After years of waiting, the patience of Quantum Graphite (ASX:QGL) is still some way from paying off but it took a step closer today.

In 2015 it suspended operations at its Uley graphite project in South Australia and spent three years in securities purgatory.

Since re-listing it has continued test work for a definitive feasibility study (DFS). While the study is a few weeks away, Quantum has today updated its mining study and ore reserve estimate.

The project’s ore estimate is 4,003 tonnes (of which 811 tonnes is proved and the remainder is probable) for 11.89 per cent graphitic carbon.

The finished product will cost $US919 ($1,354) per dry metric tonne and the project will generate an operating cash flow of $207m.

Chairman Bruno Ruggiero said the building blocks had now fallen into place for the Uley project and discussions with potential financiers could go to the next level.

“With the completion of the mining study, the major technical inputs have now been delivered for the finalisation of the DFS,” he said.

While graphite is associated with electric vehicles, there are several uses – most notably in heat-resistant bricks. These help blast furnaces withstand the heat generated in steel making.

Shares did not move this morning and have stagnated since re-listing.


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In other ASX tech metals news today:

Testwork on Mali Lithium’s (ASX:MLL) project has produced better results than last years’ pre-feasibility study. Utilising technology to improve lithium recovery and product quality, it achieved a 6 per cent lithium concentrate grade and 87 per cent recovery.

Rare earths explorer Hastings Technology Metals (ASX:HAS) told shareholders financing talks were going well. For nearly 18 months it has engaged KFW IPEX-Bank to help it gain $US140m in debt finance from German insurer Euler Hermes. It reported both companies reaffirmed support and were at the final stage of due diligence. Hastings hopes to win credit approval in the first quarter of next year.