Graphite Producer Syrah Sees Stock Prices Surge After A US Government Loan

News of a $US150 million US government loan saw shares in graphite producer, Syrah jump by more than 16% at one stage yesterday in what was a bit of welcome news for the under pressure stock.

The big early surge had run out of puff by the afternoon session and the gain more than halved to around 6%.

Syrah shares are down nearly 70% year to date on weak global prices for graphite and weak demand that saw the company rack up losses and put a stop to mining in May and June to allow global inventories to clear and weak Chinese demand to recover.