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Northern Graphite Upgrades Concentrate Purity

Corporate Updates

Northern  Graphite  Upgrades  Concentrate  Purity  

Ottawa,   Ontario  –  April  19,   2017:  Northern   Graphite   Corporation  (TSXV:NGC,   OTXQX:NGPHF)  

(“Northern”   or  the  “Company”)  is  pleased   to  announce  the  results   of  additional   metallurgical   test   work  

designed   to   optimize   the   purity   of   concentrates   that   will   be   produced   from   the   Bissett   Creek  deposit.    

Testing   was  carried   out  by  SGS   Lakefield  (“SGS”)  and  evaluated   new  approaches  to   graphite   processing  

that  have  been  developed  since  the  Company  completed  its  Full  Feasibility  Study.    

SGS  evaluated  the  effect  on  the  flake  size  distribution  and  carbon  content  of  graphite  concentrates  from  

using  a   stirred   media  mill  instead   of,   or   as   a   compliment   to,  the   polishing   mill.    The   stirred   media   mill  

successfully  increased   the   overall   purity   of   an   earlier  pilot   plant  concentrate  from   93.4   to  97.9  per   cent  

graphitic  carbon  (“Cg”).      The  increase  was  mainly  attributable  to  the  smaller  size  fractions  which  averaged  

over  97  per  cent  Cg.    High  purity  levels  of  97  to  98  per  cent  had  already  been  confirmed  in  the  important  

+32   mesh   (XXL)   and   +50   mesh   (XL)  size   fractions  through   locked   cycle   tests.    Graphite   concentrates   are  

typically  sold  with  80%  meeting  the  required  size  standard.    Smaller  sizes  can  make  up  the  balance  as  long  

as  the  purity  level  is  maintained  which  will  be  the  case  with  Northern’s  concentrates.  

Gregory   Bowes,   CEO   commented   that:   “Bissett   Creek   concentrates  are   already   high   quality   and   the  

increased  purity  of  the  finer  materials  will  further  enhance  their  price  and  marketability.  Only  10  per  cent  

of  the  Company’s  production  will  be  -­‐150  mesh,  which  we  believe  is  the  lowest  in  the  industry,  and  it  can  

easily  be  absorbed  into  larger  size  concentrates.    Almost  every  graphite  mine  has  a  fines  problem  as  they  

must  be  sold  into  low  growth,  low  value,  competitive  markets  but  this  will  not  be  an  issue  for  Northern.“  

Purification  

The  amount  and  nature  of  impurities  in  graphite  concentrates  affects  their  value,  marketability  and  ability  

to  be  upgraded  for  use  in  higher  value  applications.      Ore  from  the  Bissett  Creek  deposit  fractures  easily,  

releasing  the   flakes,  which  are   generally   not   interleaved  with   impurities.    As   a   result,  Bissett   Creek  ore  

does   not   require  fine  grinding  or  multiple   stages   of   polishing   and   cleaning  to   achieve   required   purity  

levels.    These  steps  increase  costs  and  reduce  the  yield  of  large  flakes.    Concentrates  also  do  not  have  a  

high  iron  or   carbonate  content,  which   would  make   them   unsuitable   for   the   refractory  market,   or  large  

quartz   grains   which   would  make  them   unsuitable   for  other  markets  and  which  creates  challenges  in  

upgrading  them  for  high  purity  markets.    Independent  testing  by  NGS  Naturgraphit  GmbH  did  not  detect  

any  limitations  on  potential  uses  for  Bissett  Creek  concentrates  (see  March  2,  2015  Press  Release).  

The  largest  and  most  important  high  purity  market  is  spherical  graphite  (“SPG”),  the  anode  material  used  

in  lithium  ion  batteries.    The  main  impurity  in  the  Northern’s  concentrates  is  biotite  which  can  easily  be  

removed   using   a   cost   competitive,   environmentally   sustainable,  proprietary   process.     The   Company  is  

currently  testing  its  process  on  SPG  from  a  number  of  other  deposits  and  intends  to  conduct  a  pilot  plant  

test  to  confirm  the  ability  to  scale  the  process  to  higher  volumes  and  to  refine  capital  and  operating  costs.  

About  Northern  Graphite    

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

located  in  southern  Canada  and  relatively  close  to  all  required  infrastructure.    Bissett  Creek  is  an  advanced  

stage  project  that  has  a  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.     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.  

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  fo rward-­‐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.  Read ers  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  

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