Northern Graphite Closes Non-­‐Brokered Private Placement

Northern  Graphite  Closes  Non-­‐Brokered  Private  Placement  

March  27,  2017  –  Northern   Graphite   Corporation  (“Northern”   or  the   “Company”)  (NGC:TSX-­‐V,   NGPHF:OTCQX)  

announces  that  it  has  closed  its  previously  announced  non-­‐brokered  private  placement  and  has  issued  8,333,333  units  

at  a  price  of  $0.30  per  unit  for  gross  proceeds  of  $2.5  million.    Each  unit  consists  of  one  common  share  and  one  half  of  

one  common  share  purchase  warrant,  with  each  full  warrant  entitling  the  holder  to  purchase  one  common  share  at  a  

price  of  $0.40  per  share  for  a  period  of  two  years.  The  securities  are  subject  to  a  four  month  hold  period  from  the  date  

of  closing.    The  placement  is  also  subject  to  final  approval  by  the  TSX  Venture  Exchange.  It  is  anticipated  that  the  net  

proceeds  of  the  placement  will  be  used  to:  

1. Finalize  operational  permitting  for  the  Bissett  Creek  graphite  project;  

2. Update  the  bankable  Full  Feasibility  Study  to  reflect  a  substantial  decline  in  the  CDN/US  exchange  rate,  lower  oil  

prices  and  more  competitive  equipment  pricing,  and  to  integrate  some  modifications  to  the  flow  sheet;  

3. Conduct  a  pilot  plant  test  of  the  Company’s  proprietary  purification  process  which  has  the  potential  to  provide  a  

substantial  competitive  advantage  in  the  manufacture  of  anode  material  for  lithium  ion  batteries;  and    

4. Provide  working  capital  for  general  corporate  purposes.  

The   Company   paid  finders’  fees  on   part   of   the  private  placement  which   consisted  of  $136,500  in   cash   and  455,000  

warrants,  with  each  warrant  exercisable  to  acquire  one  common  share  at  a  price  of  $0.35  for  a  period  of  one  year.  

Gregory   Bowes,   Chief   Executive   Officer,   commented   that;  “The   financing   was   oversubscribed   which   I   believe   is   a  

reflection  of  the  quality  of  the  Company’s  asset  and  the  outlook  for  the  graphite  market.      The  financing  provides  the  

means  to  continue  moving  forward  with  preparations  for  full  project  financing,  construction  and  production.“  

This  press  release  is  for  informational  purposes  only  and  shall  not  be  constituted  as  an  offer  to  sell  or  the  solicitation  of  

an  offer  to  buy  the  units  nor  shall  there  be  any  sale  of  the  units  in  any  jurisdiction  in  which  such  sale  would  be  unlawful.  

About  Northern  Graphite    

Northern  is   a   Canadian   company   that   has   a   100%   interest   in   the   Bissett   Creek   graphite  deposit  located  in  southern  

Canada,  relatively  close  to  all  required  infrastructure.    Bissett  Creek  is  an  advanced  stage  project  with  a  Full  Feasibility  

Study   and   its   major   environmental   permit.     Subject   to   the   completion   of   operational   and   species   at   risk   permitting,  

which   are  well  advanced,   Northern  could  commence   construction   in   2017  pending  financing.    The   Company  believes  

Bissett  Creek  has  the  highest  margin,  best  flake  size  distribution  and  lowest  marketing  risk  of  any  new  graphite  project,  

and  has  the  added  advantages  of  low  capital  costs  and  realistic  production  levels  relative  to  the  size  of  the  market.    

Gregory  Bowes,  B.Sc.  MBA,  P.  Geo.,  a  Qualified  Person  as  defined  under  NI  43 -­‐101,  has  reviewed  and  is  responsible  for  

the  technical  information  in  this  press  release.  

For  additional  information,  please  contact:         Gregory  Bowes,  CEO    (613)  241-­‐9959      

This  press  release  contains  forward-­‐looking  statements,  which  can  be  identified  by  the  use  of  statements  that  include  words  such  as  

"could",   "potential",   "believe",   "expect",   "anticipate",   "intend",   "plan",   "likely",   "will"   or   other   similar   words   or   phrases.   These  

statements  are  only  current  predictions  and  are  subject  to  known  and  unknown  risks,  uncertainties  and  other  factors  that  may  cause  

our  or  our  industry's  actual  results,  levels  of  activity,  performance  or  achievements  to  be  materially  different  from  those  anticipated  

by  the  forward-­‐looking  statements.  The  Company  does  not  intend,  and  does  not  assume  any  obligation,  to  update  forward -­‐looking  

statements,  whether  as  a  result  of  new  information,  future  events  or  otherwise,  unless  otherwise  required  by  applicable  securities  

laws.    Readers  should  not  place  undue  reliance  on  forward-­‐looking  statements.      

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.