NextSource Materials Inc. Files Updated Feasibility Study on SEDAR and New Corporate Presentation on Website
NextSource Materials Inc. Files Updated Feasibility Study on SEDAR
and New Corporate Presentation on Website
NEWS RELEASE – July 19, 2017
NextSource Materials Inc. (TSX:NEXT) (OTC QB:NSRC) (“NextSource ” or “the Company”)
announces that it has filed its Updated National Instrument 43-101 Technical Report – Feasibility
Study ("updated Feasibility Study") for its Molo Graphite Project located near the village of
Fotadrevo in the Province of Toliara, Madagascar on SEDAR ( www.sedar.com). The Updated
Feasibility Study titled, “Molo Feasibility Study National Instrument 43-101 Technical Report” is
also available on NextSource's website at www.nextsourcematerials.com.
Results from the updated Feasibility Study were previously announced on June 1, 2017 and
highlighted the following:
The updated Feasibility Study results verify positive economics for Phase 1 of the Molo
mine, which will utilize a unique, fully-modular build approach taking into account current-day
flake graphite prices
A build cost of US$18.4 million confirms that the Molo Projec t will have the lowest capital
mine cost (CAPEX) of any new and competing graphite project
Phase 1 will consist of a fully operational and sustainable graphite mine with a permanent
processing plant capable of producing approxim ately 17,000 tonnes per annum (“tpa”) of
high-quality SuperFlake™ graphite concentrate per year with a mine life of 30 years
Project Operating costs (OPEX) include all-in costs for freight and in surance (CIF) to ship
Molo SuperFlake™ concentrate to international European port (Rotterdam) and verifies Molo
OPEX as one of the lowest in the industry on a full-cost, CIF basis
Phase 1 build time of 9 months
Phase 1 will realize a pre-tax internal rate of return (IRR) of 25.2%, a post-tax IRR of 21.6%
Based on the positive results of the updated Feas ibility Study, the Company will be initiating
an economic analysis for eventual Phase 2 ex pansion that will incorporate its unique
modular approach to produce approximately 50,000 tpa of finished SuperFlake™ graphite
concentrate
NEW CORPORATE PRESENTATION
The Company has posted a new corporate presentation on its website that contains current
information on the activities regarding its 100%-owned Molo Graphite Project in southern
Madagascar.
QUALIFIED PERSONS
The updated Feasibility Study was prepared in accordance with National Instrument (NI) 43-101
standards by Mr. Johann de Bruin, PrEng. of Erudite Strategies (Pty) and is the Qualified Person
who verified the technical data using industry acceptable standards and signed off on the relevant
sections in the NI 43-101 report filed on SEDAR. Mr. de Bruin, independent of the Company, is
the qualified person who has reviewed and approved the technical information contained in the
updated Feasibility Study titled, “Molo Feasibility Study National Instrument 43-101 Technical
Report.”
ABOUT NEXTSOURCE MATERIALS INC.
NextSource Materials Inc. is a mine developmen t company based in Toronto, Canada, that is
developing its 100%-owned Molo Graphite Project in southern Madagascar. The Molo Graphite
Project is a feasibility-stage project and ranks as one of the largest-known and highest quality
flake graphite deposits in the world.
Please see the updated Feasibility Study titled, “Molo Feasibility Study National Instrument 43-
101 Technical Report.” prepared by Erudite Strat egies (Pty)” for certain other details and
assumptions relating to the mineral resource and reserve estimates and data verification
procedures.
To learn more about NextSource’s 100%-own ed, feasibility-stage Molo Graphite Project in
Madagascar, please visit the Company’s website at www.nextsourcematerials.com.
For further information contact: +1.416.364.4911
Brent Nykoliation, Senior Vice President, Corporate Development at
[email protected] or Craig Scherba, President and CEO at craig@
nextsourcematerials.com
Safe Harbour: This press release contains statements that may constitute “forward-looking statements” within the meaning of applicable
Canadian and United States securities legislation. Readers are cautioned not to place undue reliance on such forward-looking statements.
Forward-looking statements are related to the results of the updated Feasibility Study, the results of the previous 2015 Molo Feasibility
Study, the updated 2017 Molo Feasibility Study, funding of the development of the Molo Project, implementation and commencement of the
build-out of the Molo Project, commencement of production at the Molo Project, commencement of procurement for mine infrastructure, the
procurement of equipment to construct a mine, value engineering, any and all product test results and product analysis, and the permit
application. These are based on current expectations, estimates and assumptions that involve a number of risks, which could cause actual
results to vary and in some instances to differ materially from those anticipated by the Company and described in the forward-looking
statements contained in this press release. No assurance can be given that any of the events anticipated by the forward-looking statements
will transpire or occur or, if any of them do so, what benefits the Company will derive there from. The forward-looking statements contained
in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or
to revise any of the forward-looking statements, whether as a result of new information, future events or otherwise, except as may be
required by applicable securities laws.