Charlotte McLeod - Graphite Investing News
Despite the fact that demand for flake and synthetic graphite continues to grow, flake graphite prices are nearly half what they were between mid-2011 and early 2012, a new report from Roskill Information Services states.
While that could spell trouble for companies developing new graphite deposits, Roskill notes that those able to understand the market, find promising end users and arrange purchase agreements should flourish.
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Other factors at play in the graphite market, according to the report, include the possibility that China may choose to consolidate its flake graphite industry and the fact that synthetic graphite production is rising. Roskill also states that those interested in the market should be aware that lithium-ion battery anodes may become a significant source of both synthetic and flake graphite demand by 2016.
Graphene could speed up the internet
While “wonder material” graphene has already been pointed to as able to revolutionize the telecommunications industry, recently researchers from the Centre for Graphene Science at the universities of Bath and Exeter have presented new findings on the topic.
In a report published in Physical Review Letters, they explain that while optical switches normally respond at a rate of “around a trillionth of a second,” the response rate of switches using few-layer graphene is almost a hundred times faster, a press release from the University of Bath states.
The significance? The researchers believe that the discovery could “dramatically accelerate internet speeds,” a prospect that is bound to be appealing to many.
Junior company news
Ontario-based Zenyatta Ventures (TSXV:ZEN) has garnered much attention on Graphite Investing News of late, rising to the forefront after comments from Mickey Fulp sparked debate and staying in focus after CEO Aubrey Eveleigh came forward with a rebuttal. The release of drill results from the East Pipe of the company’s Albany graphite deposit have also kept investors’ eyes glued to the stock. However, in the past week, several companies working near Zenyatta have stolen some of the spotlight.
One such company is Brookemont Capital (TSXV:BKT), a Canadian graphite junior that last Tuesday entered into an agreement to wholly acquire the Albany East prospect, which is “prospective for hydrothermal (vein) graphite” and “directly borders” Zenyatta’s property, a company press release states.
Since then, Brookemont has revealed that a “significant geophysical magnetic low anomaly” is present at the prospect. Conrad Clemiss, the company’s president, commented that work will soon begin to ascertain whether the anomaly has a “similar constitution” to the ones on Zenyatta’s property. Shares of the company are now up 10 percent, trading at $0.055.
Another company that has set up shop near Zenyatta is Cavan Ventures (TSXV:CVN), which, just days after Brookemont’s announcement, acquired the CAGE claims; they cover 768 hectares and adjoin Albany’s eastern edge, according to the company’s press release. Cavan can earn a 100-percent interest in the claims if it pays “$15,000 within ten days of signing and issue[s] 3 million shares within 15 days of receiving regulatory approval.” It must also raise at least $400,000 via a private placement within 60 days.
Finally, yesterday, TAD Mineral Exploration (TSXV:TJ) acquired the Constance Lake hydrothermal graphite prospect, another property that borders Zenyatta’s, noting that it is made up of 16 claims that constitute an area of about 635 acres. Interestingly, Constance Lake is not the only one of TAD’s prospects situated at a hot location — it also holds the Iskut copper-gold prospect near Colorado Resources’ (TSXV:CXO) North Rok discovery in addition to a prospect near the Patterson Lake South discovery in Saskatchewan’s Athabasca Basin.
TAD rose 60 percent, to $0.04, following the acquisition.
Also working near a company that has gained attention in recent weeks is Triton Minerals (ASX:TON), which announced last week that further mapping, soil sampling and trenching is taking place at its Balama North and Ancuabe projects, both located in Mozambique. The company’s website notes that Balama North is near Syrah Resources‘ (ASX:SYR) Balama graphite-vanadium project, which “contains, by far, the largest known graphite resource in the world,” according to a recent news release from Syrah.
Triton also said it has received two further exploration licenses for Ancuabe and will begin drilling at Balama North next week.
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