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Northern Graphite Announces Metallurgical Testing, Confirms High Value Concentrates
Ottawa, Ontario--(Newsfile Corp. - February 22, 2021) - Northern Graphite Corporation (TSXV:&...
About this update from Northern Graphite Corporation
[{"type":"text","content":"Northern Graphite Announces Metallurgical Testing, Confirms High Value ConcentratesOttawa, Ontario--(Newsfile Corp. - February 22, 2021) - Northern Graphite Corporation (TSXV: NGC) (OTCQB: NGPHF) (the \"Company\" or \"Northern\") is pleased to announce that ongoing metallurgical testing continues to confirm the high percentage of valuable, large flake concentrates that will be produced from its Bissett Creek deposit. Recent tests have averaged 22 per cent +32 mesh (XXL) flake and 46 per cent +48 mesh (XL) flake. Cumulatively, 95 per cent of concentrates produced are expected to be greater than 80 mesh which is the cut-off for large flake1. All figures are believed to be the highest large flake yields reported from any worldwide graphite project.Few deposits contain any appreciable amounts of XXL flake material. As a result, the market is under supplied and prices exceed US$2,000/tonne. Currently, XL flake graphite sells for approximately US$1,750/t, large flake for US$1,020/t and small flake for only US$600/tonne2. The Company expects that its concentrates will sell for a weighted average price of US$1,600/t in the current market. Most graphite deposits contain high percentages of smaller flake sizes and will realize US$1,000/t or less. Larger flake sizes are used in high value, high margin industrial markets including the manufacture of bipolar plates for fuel cells and vanadium redox batteries as well as primary batteries, thermal management in consumer electronics, fire retardants, insulation products, ceramics, lubricants and many other applications.A recent independent study estimated that the Bissett Creek deposit will have the highest operating margin of any current or proposed graphite mine. This is due to its exceptional flake size distribution, simple metallurgy and very favorable location with ready access to equipment, supplies, labor and markets.Gregory Bowes CEO commented that: \"Northern already has a project with good economics based on current prices and a realistic production level relative to the current size of the market. The economics for most projects are being presented using prices well above the current market and/or with high production rates that would actually cause market prices to decline.\" He added that: \"Multiple new graphite mines will ultimately be required to satisfy the proje...