Magnis Quarterly Activities Report to 31 March 2020

Magnis Energy Technologies (ASX:MNS) is pleased to present its Quarterly Activities Report for the period ended 31 March 2020.

HIGHLIGHTS

  • Magnis partner, US lithium-ion battery technology group, Charge CCCV (“C4V”), fulfilled another commercial agreement with MARTAC to be deployed in its high tech, mission critical applications along with new lithium-ion cell data.
  • Magnis will increase its shareholding in the iM3 New York Battery Plant, following further investment made into the project.
  • Magnis announced future reductions of non-essential operating expenses, in light of current market conditions caused by the COVID-19 pandemic, resulting in cash savings of approximately $1.3 Million per annum.

Magnis Energy Technologies Ltd (“Magnis” or the “Company”) (ASX:MNS) is pleased to present its Quarterly Activities Report for the period ended 31 March 2020.

OPERATIONAL UPDATES

Major Battery Advancements

On 3 February 2020, the Company announced that Magnis partner, US lithium-ion battery technology group, Charge CCCV (“C4V”), had fulfilled another commercial agreement with MARTAC to be deployed in its high tech, mission critical applications along with new lithium-ion cell data.

MARTAC is an innovative provider of the MANTAS line of Unmanned Surface Vehicles (USV) for several industries including security, commercial and scientific missions and markets. MANTAS integrate with a wide array of sensors and communication technologies and operate in diverse maritime environments where other manned and unmanned systems cannot.

Following a two-year collaboration, C4V was able to demonstrate the ability of their BMLMP technology, which has led to another order from MARTAC, following a significant multi-year order from The United Kingdom Government. The batteries provided to MARTAC are in the same form as batteries that are planned to be produced from the iM3NY Gigafactory in New York.

MARTAC conducted critical test protocols to qualify C4V cells, followed by the design of battery packs for harsh environment and extreme load applications. Upon successful completion in 2019, C4V was given the opportunity to supply more FiresafeTM batteries to be integrated in MARTAC’s fully autonomous high-end maritime vessels.

Magnis remains a 10% shareholder of C4V.

Increases Ownership in the New York Lithium-ion Battery Plant

On 16 March 2020, Magnis announced that the Company will increase its shareholding in the New York Battery Plant, following further investment made into the project through the US based entity, Imperium 3 New York LLC (iM3NY).

Under the terms of the investment transaction, Magnis will acquire Boston Energy and Innovation Pty Limited’s (BEI) entire holdings in iM3NY as well as Boston Opportunities interest in iM3NY. The consideration for the shareholding is US$350,000, with funds to be paid by 30 June 2020. An additional US$150,000 bonus payment is to be paid to BEI, on the condition that iM3NY successfully secures project finance or a joint venture agreement with an offtake partner for the iM3 New York Battery Plant, within a twelve month period.

At the completion of the investment transaction, Magnis will hold a 53.39% direct holding in iM3NY. C4V will have a direct holding of 45.17%, with Primet Precision Materials Inc and C&D Assembly Inc the remaining holders.

As announced on 30 September 2019, iM3NY equipment was independently valued at US$71.34 Million (A$115.5 Million) by O’Brien & Gere, a wholly owned subsidiary of Dutch engineering giant Ramboll Group.

Townsville Battery Plant

The ownership structure in the iM3 Townsville (iM3TSV) entity that owns the planned Lithium-ion battery plant for Townsville remains unchanged. BEI, C4V and Magnis each own an equal one third interest in iM3TSV. The Townsville Battery Manufacturing Feasibility Study was submitted to the Queensland Government in late 2019, and iM3TSV looks forward to the next stage of attaining suitable project funding for the development.

Reduction in Operating Costs

Although occurring after the reporting period, on 1 April 2020 Magnis announced a future reduction in non-essential operating expenses in light of current market conditions caused by the COVID-19 pandemic, resulting in cash savings of approximately $1.3 Million per annum.

The contributors to the savings include directors’ fees being deferred for Board members and salary reductions to some members in the executive management team.

Commenting on the quarter, Magnis Chairman, Frank Poullas, said: “The March quarter was a quieter period for the Company with temporary lockdowns across the jurisdictions in which the Company operates, however importantly during the quarter, partner C4V fulfilled another agreement with MARTAC. Magnis also increased its shareholding in the iM3 New York Battery Plant, thereby strongly positioning the Company to capitalise on this opportunity post COVID-19.

With the recently announced operating costs to be reduced, the Company will continue to seek cost savings where possible whilst advancing its projects and complying with government regulations in the jurisdictions in which it operates.”

CORPORATE UPDATES

During the quarter, the Company announced that Managing Director, Mr Marc Vogts, had retired from active business. The Board of Directors thanked Mr Vogts for his dedication to Magnis and appointed Mr Leslie Hosking as Interim Managing Director. In February 2020, Mr Hosking and Non-Executive Director, Mr Subhas DeGamia, resigned from The Board of Directors.

At this stage no new Board appointments have occurred and whilst this delayed the final stages of implementing the Company’s Corporate Governance review, an update will soon be provided to the market.

Payments for directors’ fees and entitlements in the normal course of trading and consulting fees to related parties of the entity during the March 2020 quarter totalled $138,000.

As at 31 March 2020, there were approximately 4,900 shareholders of the Company.

This announcement has been authorised for release by the Board of Magnis Energy Technologies Ltd.

Dr Frank Houllis
Chief Executive Officer
Ph: +61 2 8397 9888
www.magnis.com.au

About Magnis

Magnis aims to become a leading global producer of next-generation green credentialed Lithium-Ion Battery (LIB) cells, enabling the future energy requirements of the world, the global storage of renewable energy and electrification of transportation.

Leveraging off a world class graphite asset in Tanzania, associated production IP and a strategy partnership with US based Charge CCV, Magnis will manage an end to end supply chain, sourcing the raw materials and associated technologies for these cells.

Magnis has three core areas of focus which provide the Company with a strategic advantage; battery technologies, gigafactories and graphite.

For further information about Magnis and its projects, please refer to the Company’s website www.magnis.com.au

Click here to connect with Magnis Energy Technologies (ASX:MNS) for an Investor Presentation.

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LMR:CA
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Global News
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Australia isn't a producer of graphite (yet), but three states in the country are home to millions of tonnes of reserves and resources.

Graphite has been growing in popularity in recent years as its applications as a battery mineral are realised, and as the popularity of electric vehicles grows around the world.

A form of carbon, graphite is a good conductor and is invaluable in electronics. It comes in three different forms, each with their own valuable applications in modern technology, making it a sought-after commodity without which supply lines for many industries around the world would grind to a halt.

Graphite isn't produced in Australia (yet), but the country sits on 1.05 million tonnes of ore reserves, and 7.14 million tonnes of economic demonstrated resources (EDR), as per 2017 government data — and those numbers are way up from the previously disclosed data from Canberra in 2013.

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ATC:AU

Sydney, Australia – New Energy Minerals Limited is pleased to provide an update to the market in relation to the Company’s activities for the period ending 31 December 2020. Corporate Update New Project Acquisition The Company has previously announced with the closing of the Balama Sale Transaction on 17 July 2020 that it has no further operations in Mozambique and that the closing also represented a disposal of its …

Sydney, Australia (ABN Newswire) – New Energy Minerals Limited (ASX:NXE) (FRA:GGY) (OTCMKTS:MTTGF) is pleased to provide an update to the market in relation to the Company’s activities for the period ending 31 December 2020.

Corporate Update

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Syrah remains engaged in progressing the feasibility study for the scale-up of the Vidalia facility post-product qualification.

Graphite producer Syrah Resources (ASX:SYR,OTC Pink:SYAAF) said it is temporarily suspending operations at its Vidalia battery materials plant in the US state of Louisiana following a state-wide “Stay at Home Order” to fight the spread of COVID-19.

The order, issued on Sunday (March 22), will be in effect until April 13, with Syrah saying it does not meet criteria for exclusions under this regulation.


“This will delay the distribution of purified natural graphite samples for qualification with potential customers whilst the Stay at Home Order remains in place,” the company said in a press release.

Right now, Syrah’s team is working remotely to progress the feasibility study for the scale-up of the Vidalia facility post-product qualification.

The US plant, which the company purchased for US$1.23 million, produced its first unpurified spherical graphite at the end of 2018, with qualification samples dispatched to target customers in early 2019. The facility has environmental permits in place and an initial milling capacity of 5,000 tonnes per year.

Syrah’s Balama graphite project in Mozambique, which is the largest natural graphite operation outside of China, remains operational at this time.

“The company continues to monitor and assess the international mobility of personnel, the free movement of goods through supply chains and broader market conditions,” Syrah said, adding that it continues to strengthen protocols in response to COVID-19 risks at the asset.

Back in September, the company reduced production volumes to 5,000 tonnes per month at Balama due to volatility in the market. Syrah said it has continued its moderated production strategy into Q1 of this year as planned, seeking to match production volumes with market demand.

“Despite the near-term uncertainty due to COVID-19, the long-term market fundamentals for natural flake graphite remain intact, with ongoing commitment to the decarbonisation of the transport sector via lithium ion powered electric vehicles by supply chain participants and governments,” the company said.

Syrah expects its end-of-quarter cash balance to be broadly aligned to guidance of US$64.6 million.

On Tuesday (March 24), Syrah was trading up 2 percent at AU$0.23. However, the company’s share price has been suffering since the start of the year, and is down more than 50 percent since January.

Don’t forget to follow us @INN_Australia for real-time updates!

Securities Disclosure: I, Priscila Barrera, hold no direct investment interest in any company mentioned in this article.

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Altech Chemicals
Altech Chemicals: Silicon in Graphite Anodes for Higher Energy Density Batteries
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Perth, Australia - Altech Chemicals Limited is pleased to announce that following a site visit this week by Altech's senior management in Saxony, Germany, a final construction contract for the Silumina AnodesTM pilot plant with Kuttner GmbH & Co. KG was executed. Highlights - Silumina AnodesTM pilot plant construction contract executed with Kuttner GmbH & Co - Final plant engineering design and cost estimation ...
Perth, Australia (ABN Newswire) - Altech Chemicals Limited (ASX:ATC) (FRA:A3Y) is pleased to announce that following a site visit this week by Altech's senior management in Saxony, Germany, a final construction contract for the Silumina Anodes™ pilot plant with Kuttner GmbH & Co. KG (Kuttner) was executed.

Highlights

- Silumina Anodes™ pilot plant construction contract executed with Kuttner GmbH & Co

- Final plant engineering design and cost estimation completed

- Strong experience in delivering metallurgical plant projects

- Long lead items procurement has already commenced

German engineering firm Kuttner has completed the final plant engineering design and cost estimation.

The Basic Engineering phase has confirmed key design parameters, locking in key equipment capacities and validating operational criteria. Kuttner will immediately commence the procurement process, and construction of the pilot plant will follow when equipment begins arriving towards the back end of this year.

The pilot plant is designed to produce 120kg per day of Silumina Anodes™ coated battery anode material, which will be made available to selected European battery manufacturers and auto-makers. The pilot plant will be established in Dock3 (leased warehouse space), next door to Altech's land in Schwarze Pumpe Industrial Park in Saxony, Germany.

Altech, with its cash position at the end of March 2022 of A$11.571 million, is well funded to construct and complete the pilot plant. The pilot plant is estimated to cost A$7.177 million, of which A$5.382 million will be funded by Altech (75% owner) and A$1.794 million will be funded by Altech Advanced Materials AG (25% owner).

Kuttner is a German-based industrial plant engineering and EPC contractor, with strong experience in design, procurement, project and construction management and plant commissioning across a range of industries. They have previously completed metallurgical plant, water and off-gas treatment projects in Germany. Kuttner bringing valuable local knowledge to the execution of the project.




About Altech Chemicals Ltd:

Altech Chemicals Limited (ASX:ATC) (FRA:A3Y) is aiming to become one of the world's leading suppliers of 99.99% (4N) high purity alumina (Al2O3) through the construction and operation of a 4,500tpa high purity alumina (HPA) processing plant at Johor, Malaysia. Feedstock for the plant will be sourced from the Company's 100%-owned kaolin deposit at Meckering, Western Australia and shipped to Malaysia.

HPA is a high-value, high margin and highly demanded product as it is the critical ingredient required for the production of synthetic sapphire. Synthetic sapphire is used in the manufacture of substrates for LED lights, semiconductor wafers used in the electronics industry, and scratch-resistant sapphire glass used for wristwatch faces, optical windows and smartphone components. Increasingly HPA is used by lithium-ion battery manufacturers as the coating on the battery's separator, which improves performance, longevity and safety of the battery. With global HPA demand approximately 19,000t (2018), it is estimated that this demand will grow at a compound annual growth rate (CAGR) of 30% (2018-2028); by 2028 HPA market demand will be approximately 272,000t, driven by the increasing adoption of LEDs worldwide as well as the demand for HPA by lithium-ion battery manufacturers to serve the surging electric vehicle market.




Source:
Altech Chemicals Ltd



Contact:
Corporate
Iggy Tan
Managing Director
Altech Chemicals Limited
Tel: +61-8-6168-1555
Email: info@altechchemicals.com

Shane Volk
Company Secretary
Altech Chemicals Limited
Tel: +61-8-6168-1555
Email: info@altechchemicals.com

Investor Relations (Europe)
Kai Hoffmann
Soar Financial Partners
Tel: +49-69-175-548320
Email: hoffmann@soarfinancial.com

News Provided by ABN Newswire via QuoteMedia

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ATC:AU

Work at the company’s Cancet project is building toward a maiden resource in Q1 2023, said Managing Director Chris Evans.


Although prices have cooled off from the highs seen earlier this year, the lithium market remains in focus and investors are interested in how to get exposure to the green energy transition.

Chris Evans, managing director at Winsome Resources (ASX:WR1), said Australian investors in particular are aware of the lithium opportunity, and reacted well to the company’s ASX listing this past November.

The company initially came to market with three lithium assets in the James Bay region of Quebec, and has since acquired two additional lithium projects in the province.


Speaking to the Investing News Network, Evans explained that Cancet is the company’s main focus. Recent assay results released during the Prospectors & Developers Association of Canada (PDAC) convention build on previous drilling at the property, and have increased the known pegmatite strike length to 1,200 meters from 600 meters.

Looking forward, Evans said that two geological teams are now on the ground at Cancet, and are investigating targets identified through geophysical surveys to figure out which of them require drilling.

Known pegmatites that have already been drilled are also being stripped and cleared so that the company can complete field mapping and decide where to drill next.

“Really all that’s working towards a maiden resource in the first quarter of 2023,” said Evans.

In terms of the overall lithium market, he said a recent Goldman Sachs (NYSE:GS) report saying the battery metals bull market is “over for now” put a damper on sentiment, but is generally not thought to be a major concern.

“I think that probably initiated a bit of a correction in the market, which may have been needed because lithium prices and stocks were at all-time highs,” he said. “But in terms of an oversupply like Goldman Sachs is predicting, I haven’t heard anyone agree with that since I’ve been here at PDAC.”

Watch the interview above for more from Evans on Winsome Resources and its plans for the next six months. You can also click here for our recap of PDAC, and here for our full PDAC playlist on YouTube.

Don’t forget to follow us @INN_Australia for real-time updates!

Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.

Editorial Disclosure: Winsome Resources is a client of the Investing News Network. This article is not paid-for content.

The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.

person using credit card to pay for something on their phone

Revenue from Australia's mobile sector is expected to grow from AU$9.6 billion in 2021 to AU$11.2 billion in 2026. Here's what to know about this industry.

After lagging behind for a prolonged period, Australia's tech sector is ramping up at an accelerated pace. The tech sector is now equivalent to 8.5 percent of the country's GDP as of the end of 2021, an increase of 26 percent since the onset of COVID-19 through June 2021 and a massive 79 percent increase over the past five years. Tech contributes AU$167 billion to the Australian economy, trailing only the mining (AU$205 billion) and financial/insurance (AU$169 billion) sectors.

Australia's characteristically resilient economy — which had not experienced a recession in nearly 30 years prior to COVID-19 lockdowns — has provided a sturdy backdrop for its growing tech sector. The growth in the tech sector’s contribution to the GDP has outpaced average growth of other industries by more than 400 percent, a gain partly attributable to accelerated digital technology adoption during the pandemic.

This dramatic expansion is largely in response to Australia's need to catch up to the rest of the world and assert itself in the global tech marketplace. Should the tech sector continue to grow at its current rate it will eventually surpass the relative GDP contribution of the long dominant mining sector. This will also complete the process of bringing Australia more in line with other western economies such as the UK, and notably Canada, which is comparable to Australia in terms of its dominant mining and agricultural industries.


In terms of digital innovation earnings as a percentage of GDP, for example. Australia stands at 7.4 percent, significantly behind the 11.2 percent average for companies that are part of the Organisation for Economic Cooperation and Development (OECD). According to its September 2021 Policy Primer report, the Australian Academy of Sciences called for the federal government to place greater emphasis on supporting emerging digital technologies.

"Australia risks falling behind as a technologically-driven nation unless we recognise emerging digital technologies as a central, independent sector in its own right, warranting investment in the core aspects of research, innovation, and workforce development," the report stated.

Understanding Australia's mobile tech landscape

One of the drivers of Australia's tech sector expansion is its booming mobile telephone industry. This expansion has taken many forms ranging from expanded use of mobile telephony, adoption of blockchain technology for supply chain management and the rise of the cryptocurrency market. The application of mobile tech to the banking industry is just one space where mobile usage has become key and is expected to continue developing. According to research firm KPMG, digital platforms will become the preferred and dominant business model form.

Chase Bank completed a survey revealing that the COVID-19 pandemic has accelerated the adoption of mobile banking technology. Banking apps allow users to deposit cheques, pay bills and perform transfers from their mobile device.

One critical side effect of COVID-19 has been the way lockdowns and related restrictions on behaviour has changed the way people live and work. Remote working conditions and enforced isolation has triggered increased demand for improved connectivity and internet speeds to facilitate this transition in corporate culture during the pandemic.

As a result, Australia's leading mobile telephony giants have been obliged to improve data capacity and speed, especially in regional areas that have badly lagged behind urban coverage. Some people have relocated to regional areas — where connectivity remains a challenge — and others are requiring more data capacity and fast speeds to allow them to work more efficiently from home.

The Australian mobile sector is dominated by three main players: Telstra (ASX:TLS), Optus — a subsidiary of Singapore-based Singtel (SGX:Z74) — and TPG Telecom (ASX:TPG). Telstra is the largest provider of mobile services with 48.7 percent market share followed by Optus at 26.3 percent.

In 2022, there have already been several major new developments in the Australian mobile sector. One such event has been the tentative network sharing agreement announced in February between Telstra and TPG Telecom, which brings an end to the bitter rivalry between the two competitors. The agreement provides a comprehensive framework for the two telecom giants to share mobile telecommunication infrastructure across Australia.

TPG and Telstra will both enjoy significant savings and benefits from this arrangement. Telstra will reap up to AU$1.8 billion in added revenues while gaining access to TPG's spectrum that expands Telstra's fixed wireless services in regional areas. Correspondingly, TPG gains access to 3,700 Telstra towers in regional areas; this means TPG does not have to spend significant money to duplicate the infrastructure for its own use.

In addition, Telstra announced earlier in the year that it will spend up to AU$1.6 billion on new infrastructure intended to improve connectivity and internet speeds as part of its response to the overall need to accommodate rising consumer demand in the wake of the pandemic.

What's the outlook for mobile tech in Australia?

One of the positive side effects of the pandemic has been the increasing adoption of wireless services by Australians and the ownership of internet-of-things devices that are prevalent in nearly all households.

According to GlobalData, a data and analytics company, mobile sector revenue in Australia is expected to grow from AU$9.6 billion in 2021 to AU$11.2 billion in 2026 at a compound annual growth rate of 3 percent. This revenue growth will mainly accrue from growth in the mobile data subsector.

Meanwhile, the three leading telephone companies will not only be expanding their 4G services but rolling out 5G networks across the country. 5G allows for improved and additional smartphone services and also enhances fixed wireless services that are competitive with higher speed National Broadband Network (NBN) connections.

In addition, low earth orbit satellite services are beginning to roll out in Australia led by Elon Musk's SpaceX's Starlink service that offers broadband connections delivered via its satellite network.

Overfall, the winding down of restrictions due to COVID-19 will likely see the big three companies enjoy higher revenues in 2022 after declines in earnings owing to the pandemic. Telstra, Optus and TPG Telecom all experienced significant earnings drops between 2020 and 2021 due to reduced international roaming fees, softening demand for headsets and ongoing adoption of NBN services.

But the outlook for 2022 is positive given overall improved economic prospects as Australia emerges from the pandemic, which actually increased overall consumer use of communication services in 2021.

Lockdowns resulted in increased consumer uptake of online services such as online shopping, data-intensive video streaming and the additional household usage of communication services. Indeed, in 2021, data traffic reached record highs as Australian consumers demanded improved internet speeds and unlimited data plans. Remote work will likely continue to remain elevated in 2022 and beyond, which should reinforce increased consumption of home communications services.

Telstar and TPG Telecom in particular are embarking on long term strategies that will drive future earnings growth via accelerating 5G adoption, expansion in dark fibre, and increased adoption of new services such as edge/cloud computing.

Don’t forget to follow us @INN_Australia for real-time updates!

Securities Disclosure: I, Harold Von Kursk, hold no direct investment interest in any company mentioned in this article.

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