2022 Drilling Program Results Increase Graphite One Measured and Indicated Resource by 15.5% M&I Increase Comes After US Geological Survey Report Identifies Graphite Creek Deposit "as Among the Largest in the World."
2022 Drilling Program Results Increase Graphite One Measured and
Indicated Resource by 15.5%
M&I Increase Comes After US Geological Survey Report Identifies Graphite Creek Deposit "as Among the Largest in the World."
VANCOUVER, BC
,
March 13, 2023
/CNW/ -
Graphite One Inc.
(TSXV: GPH) (OTCQX: GPHOF)
("Graphite One" or the "Company"),
planning a
complete domestic U.S. supply chain for advanced graphite materials, is pleased to announce the results of the 2022 drilling program and updated resource
estimate, which shows an increase of 15.5% in Measured and Indicated tonnage with a corresponding increase of 13.1% in contained tonnes of graphite.
The Measured and Indicated Resources now stand at
37.6 M
tonnes at 5.14% graphite, with an Inferred Resource of
243.7 M
tonnes at 5.07% graphite.
"We've been very consistent about the potential we see in Graphite Creek," said
Anthony Huston
, President and CEO of Graphite One. "The recognition by
USGS coupled with this increase in our Measured and Indicated Resources and the fact that we have explored only 26% of our graphite anomaly
underscores that Graphite Creek is truly a generational resource."
"These strong results from our 2022 program will assist in developing our 2023 drilling plan," said
Mike Schaffner
, Senior Vice President, Mining, "and the
continued expansion of our Graphite Creek resource will support our plan to quadruple the annual production from our PFS study."
Table 1: Comparison of Graphite Creek's 2023 Resources to 2022 Resources
1
2023 Resources
2022 Resources
Category
Cg%
Cutoff
Millions
Tonnes
Cg%
Million
Tonnes Cg
Millions
Tonnes
Cg%
Millions
Tonnes Cg
YOY
Change
Tonnes Cg
YOY
Change
Tonnes
Measured
2 %
5.63
5.75 %
0.32
4.67
5.83 %
0.27
19.00 %
20.60 %
Indicated
2 %
31.96
5.03 %
1.61
27.87
5.15 %
1.44
12.00 %
14.70 %
Inferred
2 %
243.70
5.07 %
12.34
254.67
5.11 %
13.00
-5.10 %
-4.30 %
Measured
and Indicated
2 %
37.59
5.14 %
1.93
32.54
5.25 %
1.71
13.10 %
15.50 %
________________________________
1
Mineral Resources are inclusive of Mineral Reserves. Mineral Resources that are not Mineral Reserves have not demonstrated economic viability. There is no certainty that any part of a Mineral Resource will ever be converted into Reserves. Inferred Mineral Resources represent
material that is considered too speculative to be included in economic evaluations. Additional trenching and/or drilling will be required to convert Inferred Mineral Resources to Indicated or Measured Mineral Resources. It cannot be assumed that all or any part of the inferred
resources will ever be upgraded to a higher resource category.
The updated resource did not include Hole 22GC079, drilled 2.1 km west of the current block model, which encountered 58 meters of 4.18% graphite, due
to distance constraints used in the block model. The planned 2023 drilling program will target doubling the measured and indicated resources and increasing
the inferred resource by infill drilling along trend to Hole 22GC079.
The resource updates from Graphite One's
October 2022
Pre-feasibility Study ("PFS") and the 2022 Drilling Program come after the US Geological Survey
report that states:
"The Graphite Creek graphite deposit, located in the Kigluaik Mountains 60 km north of
Nome
on the
Seward Peninsula
,
Alaska
, is the largest known
flake graphite resource in the
USA
and is among the largest in the world."
2
Graphite One's PFS was based on a proven and probable reserve that utilized 7% of the anomaly's strike length. This updated Measured, Indicated and
Inferred resource is based on drilling 26% of the surface area of the anomaly. The planned 2023 Drilling Program will continue to delineate the scope and
size of the resource, as the Graphite Creek deposit remains open to the West, East, and down dip.
Mr.
Rob Retherford
, P. Geo, with Alaska Earth Sciences, Inc. provided oversite to the 2022 drilling and sampling program. Mr. Retherford is a Qualified
Person as defined under NI 43–101 and has reviewed and approved the technical content of this release.
_____________________________
2
https://link.springer.com/article/10.1007/s00126-023-01161-3
Marketing Awareness Program
As part of Graphite One's ongoing strategy to raise the profile of the Graphite One Project to investors, the Company has entered into marketing
agreements with CFN Media and Outside The Box Capital Inc. to provide investor and market outreach campaigns for a period of up to 12 months. Subject
to the approval of the TSX Venture Exchange, the agreements' effective start date will be
March 13, 2023
.
The Company will pay CFN Media
US$8,000
per month for 12 months plus expenses of up to
US$20,000
per month. The agreement may be terminated
without penalty after 90 days.
The Company will pay Outside The Box Capital Inc. CA$100,000 for a 6-month period plus expenses of up to CA$25,000 per month for the duration of the
agreement.
To the best of the Company's knowledge, neither CFN Media, Outside The Box Capital Inc. nor any of its principals currently own any common shares in
the Company.
Graphite One's Supply Chain Strategy
With
the United States
currently 100 per cent import dependent for natural graphite, Graphite One is planning to develop a complete U.S.-based, advanced
graphite supply chain solution anchored by the Graphite Creek resource. The Graphite One Project plan includes an advanced graphite material and battery
anode manufacturing plant expected to be sited in
Washington State
integrated with the development of the Property. The plan includes a recycling facility
to reclaim graphite and the other battery materials, to be co-located at the
Washington State
site, the third link in Graphite One's circular economy strategy.
About Graphite One Inc.
GRAPHITE ONE INC. continues to develop its Graphite One Project (the "Project") to become an American producer of high-grade anode materials that is
integrated with a domestic graphite resource. The Project is proposed as a vertically integrated enterprise to mine, process and manufacture anode
materials primarily for the lithium–ion electric vehicle battery market. As set forth in the Company's 2022 Pre-Feasibility Study, graphite mineralization
mined from the Company's Graphite Creek Property, situated on the
Seward Peninsula
about 60 kilometers north of
Nome, Alaska
, would be processed
into concentrate at an adjacent processing plant. Natural and artificial graphite anode materials and other value–added graphite products would be
manufactured from the concentrate and other materials at the Company's proposed advanced graphite materials manufacturing facility expected to be
located in Washington State. The Company intends to make a production decision on the Project upon the completion of a Feasibility Study.
On Behalf of the Board of Directors
"Anthony Huston" (signed)
For more information on Graphite One Inc., please visit the Company's website,
www.GraphiteOneInc.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
All statements in this release, other than statements of historical facts, including those related to the results of the 2022 drill program, timing and
completion of the anticipated Feasibility Study, future production, establishment of a processing plant and a graphite manufacturing plant, establishment
of a battery materials recycling facility, and events or developments that the Company intends, expects, plans, or proposes are forward-looking
statements Generally, forward
–
looking information can be identified by the use of forward
–
looking terminology such as "proposes", "expects", "is
expected", "scheduled", "estimates", "projects", "plans", "is planning", "intends", "assumes", "believes", "indicates", "to be" or variations of such words and
phrases that state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". The Company
cautions that there is no certainty that tests of the Company's material will be successful or that such tests will result in the development of successful
products. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such
statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking
statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and
exploration successes, continuity of mineralization, uncertainties related to the ability to obtain necessary permits, licenses and title and delays due to
third party opposition, changes in government policies regarding mining and natural resource exploration and exploitation, and continued availability of
capital and financing, and general economic, market or business conditions. Readers are cautioned not to place undue reliance on this forward-looking
information, which is given as of the date it is expressed in this press release, and the Company undertakes no obligation to update publicly or revise any
forward-looking information, except as required by applicable securities laws. For more information on the Company, investors should review the
Company's continuous disclosure filings that are available at
www.sedar.com
.
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For further information:
Anthony Huston, CEO, President & Director, Tel: (604) 889-4251, Email: [email protected]; Investor Relations
Contact: Tel: (604) 684-6730, [email protected]; On Twitter @GraphiteOne
CO: Graphite One Inc.
CNW 07:00e 13-MAR-23