Lomiko Metals Neighbour , Multi national Conglomerate Imerys Carbon & Graphite, Adds New Graphite Battery Product and Increase Prices for 2020 (Vancouver, British Columbia and Montreal, Quebec)
#439 - 7184 120th Street, Surrey, B.C. V3W 0M6
Lomiko Metals Neighbour , Multi national Conglomerate Imerys Carbon &
Graphite, Adds New Graphite Battery Product and Increase Prices for 2020
(Vancouver, British Columbia and Montreal, Quebec) December 5, 2019 - Lomiko Metals
Inc. (TSX-V: LMR, OTC: LMRMF, FSE: DH8C) (Lomiko or the “Company”) has identified
spherical graphite production as a key goal in plans to supply graphite anodes for Electric
Vehicles (EV) Li-ion battery mega-factories in the North American market as highlighted
in Lomiko’s July 16th, 2019 release. Testing for spherical graphite is to be included in the
upcoming Lomiko Preliminary Economic Assessment (PEA) which is planned for the La
Loutre graphite project located in Quebec, Canada.
The development of a strategy that identifies a way to create value -added products is
necessary to establish a long -term, profitable business model prior to extensive capital
outlay and is crucial to the success of the company. A large multinational conglomerate,
Imerys Carbon and Graphite has also been working on new developments in the graphite
space with innovative products for the EV Industry.
Imerys Graphite & Carbon has a strong history in the production of high -quality natural
and synthetic graphite powders, conductive carbon blacks and water -based graphite
dispersions with the parent company posting €4.6 billion in revenue and approximately
17,000 employees worldwide.
Imerys Graphite & Carbon’s fully owned natural graphite mine is located about 250 km
north-west of Montréal, Canada, in the small town of Lac -des-Îles [53 km north of
Lomiko’s La Loutre Graphite Property]. Operations started in 1989. There, graphite ore is
mined and refined into high quality graphite products of various sizes and purities. These
graphite concentrates are directly sold to various applications or further processed in its
Terrebonne, Quebec plant [near Montreal]. In a news release dated November 18, 2019
Imerys stated:
“New developments in automotive and in the consumer electronics markets are driving a
need for improved performance of lithium -ion batteries in diverse operating conditions.
QX products [graphite additive tradename] enable fast kinetics during charging and can
significantly improve the performance of active materials.”
“We are at the beginning of the battery materials bull market with 100+ Lithium-ion,
mega-factories built or scheduled to be built worldwide,” said Lomiko’s CEO A. Paul Gill.
“Lomiko sees a tremendous opportunity in creating a stable and integrated North
American value supply chain for North American EV manufacturers . This opportunity
represents a significant increase of confidence to the Q uebec government, Lomiko and
#439 - 7184 120th Street, Surrey, B.C. V3W 0M6
other companies to see Imerys step into the EV field despite being close to closing their
twenty-year operation at the Lac-des-Îles facility.”
Graphite Sector Analysis
The price for 95% C (purity), 15 microns Spherical Graphite is $ 2,700-2,800 USD/tonne,
far above the price of other forms of graphite as indicated by the Industrial Minerals.
Lomiko’s Preliminary Economic Assessment (PEA) will include costs a nd the potential
market for this key product. In order to start the PEA, Lomiko must first deliver its second
resource prepared in compliance with NI 43-101 Regulations from La Loutre.
On November 4, 2019 , Imerys anno unced: [Natural and synthetic graphite] subject to
general inflationary pressures and will therefore be subject to some price increases to
reflect those inflation effects.
On October 18, 2019 A recently opened mine in Mozambique owned by Syrah Resources,
which primarily produces 94% C, -100 mesh material since 2017, significantly reduced
their workforce and cut production targets for 2020.
The production cut will likely curtail the supply of natural flake graphite supporting a
general conclusion that an uptrend in graphite prices may be imminent after a multi-year
low in demand and price.
For more information on Lomiko Metals, review the website at www.lomiko.com, contact
A. Paul Gill at 604-729-5312 or email: [email protected].
On Behalf of the Board,
“A. Paul Gill”
Chief Executive Officer
We seek safe harbor. Neither 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