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Northern Graphite Announces LOI with Graphex Technologies to Produce Natural Graphite Anode Material
Companies Plan to Build a Mine-to-Battery Supply Chain in North America and Europe Ottawa, Ontar...
About this update from Northern Graphite Corporation
[{"type":"text","content":"Northern Graphite Announces LOI with Graphex Technologies to Produce Natural Graphite Anode MaterialCompanies Plan to Build a Mine-to-Battery Supply Chain in North America and EuropeOttawa, Ontario--(Newsfile Corp. - December 21, 2022) - Northern Graphite Corporation (TSXV: NGC) (OTCQB: NGPHF) (FSE: 0NG) (XSTU: 0NG) (the \"Company\" or \"Northern\") announces that it has entered into a non-binding Letter of Intent (\"LOI\") with Graphex Technologies LLC, the U.S. subsidiary of Graphex Group Limited (NYSE American: GRFX) (HKSE: 6128) (collectively \"Graphex\"), a global leader in the production of the anode material used in electric vehicles (EV)/lithium-ion (Li-ion) batteries, with the intent of combining Northern's raw material supply capabilities with Graphex's downstream processing expertise to build plants that will provide an end-to-end Northern American supply chain from the graphite mine to the battery.Graphex and Northern intend to diligently and in good faith negotiate the terms of a Joint Venture, including management and ownership percentages, to jointly produce coated spherical graphite anode material for the EV/battery market. Northern will provide the Joint Venture with security of raw material supply (graphite concentrate) and it is contemplated that Graphex will license and/or contribute all the technology, plans and expertise for building and operating the plant(s). Graphex has already secured and is developing a site in Warren, Michigan that is being designed to produce 15,000 tonnes per annum (tpa) of battery anode material, and Northern is evaluating sites in Canada that could accommodate production of up to 200,000 tpa of anode material. Northern shall remain entitled to enter into supply agreements with third parties for production not committed to the Joint Venture and to participate in the construction of other processing plants provided that Northern may not directly or indirectly use, exploit or disclose any of Graphex's technology.Hugues Jacquemin, Northern's CEO commented that \"collaborating with an existing anode material producer that has established technology and expertise will enable Northern to leapfrog the product development stage and to shorten both the product qualification period and our time to market. We look forward to working with Graphex to establish a secure, transparent su...