More Graphite in Kazakhstan - Drilling expected later this year.

Our 2022 Small Cap Pick of the Year, Sarytogan Graphite (ASX: SGA) has just picked up more graphite exploration ground in Kazakhstan.

SGA already has the highest grade graphite resource on the ASX and the second biggest contained graphite resource (second only to $1.1BN Syrah Resources).

The new ground picked up today is less about trying to increase the size and scale of SGA’s graphite project and more about diversifying the type of graphite SGA is able to produce.

SGA’s new projects sit on top of the same type of geology that is known to host flake graphite deposits. If SGA is able to define a flake graphite resource, it would be complementary to its existing JORC resource.

The project covers ~309km^2 of ground in the north of Kazakhstan ~660km away from SGA’s main project.

What’s next for SGA?

Ongoing metwork 🔄

SGA continues to work with its processing partners to achieve the required Uncoated Spherical Graphite (USpG) specifications of 99.95% purity in spherical graphite balls of 5-20 micron in size.

SGA has already achieved 99.87% but is chasing that all-important 99.95%+ purity level.

We think that this will be the major catalyst for SGA and the final step validating SGA’s giant resource as suitable for use in the lithium ion battery industry.

SGA will be running a bulk flotation program through Q2-2023 to then feed into the spheroidization program in Q3-2023 ahead of battery performance tests in Q4 2023.

Exploration at new project 🔄

SGA is planning to run EM surveys over its newly acquired ground.

Once high priority drill targets are identified using the EM, SGA expects to be drilling during the 2023 field season (mid-2023).