Northern Graphite Improves Yield of Large Flake Graphite
Northern Graphite Improves Yield of Large Flake Graphite
Ottawa, Ontario – August 15, 2017: Northern Graphite Corporation (TSXV:NGC, OTCQX:NGPHF)
(“Northern” or the “Company”) is pleased to announce the results of additional metallurgical test work
carried out on ore from the Bissett Creek deposit by BGRIMM, a Chinese state owned metallurgical
research and development company. BGRIMM confirmed the high recoveries and high purities used in the
Feasibility Study (“FS”) and successfully increased the percentage of high value, +50 mesh XL flake in the
final concentrate from 48 to 61 per cent.
Gregory Bowes, CEO commented that: “We believe Bissett Creek has the best flake size distribution of any
new graphite project which will result in concentrate prices that are more than 60 per cent higher than for
the “average” project, and we will not have the fines problem that characterizes almost every graphite
deposit.” He added that “XL flake markets are growing rapidly while Chinese production of XL flake is
declining which creates an excellent opportunity for the Bissett Creek Project.”
Estimated Revenue per tonne of Concentrate (US$)
Flake Size Distribution
Flake Size Current Price1 Northern2 Average Project1
+32 mesh XXL $2,200 30% -‐
+50 mesh XL $1,600 43% 20%
+80 mesh Large $1,000 20% 25%
+100 mesh Medium $900 7% 10%
+150 mesh Small $800 0% 20%
-‐150 mesh fines3 $500 0% 25%
100% 100%
Estimated revenue/tonne of concentrate (US$) $1,600 $950
1 Company estimates from market sources and public information. 2 Graphite concentrates are priced and sold as 80% meeting the size requirement. Smaller sizes can be
blended in to make up the balance as long as the required purity level is maintained.
3 Limited marketability.
China produces 70 to 80 per cent of the world’s graphite and has substantial expertise in graphite mining
and processing. BGRIMM was engaged to complete a full suite of metallurgical testing to confirm the
assumptions and estimates used in the FS and to determine if they could be improved and costs reduced.
Testing included chemical analysis, X-‐ray diffraction, thin section analysis, process mineralogy, progressive
grinding tests, reagent regime tests for rougher flotation, flotation times, first and second stage regrinding
tests for cleaner flotation, open-‐circuit tests, locked-‐cycle testing and recycled water tests. BGRIMM
achieved a purity level over 95 per cent and a carbon recovery over 96 per cent in locked cycle tests which
are consistent with the FS. Most importantly, the concentrate was 25 per cent +32 mesh XXL flake and 36
per cent +50 mesh XL flake for a combined total of 61 per cent (compared to 48 per cent in the FS). An
additional 17 per cent was +80 mesh large flake and only 14 per cent was less than 100 mesh, small flake.
Work carried out by BGRIMM and the Company’s Brazilian metallurgical consultant have also identified a
number of opportunities to potentially reduce capital and operating costs. These modifications are
currently being evaluated at SGS Lakefield.
About BGRIMM
BGRIMM is a premier Chinese institute in the field of mining and metallurgical technology and operates
directly under the Chinese Government (SASAC). It has over 4,000 employees, is headquartered in Beijing
and has operations in a number of provinces including Hebei, Jiangsu, Liaoning and Hunan as well as
Santiago, Chile. BGRIMM has been conducting research on graphite since the 1970s and its services
include mining, mineral processing (process development, flotation and reagent optimization and
equipment design), and purification and downstream processing. It has completed a number of key
national projects in recent years.
About Northern Graphite
Northern Graphite is a Canadian company that has a 100% interest in the Bissett Creek graphite depo sit
located in southern Canada and relatively close to all required infrastructure. Bissett Creek is an advanced
stage project that has 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 early 2018 subject to obtaining the required financing. Northern believes that
Bissett Creek has the best flake size distribution, highest margin and lowest marketing risk of any new
graphite project, and has the added advantages of a low capital cost and realistic production target
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 news 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 Companies
do not intend, and do 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.