After 2018 was littered with downgrades from the new Balama operation in Mozambique, Syrah has reported four key first quarter 2019 wins: 48,000 tonnes of graphite production (versus 45,000t guidance); 48,000t sold (versus a range of 45,000-50,000t); an average price at the upper end of guidance, and cash of US$62 million (versus guidance of $55-57 million).

 

While the cash headline was a perhaps a tad overplayed - the "variance to guidance (is) due to timing difference of working capital movements with (about) $5 million (of) payments previously forecasted for quarter one rolling into early quarter two" - the overall trend was clearly positive.

 

Syrah's shares were up about 25% this week at midday Friday, capitalising the company at about $462 million.

 

The stock dipped below $1 per share last month, having spiked to around $6 just over three years ago.

 

Full details of the March quarter are due to be revealed later this month.