Popular battery stocks of 2019 – LTR, AXE, WKT, BKT

  • Dec 27, 2019 AEDT
  • Team Kalkine
Popular battery stocks of 2019 – LTR, AXE, WKT, BKT

Due to the rising popularity of electric vehicles, the lithium-ion batteries are in great demand. Mining and exploration companies have started to explore popular battery miners like graphite, lithium, cobalt etc.

 

Battery minerals like graphite is utilized in traditional industries including refractory and foundry, expandable graphite, carburization, graphite shapes and lubricants.  As a result of the above-mentioned scenario, investors are keeping a close track on batteries stocks.

Liontown Resources Limited (ASX: LTR)

Australian lithium company Liontown Resources Limited (ASX: LTR) has been conducting drilling programs at its 100%-owned Kathleen Valley Lithium-Tantalum Project for quite some time now. From these programs the company has rapidly elevated its Project to become the 5th largest hard rock lithium resource in Australia.

The company recently reported outstanding results from the ongoing resource expansion drilling program at the project which confirmed the continuity of the northern part of the Kathleen Valley mineralised system, highlighting the potential of the project to substantially increase the current Mineral Resource of 74.9Mt @ 1.3% Li2O and 140ppm Ta2O5, already Australia’s 5th largest lithium deposit.

These results follow the release of a highly positive Pre-Feasibility Study which, based on a maiden Ore Reserve of 50.4Mt @ 1.2% Li2O and a mining rate of 2Mtpa, indicates an NPV (Net Present Value) of $507 million, a 26-year mine life and free cash flow of $1.9 billion(excluding tantalum credits) over the life of the mine.

The company will use the results from the current phase of drilling to prepare an updated MRE (Mineral Resource estimate), which will then form the basis for a Definitive Feasibility Study.

The company believes that it will be the next generation of hard rock lithium producers, with the development of Kathleen Valley to a standalone mine perfectly aligned with the forecast resurgence of the lithium-ion battery sector over the coming decade.

Notably, on YTD basis, LTR stock has provided a return of 214.02% to its shareholders. On 27 December 2019, LTR stock was trading at $0.088 (at AEDT 1:28 PM) with a market cap of $137.21 million.

Archer Materials Limited (ASX: AXE)

Archer Materials Limited (ASX: AXE) has been making significant progress in the building of an industry-leading Materials Technology company.

The company recently announced that its Share Purchase Plan was closed on 6 December 2019 and it has received total SPP application funds of $1,992,600.

The company recently completed aircore drill program at its 100% owned Franklyn Halloysite-Kaolin Project, wherein, a total of 21 holes were drilled with almost all holes intersecting the target mineralisation.

The company is uniquely positioning to meet global markets’ needs through a number of key strengths, which include:

·         Strong, globally filed patents protecting credible, internationally validated disruptive technology & IP;

·         World-class in-house expertise, with pioneers in nanotechnology leading Archer’s projects;

·         Access to over $300 million of state-of-art R&D infrastructure to build and test technology products;

·         A diverse advanced materials inventory for rapid device prototyping and integration.

In the last six months, AXE stock price increased by 80.23% on ASX. On 27 December 2019, AXE stock was trading flat at a price of $0.155 with a market cap of around $32.93 million. It is to be noted that the stock is trading near to its 52 weeks high price of $0.160.

The below-mentioned stocks are graphite producers. Before knowing more about these stock, let us know more about Graphite first.

What is Graphite?

Graphite is a grey crystalline allotropic form of carbon which is popular for its electrical conductivity, lubrication and resistance to corrosion and high temperatures. Graphite ore is mined and processed through crushing, grinding and flotation before being dried and classified into high grade concentrate for sale to end users.

Graphite concentrate varies by the concentrate grade and the flake sizes of the graphite. Larger flake size graphite concentrate receives a premium and a higher price per tonne.

Walkabout Resources Limited (ASX: WKT)

Over the last year, Walkabout Resources Limited (ASX: WKT), an emerging graphite company, has remained focussed on moving its Lindi Jumbo graphite project in south east Tanzania towards development.

Merits of Lindi Jumbo Graphite Project

Having implemented a funding strategy two years ago, the company been able to maintain momentum, and achieve a number of important milestones. These milestones include:

·         Updating significantly the Definitive Feasibility Study, to include a life of mine grade of 17.9% TGC;

·         Finalising and funding the Relocation Assistance Program to relocate over 730 farmers;

·         Initiate the Early Start EPC Contract which involved the procurement and manufacture of long lead equipment with our partner Jinpeng Engineering, and start the on-site earth works;

·         Signing of two binding offtake term sheets and an additional sales, purchase and marketing Agreement covering all annual production.

The company is in the process of conducting an international funding process to raise USD 40 million to fund the development of Lindi Project.

On YTD basis, WKT stock has provided a return of 106.52% to its shareholders. On 27 December 2019, WKT stock was trading at a price of $0.195 with a market cap of around $62.15 million.

Black Rock Mining Limited (ASX: BKT)

Graphite producer, Black Rock Mining Limited (ASX: BKT) has a 100% interest in the Mahenge Graphite Project which has a JORC compliant Mineral Resource Estimate of 212m tonnes at 7.8% TGC.

In August 2019, the company completed a large-scale spheronising and purification trial to:

·         Validate Black Rock’s Mahenge graphite product in the Chinese market

·         Replicate industry leading spheronising yields achieved previously in Western laboratory trials conducted as part of the Mahenge Pre-Feasibility Study

·         Ensure that industry-leading results obtained in the laboratory were achievable at scale in standard industrial processes; and

·         Demonstrate that the proposed mill flowsheet tested in the March 2019 Chinese Pilot Plant run does not damage the flake.

On 24 December 2019, BKT stock was trading flat at $0.054 with a market cap of around $33.96 million.


Disclaimer

This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice. 

·         Strong, globally filed patents protecting credible, internationally validated disruptive technology & IP;

·         World-class in-house expertise, with pioneers in nanotechnology leading Archer’s projects;

·         Access to over $300 million of state-of-art R&D infrastructure to build and test technology products;

·         A diverse advanced materials inventory for rapid device prototyping and integration.

In the last six months, AXE stock price increased by 80.23% on ASX. On 27 December 2019, AXE stock was trading flat at a price of $0.155 with a market cap of around $32.93 million. It is to be noted that the stock is trading near to its 52 weeks high price of $0.160.

The below-mentioned stocks are graphite producers. Before knowing more about these stock, let us know more about Graphite first.

What is Graphite?

Graphite is a grey crystalline allotropic form of carbon which is popular for its electrical conductivity, lubrication and resistance to corrosion and high temperatures. Graphite ore is mined and processed through crushing, grinding and flotation before being dried and classified into high grade concentrate for sale to end users.

Graphite concentrate varies by the concentrate grade and the flake sizes of the graphite. Larger flake size graphite concentrate receives a premium and a higher price per tonne.

Walkabout Resources Limited (ASX: WKT)

Over the last year, Walkabout Resources Limited (ASX: WKT), an emerging graphite company, has remained focussed on moving its Lindi Jumbo graphite project in south east Tanzania towards development.

Merits of Lindi Jumbo Graphite Project

Having implemented a funding strategy two years ago, the company been able to maintain momentum, and achieve a number of important milestones. These milestones include:

·         Updating significantly the Definitive Feasibility Study, to include a life of mine grade of 17.9% TGC;

·         Finalising and funding the Relocation Assistance Program to relocate over 730 farmers;

·         Initiate the Early Start EPC Contract which involved the procurement and manufacture of long lead equipment with our partner Jinpeng Engineering, and start the on-site earth works;

·         Signing of two binding offtake term sheets and an additional sales, purchase and marketing Agreement covering all annual production.

The company is in the process of conducting an international funding process to raise USD 40 million to fund the development of Lindi Project.

On YTD basis, WKT stock has provided a return of 106.52% to its shareholders. On 27 December 2019, WKT stock was trading at a price of $0.195 with a market cap of around $62.15 million.

Black Rock Mining Limited (ASX: BKT)

Graphite producer, Black Rock Mining Limited (ASX: BKT) has a 100% interest in the Mahenge Graphite Project which has a JORC compliant Mineral Resource Estimate of 212m tonnes at 7.8% TGC.

In August 2019, the company completed a large-scale spheronising and purification trial to:

·         Validate Black Rock’s Mahenge graphite product in the Chinese market

·         Replicate industry leading spheronising yields achieved previously in Western laboratory trials conducted as part of the Mahenge Pre-Feasibility Study

·         Ensure that industry-leading results obtained in the laboratory were achievable at scale in standard industrial processes; and

·         Demonstrate that the proposed mill flowsheet tested in the March 2019 Chinese Pilot Plant run does not damage the flake.

On 24 December 2019, BKT stock was trading flat at $0.054 with a market cap of around $33.96 million.


Disclaimer

This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice. 

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