How was your weekend?
Some very interesting news out of China over the weekend.
The country will bring in requirements for export permits for some graphite products in an effort to protect its national security, said the country’s commerce ministry on Friday.
China is the world’s top graphite producer (90% of the global market) and the raw material is essential for EV batteries.
According to the International Energy Agency, graphite demand is expected to rise by 20-25 times in the 2020-40 period.
While policymakers appear to weaponise their natural resources and products, the rising sale of electric vehicles is making automakers race to lock in supplies from outside China, to avoid upset supply chains, increased costs and disrupted production.
This policy will place a premium and focus on graphite producers outside of China.
We feel Volt Resources ASX:VRC (with the worlds third largest battery grade graphite resource) is well positioned to ride this trend.
Across markets
Treasurer Jim Chalmers has been told by officials that the weak Australian dollar is exacerbating the pain from a global spike in oil prices, which is keeping inflation from cooling enough to avoid a potential Cup Day interest rate increase.
Ahead of Wednesday’s crucial inflation report that could support the case for further monetary tightening, Australian shares were set to fall 0.9 per cent on Monday after stocks suffered the worst week in four weeks in response to the Israel-Hamas conflict and dwindling expectations for global growth.
The September quarter consumer price index is poised to advance 1.1 per cent from the June quarter, and slow to 5.3 per cent on the annual measure.
According to calculations by Treasury, petrol prices rose more than 7 per cent in the September quarter, adding around 0.25 percentage points to inflation from the previous quarter.
Market highlights
- ASX futures down 65 points or 0.9% to 6846 near 6am AEDT
- AUD +0.1% at US63.20¢
- Bitcoin -1.0% at $US29,912
- Dow -0.9% S&P -1.3% Nasdaq -1.5%
- FTSE -1.3% DAX -1.6% CAC -1.5%
- Gold +0.4% to $US1981.40 an ounce
- Brent oil -0.2% to $US92.16 a barrel
- Iron ore -3.7% to $US112.65 a tonne
Source: AFR
Powered by the Japanese Economic Miracle, the Pilbara was opened to iron ore mining in the 1960s.
In 1964 Rio Tinto’s (ASX:RIO) Hamersley Iron signed its first deal to supply £270 million worth of iron ore to Japanese steel mills — 65.5Mt over 16 years.
By 1966 that ore was on the water after 18 months building the Tom Price mine and the towns of Dampier and Tom Price, along with hundreds of kilometres of rail and a new port.
Today, almost 60 years later, Rio now runs the largest iron ore export operation in the world, on track to hit above the mid-point of its guidance of 320-335Mt in 2023.
Last week Stockhead, along with a host of national and international media, went under the hood at the business, which a rush of automation in the past decade has turned into a virtual machine.
Today iron ore, which has been sold under an open spot market assessed by pricing agencies since 2010, pays around US$113/t.
Rio shipped 161.7Mt in the first half of 2023, well over double the quantity committed to in that initial contract. It did so at US$21.20/t – though it hopes to get that back to US$20/t in the coming years as it attempts to ramp up output to around 360Mtpa.
That has risen US$6/t in recent years and places Rio higher on the cost curve than its immediate competitors BHP (ASX:BHP) and Fortescue (ASX:FMG).
Source: Stockhead
Company: Alderan Resources (ASX:AL8)
Sector: Lithium
Deal Type: Placement
Raise Amount: $1.75M
Latest Entry Price: $0.006 with a 1:2 AL8OA
Today’s Price Change: $0.011 -8.33%
Company: Terra Uranium (ASX:T92)
Sector: Uranium
Deal Type: IPO
Raise Amount: $7.5M
Latest Entry Price: $0.20
Today’s Price Change: $0.13 Unchanged
Company: Patagonia Lithium (ASX:PL3)
Sector: Lithium
Deal Type: IPO
Raise Amount: $8.6M
Latest Entry Price: $0.20
Today’s Price Change: $0.15 Unchanged
Company: Gold Mountain Limited (ASX:GMN)
Sector: Lithium
Deal Type: Placement
Raise Amount: $2.25M
Latest Entry Price: $0.0075
Today’s Price Change: $0.0055 +10.00%
Company: Unith Ltd. (ASX:UNT)
Sector: AI/ChatGPT
Deal Type: Placement
Raise Amount: $4.5M
Latest Entry Price: $0.033 with a 1:1 UNTO
Today’s Price Change: $0.022 -4.35%
Company: Volt Resources Ltd. (ASX:VRC)
Sector: Battery Metals
Deal Type: Placement
Raise Amount: $5.75M
Latest Entry Price: $0.011
Today’s Price Change: $0.008 Unchanged
Company: Castle Minerals Ltd. (ASX:CDT)
Sector: Battery Metals/Base Metals
Deal Type: Placement
Raise Amount: $1.52M
Latest Entry Price: $0.02 with a 2:3 CDTOA
Today’s Price Change: $0.009 -5.26%
Company: Avenira Ltd. (ASX:AEV)
Sector: Phosphate
Deal Type: Placement
Raise Amount: $2.1M
Latest Entry Price: $0.01 with a 1:2 AEVO
Today’s Price Change: $0.011 Unchanged
Company: Latrobe Magnesium Ltd. (ASX:LMG)
Sector: Magnesium
Deal Type: Placement
Raise Amount: $3M & $11.5M
Latest Entry Price: $0.10 with a 1:4 LMGO
Today’s Price Change: $0.0415 -1.19%
Company: Askari Metals Ltd (ASX:AS2)
Sector: Mining
Deal Type: IPO
Raise Amount: $5.7M
Latest Entry Price: $0.35 with a 1:3 AS2O
Today’s Price Change: $0.19 +2.70%
Company: iCandy (ASX:ICI)
Sector: Gaming & Digital Advertising
Deal Type: Placement
Raise Amount: $1.25M
Latest Entry Price: $0.02 with a 1:1 ICIOB
Today’s Price Change: $0.035 Unchanged
Company: Fatfish Group (ASX:FFG)
Sector: Fintech
Deal Type: Placement
Raise Amount: $1.5M
Latest Entry Price: $0.015 with a 1:2 FFGOA
Today’s Price Change: $0.01 -9.09%
Company: Paradigm Biopharma (ASX:PAR)
Sector: Biopharma
Deal Type: IPO Cornerstone
Raise Amount: $1M+
Latest Entry Price: $0.35
Today’s Price Change: $0.65 -5.80%
Company: ReNu Energy Limited (ASX:RNE)
Sector: Energy
Deal Type: Placement
Raise Amount: $1.46M
Latest Entry Price: $0.06 with a 1:1 RNEO
Today’s Price Change: $0.028 +7.69%
Company: Carly Holdings Ltd (ASX:CL8)
Sector: AI and Car subscription
Deal Type: Placement
Raise Amount: $1.25M
Latest Entry Price: $0.025 with a 1:2 CL8O
Today’s Price Change: $0.016 -15.79%
Company: Avecho Biotechnology (ASX:AVE)
Sector: CBD
Deal Type: Placement
Raise Amount: $5M
Latest Entry Price: $0.006 with a 3:2 AVEOA
Today’s Price Change: $0.004 -11.11%
Company: ECS Botanics Holdings Ltd (ASX:ECS)
Sector: Medicinal Cannabis
Deal Type: Placement
Raise Amount: $6.6M
Latest Entry Price: $0.033 with 1:2 ECSO
Today’s Price Change: $0.023 Unchanged
If you would like more information on future Peak deals, please don’t hesitate to get in touch.
Peak on 1300 304 460
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