Here is something from Chief on TCC...I have huge respect for this guy!

First of all, Graphite is becoming scarce, graphite that is, at high purity levels. High purity levels of Vein type Graphite have always been in short supply and purity. This is what created the 40,000 tonne per year of synthetic graphite at 99.9% or greater purity. The entire synthetic market is 1.5million tonnes, but lets just look at the area that we know NO ONE else can compete with us. Thats the 99.9% 40,000 tonne purity market.

The Synthetic market was established because there was a need for high purity vein type graphite but none existed above 97%..... till now.

I know there is a huge controversy over what Synthetic sells for but, there is no question that synthetic at 99.9% sells for the most.

Ashbury Inc, is one of the largest providers of Synthetic and of course has minimized the pricing so anyone enquiring would not realize that anyone that gets into their face like ZEN will literally put them out of Business.

The day that ZEN starts producing, we can takeover the entire 40,000 tonnes of 99.9%+ Synthetic market. There will be no middleman, we just ship out our 99.96% stuff and thats the end of the synthetic producers at that purity level.

I don't care what number you use for Synthetic, all I can tell you is the producers of synthetic Graphite, days are numbered.

Lets suppose we stick with "just synthetic" and presuppose the following things.

The market is 40K tonnes and is not growing larger every year (it is)
The cost to create synthetic for most synthetic producers is around $7000-$10,000 (it is)
Lets suppose they get $30,000 a tonne for 99.9% or greater (they do) but its a floating market.

40,000 tonnes @ $30,000 is $1.2billion thats the entire market at the moment. Which we will OWN.

ZEN can produce 99.96 for less then $2500 a tonne.
That means that ZEN would make $1.1billion after expenses for the "40Ktonne synthetic market"

Lets suppose by the time we got to producing we have 100million shares FD. That means from the synthetic market alone we are making $11.00 a share per year EPS.

Now, lets assume a 10 multiple? Thats a fair multiple. That would be $110.00 per share.

So lets go backwards now, Lets suppose $20,000 per tonne? Well thats equal to about $70.00 a share with same multiple applied

Well lets go backwards more $10,000 a tonne!! Well thats $35.00 a share with same multiple applied

Thats outrageous you can't use $10,000 a tonne, use $7,000 a tonne!! Okay thats $28 a share with same multiple applied!!!

How low would you like me to go ??

Now, lets assume we can produce 100K tonnes per year? And the Synthetic market is getting progressively bigger

See what I mean? So don't be in big hurries to unload before you give this greater and greater thought.

We feel the only assumption here is the $2500 per tonne, in the NR they said they found a "cheaper way" to do it, so assume maybe $2000 or less, then what happens to EPS?

No matter what happens, the Synthetic Graphite Industry will not like losing their market. I would suspect they will be the first to attempt a Hostile takeover of ZEN as time progresses.

So for the longterm investor, I don't think you should be worrying about getting to $5.00


Part 3

Lets now add in the entire Synthetic market above 99.5%, we think thats somewhere around 250,000 tonnes a year.

so lets suppose we take the entire 100K tonnes and refine at only 99.5% and get $7000, with costs at $2000 to refine and operate.

So we pocket $5000 x 100,000 tonnes= $500,000,000
With a 100million shares FD thats $5.00 a share.
10 multiple? Thats fair! Thats $50.00 a share

I don't care pick any combo above 99% or greater and us producing at least 100k tonnes per year for a minimum of 10 years then assume we go for the 40K tonne market first that pays the most!!
Try to get this stock below $50 a share! I dare you