Nouveau Monde Updates Mineral Resource Estimate FOR Its WEST Zone Deposit, Matawinie Graphite Property Symbol: NOU (TSX Venture), OTCQB: Nmgrf, Frankfurt: NM9
NOUVEAU MONDE UPDATES MINERAL RESOURCE ESTIMATE FOR ITS WEST ZONE
DEPOSIT, MATAWINIE GRAPHITE PROPERTY
Symbol: NOU (TSX Venture), OTCQB: NMGRF, Frankfurt: NM9
FOR IMMEDIATE RELEASE
March 2nd, 2017
MONTREAL, QUEBEC –Nouveau Monde Graphite Inc. (TSX-V: NOU) (“Nouveau Monde”
or the “Corporation”) is pleased to announce the results of an updated pit-constrained
Mineral Resource Estimate (the “Current Resource”) concerning the West Zone Deposit,
located on the Tony claim Block , part of its Matawinie graphite Property. The Current
Resource is summarized in Table 1 below and is compared to the pit-constrained
Mineral Resource E stimate (the “ Previous Resource”) included in the Preliminary
Economic Assessment report press released on June 22, 2016.
Table 1: Pit-constrained Mineral Resource Estimate for the West Zone1
Mineral
Resource
Category2
Current Resource (March 2, 2017)8, 9 Previous Resource (June 22, 2016)8
Tonnage (Mt)5,7 Grade
(% Cg)3 Cg (Mt) Tonnage (Mt)6,7 Grade
(% Cg)3 Cg (Mt)
Indicated 32.9 4.50 1.48 16.0 4.38 0.70
Inferred4 0.2 4.84 0.01 14.8 4.88 0.72
1 The Mineral Resources provided in this table were estimated using current Canadian Institute of Mining,
Metallurgy and Petroleum (CIM) Standards on Mineral Resources and Reserves, Definitions and Guidelines.
2 Mineral resources that are not mineral reserves have not demonstrated economic viability. Additional
trenching and/or drilling will be required to convert Inferred and Indicated Mineral Resources to Measured
Mineral Resources.
3 All analyses used for the Resource Estimates were performed by ALS Minerals Laboratories and delivered
as graphitic carbon (“% Cg”), internal analytical code C-IR18.
4 Inferred Mineral Resources represent material that is considered too speculative to be included in
economic evaluations. Additional trenching and/or drilling will be required to convert Inferred Mineral
Resources to Indicated or Measured Mineral Resources.
5 Current Resource effective March 2nd, 2017.
6 Previous Resource published June 22nd, 2016.
7 Both Current and Previous Mineral Resources are stated at a cut-off grade of 2.28% Cg.
8Although the Current Resource is constrained within a pit envelope generated using the same economic
parameters as the Previous Resource, the latter was further refined using a mine design plan. This exercise
was not performed for the Current Resource.
9The Current Resource was constrained at an elevation of 390 m above sea level (ASL) to better
approximate the parameters used to generate the Previous Resource.
Eric Des aulniers commented “I am very pleased with our recent drill program which
essentially enabled us to move 100% of our inferred resource into the indicated
resource category. This speaks to the quality of our original drill ing and the strength of
the deposit mineralization . The next step will be to input this information in to our
optimized mine plan that will be the basis of our pre -feasibility study due out in
September 2017. My team is led by in -house professionals with years of hands-on
graphite production experience. Their leadership and input into our pre -feasibility study
will be invaluable and gives me increased confidence in the quality of our new project
economics to come.”
Various characteristics of the Current Resource pit envelop e are compared to the
Previous Resource pit envelop in Table 2.
Table 2. Current and Previous Resource Pit Envelope Characteristics.
Pit Envelope Characteristics Current Resource
(March 2, 2017)3, 4
Previous Resource
(June 22, 2016)3
Length (m)1 2300 1690
Maximum width (m)1 400 400
Surface area (square km) 0.4826 0.4825
Minimum pit elevation (m)2 390 390
Maximum vertical difference
between pit depth to original
surface elevation (m)2
145 145
Waste to Ore Ratio 1.04 : 1 0.94 : 1
1 Measured length is approximate.
2 Elevation is measures above sea level or “ASL”.
3 Although the Current Resource is constrained within a pit envelope generated using the same economic
parameters as the Previous Resource, the latter was further refined using a mine design plan. This exercise
was not performed for the Current Resource.
4The Current Resource was constrained at an elevation of 390 m above sea level (ASL) to better
approximate the parameters used to generate the Previous Resource.
The Current Resource presented here was generated following the addition of 41 core
drill holes and three (3) trenches completed in 2016. Last year’s exploration work aimed
at upgrading the previous West Zone resources from the Inferred Resource Category to
the Indicated Resource Category by infill drilling and trenching . The 2016 work also
intended to extend the resources further to the north and to the south of the West
Zone following encouraging results from earlier airborne and ground geophysical
surveys.
A map displaying the West Zone 2014 to 2016 core drilling and trenching locations as
well as a plan view of the Current Resource is available through this
link: http://nouveaumonde.ca/wp-content/uploads/PR_West_Zone_20170302_EN.pdf
Data Sources and Estimation Methods
The block model, used to generate the Current Resource of the West Zone, is based on a
total of 68 core drill holes which produced 3693 samples as well as 207 samples
collected from channelling work in three (3) trenches. This does not include the quality
control samples which comprise of 172 duplicate, 171 blank and 82 standard sam ples,
all of which returned within acceptable limits. In all, 17 mineralized horizons encased in
paragneiss units were interpreted and modelled from this data.
The Current Resource block model for the West Z one was prepared by Yann Camus, P.
Eng., of SGS Canada Inc. – Geostat ("SGS Geostat" ) from Blainville, Québec, using the
Genesis© mining software. Interpolation was performed us ing inverse square distance
(ID2) as well as different search ellipses which were adapted for the geolog y of the
deposit. The block model was then fed to GEOVIA’s WhittleTM software to provide a pit-
constrained Mineral Resource Estimate. The parameters used to generate the pit
envelope were similar to the ones used for the Previous Resource and are available
below in Table 3. The pit-envelope containing the Current Resource was limited to the
Tony Block property boundary to the south of the West Zone deposit as well as to an
elevation of 390 m above sea level in order to better approximate the parameters used
to generate the Previous Resource . Although the pit envelope confining the Current
Resources was generated using the same parameters as the pit envelope for the
Previous Resources, the latter was further refined using a mine design including the
ramp. This exercise was not performed for the Current Resource.
Table 3. Pit Envelope Generation Parameters
Parameters Values
Currency CAD
Block size 5m x 5m x 5m
Specific Gravity 2.76 t/m3
Overall slope
angle
rock 50°
overburden 25°
Pit selection method Cash Flow
Mining cost rock 6.50 $/t
overburden 5.20 $/t
Mining dilution 5%
Mining recovery 95.2%
Rehabilitation Cost 0.61 $/t
Processing Cost 15.84 $/t
Processing Recovery 89.50%
G&A 4.16 $/t
Selling Price of concentrate 1430 $/t
Concentration of Cg in the concentrate 97.3%
Initial Capex 110 M$
Discount Rate 8%
Target Processing Rate/yr 1.212 Mt
It is important to note that Nouveau Monde will not be issuing a Technical Report
detailing the Current Resource. Nouveau Monde has initiated work towards completing
a Prefeasibility Study for September 2017 in which mining and economic parameters are
expected to be updated and refined resulting in a Mineral Reserve for the West Zone.
Nouveau Monde did not perform any work on its other mineralized z ones located in its
Tony claim Block during 2016. The corporation will continue to focus its efforts on its
West Zone deposit in the short to medium term. A map displaying the Tony claim Bloc k
including the location of all identified mineralized zones and significant results is
available thru this link: http://nouveaumonde.ca/wp-
content/uploads/PR_Tony_Block_20170302_EN.pdf
Nouveau Monde will be exhibiting at the Prospectors and Developers Association
Conference (PDAC) from Sunday, March 5, 2017 to Wednesday March 8, 2017 in booth
number 2830 of the Investors Exchange Forum. Company representatives will be on
hand to speak about the updated resource as well as other exciting developments at
Nouveau Monde.
About Nouveau Monde
In 2015, Nouveau Monde discovered a g raphite deposit on its Tony claim block, part of
its fully owned Matawinie graphite Property. This discovery resulted in the publishing of
a Preliminary Economic Assessment , completed according to NI 43 -101 guidelines, in
June of 2016. This study demonstrated strong economics with a planned production of
50,000 tpy of high purity flak e graphite over a period of 25.7 years which is expected to
provide a solid operational margin and relatively low capital expenditure s (see press
release dated June 22, 2016). 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. Nouveau Monde
is developing its project with the highest corporat e social responsibility standards while
targeting a low environmental footprint (targeting a net zero carbon emission
operation).
The technical information present ed in this news release was prepared by Yann Camus,
P. Eng., of SGS Canada Inc. – Geostat, an independent Qualified Person as defined by NI
43-101.
For further information, please contact:
Eric Desaulniers, M.Sc., P.Geo.
President and Chief Executive Officer of Nouveau Monde
(819) 923-0333
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.
Except for historical information contained herein, this news release contains forward-
looking statements that involve risks and uncertainties. Actual results may differ
materially from those anticipated by such statements. Nouveau Monde will not update
these forward -looking statements to reflect events or circumstances after the da te
hereof. More detailed information about potential factors that could affect financial
results is included in the documents filed from time to time with the Canadian securities
regulatory authorities by Nouveau Monde.