Graphite junior Syrah shares soar on possible Glencore deal
PERTH (miningweekly.com) – The share price of ASX-listed Syrah Resources spiked 28% on rumours that it had become the takeover target of mining major Glencore.
Speculation arose on Thursday that Glencore had made a $2-billion takeover offer for Syrah, which was advancing its Balama graphite project, in Mozambique.
While Glencore was not willing to comment on the speculation, Syrah told the ASX in response to a price query that the company from “time to time” received informal, confidential and nonbinding enquiries from various parties.
However, Syrah said that none of these enquiries had progressed to formal discussions or resulted in any indicative offer.
A scoping study for the Balama West graphite project placed a $91.6-million price tag on the development of a 1.2-million-tonne-a-year mine in Mozambique. The operation would have an initial seven-year mine-life.
Syrah recently signed a memorandum of understanding (MoU) with global supplier Asmet UK for an offtake of between 100 000 t/y and 150 000 t/y of graphite from the Balama project, over an initial five years.
An MoU was also signed with Chalieco for a further 80 000 t/y to 100 000 t/y offtake.
Syrah shares were trading at a high of A$5.61 on Thursday, up from a low of A$4.80 a share and the previous day’s closing price of A$4.29.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation