Montreal, Quebec, November 7, 2017 – SRG Graphite Inc. (TSXV: SRG) (“SRG” or the “Company”) today announced that SRG’s subsidiary, SRG Graphite International Inc. (“SRGI”) and Great Lakes Graphite Inc. (“GLK”) (TSXV:GLK, OTC PINK:GLKIF, FWB:8GL) ( SRGI and GLK collectively, the “Companies”) have executed a Memorandum of Understanding (“MoU”) whereby the Companies agree to work towards negotiating a supply agreement from SRG’s Lola Deposit located in Guinea, West Africa.
- SRGI and GLK have executed an MoU regarding the potential supply of between 5,000 and 20,000 tons of natural flake graphite per annum.
- The MoU Confirms continued interest in SRG’s graphite concentrate.
The MoU calls for the Companies to work towards establishing a potential supply agreement. For GLK, the agreement represents the opportunity to expand the number of product offerings and enter new markets. The MoU specifies that the Companies will seek to negotiate an agreement for the annual supply of between 5,000 and 20,000 tons of natural flake graphite concentrate.
SRG is developing a high-quality graphite deposit in Guinea, West Africa. The Lola Graphite deposit is located approximately 1,000 kilometers east of Conakry, the capital of the Republic of Guinea. The first 20 meters or so of the deposit are well weathered (lateralized), freeing graphite flakes from the silicate gangue and thus allowing for easy grinding and optimal recovery of all large and jumbo flakes. The graphite mineralization continues at depth within the non-weathered sheared gneiss.
- Lola graphite has favorable ash composition and the comparably low efforts required to attain high carbon grades.
- The graphite is seemingly suitable for highly demanding applications like Lithium Ion batteries or synthetic diamonds.
- The purification performed was “mild” compared to the “harsh” purification usually applied for Lithium-Ion battery grade, thereby attesting again to the likelihood that the material will be very suitable for such an application.
- The volatiles are low, oxidation resistance is very high and the specific surface area is in the normal range.
- The graphite from the Lola deposit has a high bulk density (>700 g/l); typical Chinese graphite has bulk densities of 450-550 g/l for +80 mesh.
- Doftner-Anzaplan from Germany reported that bulk density, tap density, morphology, chemical purity and specific surface area of the spherical graphite product obtained from SRG’s Lola graphite deposit are similar to typical spherical graphite products in the market. The produced graphite concentrate is well suited for generating anode material for lithium-ion battery.
The arrangement can provide a potential source of high quality large and jumbo flake graphite that will enable the GLK to expand the number of high value products that can be offered to their customers. GLK’s CEO Paul Gorman said, “We are very excited to be working with SRG Graphite. They are an extremely capable group that is developing a highly attractive project. Due to the indications that we are getting from customers as we progress through our product qualifications, we understand that it is imperative for us to be able to demonstrate that we have access to the supply chains required to service very large customers.”
ABOUT GREAT LAKES GRAPHITE
Great Lakes Graphite is a Clean Technology Minerals Processing Company supplying customers with innovative, high quality value-added carbon products. Through our partner relationships, GLK began selling micronized synthetic graphite in 2016 and now supplies micronized and high-purity micronized natural flake graphite products to a growing customer base.
SRG is a Canadian-based company focused on developing the Lola Graphite deposit, located in the Republic of Guinea, West Africa. SRG is committed to operate in a socially, environmentally and ethically responsible manner.
For additional information, please visit SRG’s website at www.srggraphite.com.
For more information contact:
SRG Graphite Inc. (SRG)
Dr. Marc-Antoine Audet, President & CEO
Tel.: (514) 726-4158
Tel.: +1 (514) 867-7447
The technical information in this release has been reviewed and approved by Dr. Marc-Antoine Audet, P.Geo, President and CEO, SRG and a “qualified person” as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
This release contains forward-looking statements. Although SRG believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them because SRG can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Forward-looking statements include words or expressions such as “potential”, “confirms”, “continued”, “opportunity”, “expands”, “will”, “develop”, “can” “enable”, “projected”, “targeting”, “pursuing”, “growth”, “opportunities” and other similar words or expressions. Factors that could cause future results or events to differ materially from current expectations expressed or implied by the forward-looking statements include the ability to negotiate and enter into a definitive off-take agreement, the ability to bring the Lola deposit to production, the ability to produce between 5,000 and 20,000 tons per year of concentrate, the ability to execute on our strategic focus, fluctuation in the price of currencies, operating costs, price of graphite concentrate, mining industry risks, uncertainty as to calculation of mineral reserves and resources, delays, political and social stability in Africa and in Guinea (including our ability to maintain or renew licenses and permits) and other risks described in SRG’s documents filed with Canadian securities regulatory authorities. Additional information on these and other factors that could affect SRG’s operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com). SRG disclaims any obligation to update or revise these forward-looking statements, except as required by applicable law.