RNU - GRAPHITE and Lithium OPPORTUNITY

[Scrunch]

The ride continues - Revenue target $1B +?
"28 March 2022
SiviourBattery Anode Material Project-
ProjectUpdate
Advancing toward final investment decisionfor the world’s first integrated,in-countrymine and PurifiedSpherical Graphiteoperation outside of China Renascor Resources Limited (ASX: RNU) (Renascoror theCompany) is pleased to provide the following update for its 100%-owned Siviour Battery Anode Material Project (theProject) in South Australia.
Project Development:
•Work is progressing onan updated, optimisedBattery Anode Materials Study1(BAM Study), building on previous detailed feasibility work undertaken byRenascorfor theplanned vertically integrated mine and advanced manufacturing operation in SouthAustralia.GR Engineering Services(ASX: GNG)isacting asstudy manager and engineering designer.
•TheoptimisedBAM Study will incorporatematerial improvements to the mineral processing parametersadoptedin the earlier study, includingincreases in spherical graphite milling yields and improvements to both the Graphite Concentrate flotation3and downstream purificationcircuits.As part of the optimised BAM Study, the final operating parameters will be determined.
•TheoptimisedBAM Study is assessing anincrease in Purified Spherical Graphite (PSG) production capacity,as well as additionalstaged expansionsofPSG operations in order to meet projected demand.Studies to date had considered an initial Stage 1 production capacity of28,000tpaPSG.
Financing:
•In February 2022the Australian Government, through Export Finance Australia (EFA),conditionally approved an A$185 million loan facility to support the development of the Project5.
•The Company and EFA aretargeting to conclude formal loan facility and security documentation in mid-2022.
GraphiteMarket and Offtake:
•Purified Spherical Graphite (PSG), which is used in the production of anodes for lithium-ion batteries, is experiencingfurther substantialupward priceimprovement, withFastmarkets reportingPSG prices of US$3,500 to US$3,800 per tonne, a 40% increase over the last six months6and-194mesh (a commonfeedstock for PSG) increasing by 48% to US$830 per tonneover the same period.
•Positive offtake discussionsare continuingwith parties7from Korea, Japan and China, with indicative demand of in excess of 60,000tpa of PSG, far outstripping
proposed Stage 1 production capacity"

You might have a decimal place wrong.
US$3,500 * 28,000 = US$98,000,000. This is very close to US$100m but its a long way from $1B. Yes here will be sales for the non-processed graphite but those are likely to average US$1,000-1,500/t.