The share price of graphite miner Syrah Resources crashed on Tuesday after the company announced that it would be reducing production volumes in the fourth quarter of the year, and undertake an immediate review of cost reductions at both its Balama graphite project, in Mozambique, and across the company.
Graphite production during the fourth quarter will be dropped by around 5 000 t a month, with the miner saying that the decreased production would allow Syrah to focus on further increasing fixed carbon grade and product quality to develop value in use differentiation, and to manage supply to allow for pricing differentials based on quality, grade, and consistency.