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TORONTO, ON/ACCESSWIRE/April 21, 2022/ Graatomic Inc. (“Gratomic”, “GRAT,” or the “Company”) (TSXV:GRAT)(OTCQX:CBULF)(FSE:CB82) announces the production of the first batch of processed graphite from its Aukam plant in Namibia, as part of the wet commissioning and operational readiness process the facility is currently undergoing. Today we celebrate the first product manufactured at the Aukam site since 1974.
Gratomic carried out its first PRODUCT IN BAG (GDP) milestone by generating a metric ton of material that was produced and transferred to inventory. This material will be sent to SGS Lakefield for product development in compliance with the Company’s obligation to modify the product to meet the needs of end users. This is an important step that is necessary in the product development process, upon which the Company’s product line is based. The product line will include SG16, which is for anode material development and spheronization, M97, which is highly refined but not spheronized, and C99 and +895, which are less targeted for specific applications.
The grade that has been produced would be suitable for applications in the refractory, powder metallurgy, lubricant and friction element markets, and with further micronization and spheronization the material will be suitable for use as an anode material in li ion batteries. As the plant nears the end of its operational readiness, more types of products of different specifications will be generated, including higher value-added applications such as battery anode, until for the plant to become fully operational. Samples will be sent to independent laboratories to confirm the quality of the product obtained on site at Aukam.
The finished product was fabricated from the site’s historic inventory and, upon execution, all process plant components were commissioned, confirming the concepts idealized by the company’s engineering team. and functionality of different types of equipment. Gratomic will continue to optimize the process plant throughout the operational readiness phase and into full production.
Shown below: microscopic photographs taken on site showing the final concentrate sampled from the product in the bag.
Shown in more detail: photograph of graphitic material flowing down the chute from company-designed flotation columns during processing.
Below: The Aukam team posing with the first official product in a bag.
Gratomic would like to point out that no preliminary economic analysis, preliminary feasibility study or feasibility study has been carried out to support a level of production. In fact, no mineral resources, let alone mineral reserves demonstrating economic viability and technical feasibility, have been delineated on the Aukam property.
The Company is working on a feasibility study (FS) on the Aukam processing plant. The study, its recommendations and their subsequent implementation will provide conclusions and recommendations at an FS comfort level regarding the scaling up of the existing processing plant into a commercial scale processing facility capable of produce the desired concentrate grades and production rates.
Gratomic would like to emphasize that the supply of graphite is conditional on Gratomic being able to bring the Aukam project into production, and on any graphite being produced to meet certain technical and mineralization requirements. Gratomic continues to focus its business on production and, as part of its business plan, expects to file a resource estimate under National Instrument 43-101 Disclosure Standards for Mining Projects in the third quarter 2022.
No mineral resources, let alone mineral reserves demonstrating economic viability and technical feasibility, have been delineated on the Aukam property. The Company is unable to demonstrate or disclose any capital and/or operating costs that may be associated with the processing plant until the EPF is complete.
The Company indicates that it did not base its production decision even on the existence of mineral resources and even less on a PFS or a feasibility study of the mineral reserves, demonstrating the economic and technical viability, and, therefore, there may be increased uncertainty as to the achievement of any particular level of mineral recovery or the cost of such recovery, including the increased risks associated with developing a commercially mineable deposit.
Historically, such projects have a much higher risk of economic and technical failure. There is no guarantee that production will begin as planned or not at all or that planned production costs will be achieved.
The inability to commence production would have a material adverse effect on the Company’s ability to generate revenue and cash flow to fund its operations. Failure to achieve planned production costs would have a material adverse effect on the Company’s future cash flow and profitability.
Gratomic is a multinational company with projects in Namibia, Brazil and Canada. The company is focused on becoming one of the world’s leading suppliers of graphite and aims to secure a strong position in the EV (electric vehicle) battery supply chain. With the continued development of its flagship Aukam project and continued exploration on the Company’s Capim Grosso property, Gratomic sets itself apart by sourcing unique high-quality assets around the world. True to its roots, the Company will continue to explore graphite opportunities with development potential. The Company ranked third among the top 10 preforming mining stocks on the 2022 TSX Venture 50.”
Large quantities of high quality vein graphite were shipped for testing to confirm its viability as an anode material. Gratomic is confident that the test results will provide a unique competitive advantage in its desired target markets. The Company will continue to update the public on the status of these tests and will provide results as they become available.
The Company has entered into a collaboration agreement with Forge Nano. With its patented ALD (Atomic Layer Deposition) coating, this cooperation with Forge Nano is a key element to support Gratomic’s strategies towards the value-added phases of graphite production for anode applications, namely micronization, spheronization and coating, making Gratomic’s graphite a preferred choice. choice for use in lithium-ion batteries.
For more information: visit the website at www.gratomic.ca or contact:
Arno Brand at [email protected] or (416) 561-4095
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For marketing and media information, please email: [email protected]
“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.”
This press release contains forward-looking statements, which relate to future events or future performance and reflect management’s current expectations and assumptions. These forward-looking statements reflect management’s current beliefs and are based on assumptions made by the Company and information currently available to it. Investors are cautioned that these forward-looking statements are neither promises nor guarantees and are subject to risks and uncertainties that may cause future results to differ materially from those expected. These forward-looking statements are made as of the date hereof and, except as required by applicable securities laws, the Company undertakes no obligation to update or revise them to reflect new events or circumstances. All forward-looking statements made in this press release are qualified by these cautionary statements and by those made in our filings with SEDAR in Canada (available at www.sedar.com)
THE SOURCE: Graatomic Inc.
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