NMG Furthers its Value-Added Graphite Coating Efforts and Obtains Renewed Support from the Government of Canada
NMG Furthers its Value-Added Graphite Coating Efforts and Obtains
Renewed Support from the Government of Canada
• Coating is the ultimate beneficiation step for graphite anode material; NMG is set to
have a 2,000 tpa of CSPG production capacity thanks to its Phase-1 coating unit
• NMG’s innovative coating technology could generate up to 25% energy reduction,
optimize production flow and provide versatility for different precursors as R&D
advances
• NMG aspires to become North America’s largest and first fully-integrated lithium-
ion battery anode material producer with one of the lowest environmental footprints
within its sector
• NMG has secured a grant from the Government of Canada, to further advance the
deployment of its proprietary coating technology
• The Canadian and U.S. battery value chain is fast developing and seeking local
alternatives to Asian material supplies
MONTRÉAL--(BUSINESS WIRE)--March 31, 2022--A reflection of its focus on green
technologies and local advanced manufacturing, Nouveau Monde Graphite Inc. (“NMG”,
“Nouveau Monde” or the “Company”) (NYSE: NMG, TSXV: NOU) has secured a $5.75 million
grant from Sustainable Development Technology Canada (“SDTC”), a flagship program from
the Government of Canada, for the deployment of its proprietary coating technology. Funding
will support the ongoing construction of a Phase-1 commercial-scale unit to produce coated
spherical purified graphite (“CSPG”) to complete the Company’s local, carbon-neutral and fully
integrated value chain, from mining to beneficiation of anode material, for the growing lithium-
ion battery market.
The Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry,
remarked: “This is the time for bold and ambitious action. Our government is proud to support
groundbreaking companies, like Nouveau Monde Graphite, that are making Canada a global
leader in clean technology while ensuring a greener future for everyone. These innovators are
driving our economic prosperity while creating well-paying jobs across Canada. They are key to
the vital shift to a healthier environment and a net-zero carbon economy.”
Coating is the ultimate beneficiation step for graphite anode material, creating a stable electrolyte
interface layer in the battery system and increasing first-cycle efficiency. Production has
historically been concentrated in Asia, with limited capacity and technological expertise in the
Western World.
NMG is developing a vertically integrated natural graphite production, from ore to battery
material, by leveraging its wholly-owned Matawinie graphite deposit and advanced
manufacturing proprietary technologies, namely in purification and coating, to extract, transform
and generate economic returns on this Canadian local natural resource.
NMG has opted for an innovative coating technology that could generate up to 25% energy
reduction, optimize production flow and provide equipment versatility for accommodating
different precursors as the Company advances its research and development program. The
Company’s proprietary coating process has already demonstrated its high performance in
electrochemical tests. Under the same conditions in half-button cell batteries, the reversible
capacity (a measure of the energy density for performance) obtained with NMG’s anode material
is 365 mAh/g compared with 360 mAh/g for the leading Asian standards.
Arne H Frandsen, Chair of NMG said: “Nouveau Monde has a clear vision of supplying the
market with high value-added anode materials, critical for the electrification and
decarbonization of our society. The ability to provide coated battery-grade graphite is critical
for our value proposition. With our Québec-based coating facility, we will have a 100% value
chain – exclusively based in Canada. We all remain most grateful for the continued support.”
Eric Desaulniers, Founder, President, and CEO of NMG, commented: “The support reiterated by
the federal government is instrumental in our effort to position Canada as a high-quality,
environmentally focused and competitive alternative to existing Asian anode material producers.
Our Phase-1 modules continue to accelerate the commercialization of our advanced products
while derisking our development profile. At NMG, we aspire to become North America’s largest
and first fully-integrated lithium-ion battery anode material producer for the world’s leading
battery and auto manufacturers.”
Leah Lawrence, CEO of SDTC, added: “There is a tremendous opportunity to build a lithium-
ion battery supply chain here in Canada. With their domestic sustainable low-carbon graphite
production, Nouveau Monde Graphite is tapping into this opportunity. SDTC is happy to fund a
company gearing up to compete on the global market while ensuring sustainability.”
The Canadian electric hub is fast developing with recent announcements from producers in
critical minerals and metals, electrodes and batteries, as well as original equipment
manufacturers. From four battery factories currently in production in Canada and the U.S., 17 are
in construction or planned on the continent (Benchmark Mineral Intelligence, March 2022),
adding pressure to already constrained procurement sources.
NMG is advancing with the deployment of its CSPG production with the construction of its
Phase-1 coating line, targeted for commissioning before the end of H1-2022. This unit will
complete the Company’s graphite-based product range for the electric vehicle and renewable
energy sectors by having a production capacity of up to 2,000 tpa of anode material.
About Nouveau Monde
Nouveau Monde is striving to become a key contributor to the sustainable energy revolution. The
Company is working towards developing a fully integrated source of carbon-neutral battery
anode material in Québec, Canada for the growing lithium-ion and fuel cell markets. With low-
cost operations and enviable ESG standards, Nouveau Monde aspires to become a strategic
supplier to the world’s leading battery and automobile manufacturers, providing high-performing
and reliable advanced materials while promoting sustainability and supply chain traceability.
www.NMG.com
About Sustainable Development Technology Canada
SDTC supports companies attempting to do extraordinary things. From initial funding to
educational support and peer learning to market integration, SDTC is invested in helping small
and medium-sized businesses grow into successful companies that employ Canadians from coast
to coast to coast. SDTC is relentlessly focused on supporting companies to grow and scale in an
increasingly competitive marketplace.
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Cautionary Note Regarding Forward-Looking Information
All statements, other than statements of historical fact, contained in this press release including,
but not limited to those describing the timeline and completion of the Company’s Phase-1
coating unit, the deployment of the Company’s proprietary technologies, trends in the battery
value chain, the impact of the foregoing on the project economics, the intended production
capacity of the Company’s Phase-1 coating unit, the potential results and benefits of the
Company’s proprietary coating technology, including the potential reduction in energy
consumption, the Company’s aspirations, the Company’s intended vertically integrated natural
graphite production , and those statements which are discussed under the “About Nouveau
Monde” paragraph and elsewhere in the press release which essentially describe the Company’s
outlook and objectives, constitute “forward-looking information” or “forward-looking
statements” within the meaning of Canadian and United States securities laws, and are based on
expectations, estimates and projections as of the time of this press release. Forward-looking
statements are necessarily based upon a number of estimates and assumptions that, while
considered reasonable by the Company as of the time of such statements, are inherently subject
to significant business, economic and competitive uncertainties and contingencies. These
estimates and assumptions may prove to be incorrect. Moreover, these forward-looking
statements were based upon various underlying factors and assumptions, including the current
technological trends, the business relationship between the Company and its stakeholders, the
ability to operate in a safe and effective manner, the timely delivery and installation of the
equipment supporting the production, the Company’s business prospects and opportunities and
estimates of the operational performance of the equipment, and are not guarantees of future
performance.
Forward-looking information and statements are subject to known or unknown risks and
uncertainties that may cause actual results to differ materially from those anticipated or implied
in the forward-looking information and statements. Risk factors that could cause actual results
or events to differ materially from current expectations include, among others, delays in the
scheduled delivery times of the equipment, the ability of the Company to successfully implement
its strategic initiatives and whether such strategic initiatives will yield the expected benefits, the
availability of financing or financing on favorable terms for the Company, the dependence on
commodity prices, the impact of inflation on costs, the risks of obtaining the necessary permits,
the operating performance of the Company’s assets and businesses, competitive factors in the
graphite mining and production industry, changes in laws and regulations affecting the
Company’s businesses, political and social acceptability risk, environmental regulation risk,
currency and exchange rate risk, technological developments, the impacts of the global COVID-
19 pandemic and the governments’ responses thereto, and general economic conditions, as well
as earnings, capital expenditure, cash flow and capital structure risks and general business
risks. Unpredictable or unknown factors not discussed in this Cautionary Note could also have
material adverse effects on forward-looking statements.
Many of these uncertainties and contingencies can directly or indirectly affect, and could cause,
actual results to differ materially from those expressed or implied in any forward-looking
statements. There can be no assurance that forward-looking statements will prove to be
accurate, as actual results and future events could differ materially from those anticipated in
such statements. Forward-looking statements are provided for the purpose of providing
information about management’s expectations and plans relating to the future. The Company
disclaims any intention or obligation to update or revise any forward-looking statements or to
explain any material difference between subsequent actual events and such forward-looking
statements, except to the extent required by applicable law.
The market and industry data contained in this press release is based upon information from
independent industry publications, market research, analyst reports and surveys and other
publicly available sources. Although the Corporation believes these sources to be generally
reliable, market and industry data is subject to interpretation and cannot be verified with
complete certainty due to limits on the availability and reliability of raw data, the voluntary
nature of the data-gathering process and other limitations and uncertainties inherent in any
survey. The Corporation has not independently verified any of the data from third-party sources
referred to in this press release and accordingly, the accuracy and completeness of such data is
not guaranteed.
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.
Further information regarding the Company is available in the SEDAR database
(www.sedar.com), and for United States readers on EDGAR (www.sec.gov), and on the
Company’s website at: www.NMG.com
Contacts
Julie Paquet
VP Communications & ESG Strategy
+1-450-757-8905 #140