Nov. 22, 2013
The dynamics of the global graphite industry are changing and they bode well for Focus Graphite and our shareholders. All indicators point to China’s inward-looking industrial policies as the catalyst that influences future market supply.
China’s intentions to move to a consumer state from an exporting economy will have an enormous, positive impact on emerging flake graphite producers – especially those of us who’ve structured their businesses to capture high-value contracts.
The consolidation of China’s amorphous industry and pending consolidation of the flake graphite sector intends to raise mining standards with a view to creating high-value graphite processing and purification facilities to meet its voracious domestic demand for technology-grade products. China wants to export finished goods, not raw materials.
This being the case, Focus is well-positioned to meet the challenges ahead and reap the benefits that come from a return to pre-recession pricing and more, providing an opportunity for FMS to compete for technology graphite supply contracts globally, including China.
Our long-stated goal is to become one of the lowest cost producers in the world.
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December 04, 2013: Focus Graphite Announces Successful 2013 Infill Drilling Program at the Lac Knife Graphite Project 67.8 m Grading 21.10% Cgr in Hole LK-13-187
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November 07, 2013: Focus Graphite Inc. Annouces updated economic results of its 2012 preliminary economic assessment. Click here for full release.
November 04, 2013: Focus Graphite Inc. Retains Met-Chem to complete a feasibility study and mine closure plan for Lac Knife Graphite project. Click here for full release.
November 01, 2013: Focus Graphite Inc. Announces the adoption of the advance notice by-law and other corporate development. Click here for full release.
September 27, 2013: Focus Graphite Inc. Announces the Sale of the Romer Property to Mincom Capital Inc. Click here for full release.
September 13, 2013: Focus Graphite Appoints Donald K. D Baxter, P.Eng., President & Chief Operating Officer. Click here for full release.
August 21, 2013: Message from CEO on Lac Knife Pilot Plant Tests. Click here for full text.
August 21, 2013: Focus Graphite Reports Lac Knife Pilot Plant Tests Yield Large Flake Graphite Concentrate (+ 80 mesh) Grading 98.3% Carbon. Click here for full release.
July 9, 2013: Focus Graphite Reports Final Locked Cycle Test Results From Lac Knife: Global Concentrate Grade of 96.4% C; 92.5% Flake Recovery and 35% to 58% Yield of Large High-Purity Flakes (+80 mesh). Click here for full release.
May 22, 2013: Focus Reports High-Grade Graphite Mineralization at the Lac Guinécourt Property, Quebec: Best Grab Sample Assays Ranging From 6.36% to 45.90% Graphitic Carbon. Click here for full release.
May 3, 2013; Focus Graphite Appointment: Mr. Jeff Hussey as VP Project Development, Lac-Knife High-Grade Graphite Project. Click here for full release.
Apr 25, 2013: Focus Graphite Settles Legal Recourse. Click here for full release.
Apr 17, 2013: Focus Graphite Reports Commissioning and Start Up of Lac Knife Project Pilot Plant. Click here for full release.
Apr 16, 2013: Grafoid Inc. and the University of Waterloo Announce a JV Agreement to Develop High Performance Graphene Electrochemical Energy Systems. Click here for full release.
TechNavio report identifies Focus Graphite as a “key vendor dominating the graphite space.”
London-based TechNavio is a leading global technology research and advisory company, focusing on emerging technology trends that can shape the market. On July 12th, TechNavio published the above-referenced “Global Graphite Market 2012-2016” report, in which the company’s analysts forecast the global graphite market to grow at a compound annual growth rate (CAGR) of 5.52% (2012 to 2016). A key factor contributing to this ongoing market growth is the increasing use of graphite in lithium ion batteries; however, there are a plethora of critical and necessary applications for both graphite and graphene, making them much-needed commodities. The TechNavio report identified Focus Graphite Inc. (TSXV: FMS | OTCQX: FCSMF) as a “key vendor dominating the graphite space.” Click here for full monthly review.
The Global Graphene Race
ProEdgeWire article written by President & CEO Gary Economo. Click here to access article.
Focus Graphite in International Resource Journal
Focus Announces New Graphite Discovery
Focus Graphite Inc. announces the discovery of a new graphite bearing corridor on the Company’s 100%-owned Lac Tétépisca property located to the southwest of the Manicouagan reservoir, 234 km north-northwest of Baie-Comeau, Québec.
- Bedrock sampling has resulted in the identification of a 900 m long by up to 100 m wide graphite bearing corridor on the Property
- 25 grab samples define the graphitic corridor
- 17 of which host graphitic carbon* (Cgr) grades in a range or 5.59% – 45.80% Cgr.
- 8 grab samples which delineate the graphitic trend show Cgr grades below 5.00%.
Focus Releases Positive Preliminary Economic Assesment
Focus released its NI 43-101 compliant Preliminary Economic Assessment on October 31, 2012 on its Lac Knife Graphite Project. The PEA demonstrates that the Project has robust economics and excellent potential to become a profitable producer of graphite.
- Proposed Life of Mine production of 6.0 million tonnes of mill feed at a grade of 15.66% graphitic carbon
- Mine Life of 20 years, open pit operation at 300,000 tonnes per year
- Average graphite recovery of 91.3% at Lac Knife process plant
- Life of Mine production of 928,000 tonnes of concentrate at 92% Cgr on average, or approximately 46,600 tonnes of concentrate per annum
- Thermal purification upgrade of approximately 40% of the primary concentrate to 99.99% Cgr by an existing producer with inherent purification losses of 15%
- Life of Mine Project production of 868,000 tonnes of concentrate at 93.5% Cgr on average, including 338,000 tonnes of high purity 99.95% Cgr product
- $246 million pre-tax Net Present Value (NPV) (at a 10% discount rate)
- 32% pre-tax Internal Rate of Return (IRR)
- $926 million pre-tax undiscounted cash flow
- $3.7 billion total net revenue
- Pre-tax payback period of 2.8 years
- $154 million initial capital cost, inclusive of $33 million and $24 million in working capital and contingency (25%), respectively
- $68 per tonne average unit operating cost at Lac Knife
- $435 per tonne average unit operating cost, assuming thermal purification on a contract basis
PEA economics for the Project calculated based on graphite market prices of $10,000, $1,300, and $800 per tonne of battery grade (>99.95% Cgr, +100 mesh), medium grade (>90% Cgr, -100+200 mesh) and fine grade (>80% Cgr, -200 mesh) respectively, on a FOB mine basis
About Focus Graphite
Focus Graphite Inc. is a Canadian junior explorer and owner of the 15.99% graphitic carbon Lac Knife crystalline flake graphite deposit located in the Côte Nord region of Quebec.
Focus Graphite is fast-tracking the exploration program at Lac Knife with the aim of developing one of the lowest cost producers of industrial and technology-grade graphite in the world. A NI 43-101 compliant resource estimate on the project was completed in December 2011 and PEA in October 2012.
As a junior explorer with significant cash holdings, our company is poised to assume a leading position for graphite supply on a global scale and plans an aggressive program of acquisition, mergers and joint-venturing.
Focus Graphite management has a history of success in commercial and technology development and innovation. Our board of directors is engaged, active and focused on shaping a result-driven business course that applies a core principle of building shareholder value in all activities.
We are committed to attaining the highest levels of corporate, financial, technical, environmental and socially-responsible standards.