NOUVEAU MONDE SIGNS A LOI WITH SHINZOOM TO MARKET LITHIUM-ION BATTERY ANODE MATERIAL IN NORTH AMERICA Symbols: Nouveau Monde - NOU (TSX Venture), OTCQB: NMGRF, Frankfurt: NM9
NOUVEAU MONDE SIGNS A LOI WITH SHINZOOM TO MARKET LITHIUM-ION BATTERY
ANODE MATERIAL IN NORTH AMERICA
Symbols:
Nouveau Monde - NOU (TSX Venture), OTCQB: NMGRF, Frankfurt: NM9
FOR IMMEDIATE RELEASE
July 25th, 2017
SAINT-MICHEL-DES-SAINTS, QUEBEC – Nouveau Monde Graphite Inc. (TSX-V: NOU)
(“Nouveau Monde” or the “ Corporation”) has signed a non-binding letter of intent (or
“LOI”) with Hunan Zhongke Shinzoom Co. Ltd. (“ SHINZOOM”), a Chinese lithium -ion
battery anode producer and developer (the “Parties”). The pu rpose of the proposed
collaboration is to actively participate in the growing North American Li-Ion battery anode
material market. To attain this goal the Parties seek to form a new corporation
(“Distribution JV”) which will be owned 51% by SHINZOOM and 49% by Nouveau Monde.
Distribution JV will exclusively market SHINZOOM’s anode materials to lithium battery
manufacturers in North America. Subject to SHINZOOM’s investment policy and criteria,
if the Distribution JV brings successful marketing and distribution results satisfactory to
both SHINZOOM and Nouveau Monde in the first 18 months of Distribution JV, the Parties
will evaluate the feasibility of manufacturing SHINZOOM’s a node material products
(natural graphite, artificial graphite and composite graphite) in the Province of Quebec.
Subject to conditions stated hereto , the processing of anode material products in the
Province of Quebec would be developed through a new corpo ration (“Processing JV“)
which would be owned 51% by Nouveau Monde and 49% by SHINZOOM. The non-binding
LOI is conditional to various conditions which are amongst them, a mutual satisfactory
due diligence and the execution of the definitive agreements such as distribution
agreement and shareholder agreement (the “definitive agreements”) no later than
October 1st, 2017. Completion of the transaction is subject to a number of conditions.
There can be no assurance that the transaction will be completed as proposed or at all.
Éric Desaulniers, President and CEO of Nouveau Monde stated: “SHINZOOM is a well -
respected and established anode material producer in Asia. The collaboration between
SHINZOOM and Nouveau Monde , if realized by the execution of the definitive
agreements, would provide North American battery makers with much needed high -
quality and competitively -priced anode materials. This strategy would allow Nouveau
Monde to become more vertically integrated and initiate a dialogue with customers. Mr.
Desaulniers continued, “Our graphite project is not covered in the non-binding LOI, but
anodes require graphite and in the event of potential manufacturing of SHINZOOM’s
anode material products in Quebec it would obviously be beneficial for Nouveau Monde’s
graphite products. The signing of this non-binding LOI paves a way for Nouveau Monde
to actively engage customers today as well as develop its Matawinie graph ite project,
with a goal of maximizing downstream graphite market exposure.”
“The North American market has tremendous growth potential for SHINZOOM and we
are ready to penetrate this market with our leading -edge anode material products,”
commented Mr Tao Pi , General Manager of SHINZOOM. “We have already started
building relationship with customers in North America. We believe that Nouveau Monde
has good connections with major North American battery manufacturers and we sincerely
hope that our collaboration with Nouveau Monde will immediately increase our sales in
North America.”
About Shinzoom
Hunan Zhongke S hinzoom Co., Ltd. is a hi -tech enterprise specializing in the R&D and
production of LiB anode materials in China. Taking the R&D of power LiB anode materials
as its cardinal direction, its products have also covered multi-fields of individual consumer
LiB like Aluminum -can Type, Cylindrical Type, Polymer Type, etc. It’s one of the anode
material suppliers for E -buses used in Beijing Olympic 200 8, Shanghai World Expo 2010
and Shenzhen Universiade 2011 held in China, and had gained a high reputation and a
profound influence in the industry.
About Nouveau Monde Graphite
With a management team that has over 40 years of recent experience in the production,
processing and marketing of natu ral graphite, Nouveau Monde Graphite (NMG) is a
dynamic company positioned as a future leader in the emerging North American graphite
and anode ma terial for lithium -ion battery markets. NMG is evaluating its Matawinie
graphite project discovered in 2015 with the objective of becoming the largest graphite
mine in North America. The company published a Preliminary Economic Assessment,
completed according to NI 43 -101 guidelines, in June of 2016. ( see press release dated
June 22, 2016 : http://bit.ly/2tEsoPT). The project is located in the Saint-Michel-des-Saints
area, some 120 km north of Montreal, Quebec, Canada. It has direct access to all needed
infrastructure, labour as well as green and affordable hydroelectricity. NMG is developing
its project with the highest corporate social responsibility standards while targeting a low
environmental footprint (targeting a net zero carbon emission operation.
This press release was prepared by Eric Desaulniers, M.Sc., P.Geo., President and CEO of
Nouveau Monde, Qualified Person under National Instrument 43-101 guidelines.
Completion of the transaction is subject to a number of conditions, including but not
limited to, TS X Venture Exchange acceptance. There can be no assurance that the
transaction will be completed as proposed or at all.
For further information, please contact:
Lamia Charlebois, Public Relations for AGC Communications.
(514) 279-4601
To read the press release translated into simplified Chinese:
http://nouveaumonde.ca/nouveau-monde-signs-loi-shinzoom-market-lithium-ion-
battery-anode-material-north-america/
Neither the TSX -V nor its Regulation Services Provider (as that term is defined in the
policies of the TSX-V) has in any way passed upon the merits of the proposed transaction
or approved or disapproved the contents of this press release.
Except for historical information, this press release may contain "forward -looking
statements" and "forward -looking information" within the meaning of applicable
securities laws that reflect the Nouveau Monde's current expectation regarding future
events, including, without limitation, the execution of the definitive agreements. Forward-
looking statements contained in this press release involve known and unknown risks,
uncertainties and other factors that may cause actual results, performance and
achievements of Nouveau Monde, as the case may be, to be materially different from any
future results, performance or achievements expressed or implied by the said forward -
looking statements. Nouveau Monde expressly disclaims any intention to update or revise
any forward-looking statements and information whether as a result of new information,
future events or otherwise, other than as required by law.