Coverage of Westwater Resources, Inc. (WWR) has been updated following report of third quarter 2019 financial results. Additionally, management provided an update on progress toward commercialization of its priority energy material – graphite. Armed with an infusion of new capital, management has accelerated execution on the Company’s graphite plan. The first leg is now well underway as the Company inked a supply agreement for graphite concentrate to use for the production of the Company’s proprietary battery grade graphite materials. In a major advancement a battery manufacturer has ordered one ton of the Company’s Purified Micronized Graphite (PMG) for high-volume testing. We believe the size of the order signals the customer’s intensifying interest. PMG has shown considerable promise in elevating efficiencies in alkaline batteries that form a significant portion of the overall battery market. An order from even a small player in this market could kick open doors for Westwater. Four additional potential customers are cued up the Company’s business pipeline, all testing at least one of the proprietary graphite materials.
It is also noteworthy that Westwater published an updated business plan for the Company’s graphite development project. Significantly more detailed than the previous attempt, the plan suggests management is gaining expertise and confidence in their approach to graphite. In the earnings conference call to discuss third quarter financial results, management described an accelerated business development effort. We believe Westwater has gained visibility in the graphite materials market, which bodes well for both business prospects and valuation.
Additional details are available in the 8-page report by clicking on the image below.
Please note the important disclosures and disclaimers at the end of every Crystal Equity Research report.