Gratomic Sets New Record After Extracting 150 tonnes of Graphite in a Single Shift
Gratomic Inc. has announced a significant milestone at its Aukam Graphite Project, where it extracted over 150 tonnes of graphite in a single shift, setting a new record. This achievement is part of the earth-moving activities that commenced following the opening of access roads. The vein's discovery validates prior geological plans and indicates additional mineralization potential. However, the company emphasizes that no feasibility studies have demonstrated the economic viability of the project, and there are risks associated with starting production, which could adversely affect revenue.
- Extracted over 150 tonnes of graphite in a single shift, setting a new record.
- Discovery of a new graphite vein confirms geological understanding and potential for mineralization.
- No feasibility studies have demonstrated economic viability of the Aukam project.
- Increased uncertainty regarding mineral recovery and production costs, with risks of economic and technical failure.
- Failure to commence production could materially impact revenue and cash flow.
TORONTO, ON / ACCESSWIRE / September 20, 2022 / Gratomic Inc. ("Gratomic", "GRAT," or the "Company") (TSXV:GRAT)(OTCQX:CBULF)(FSE:CB82) announces an additional progress update on earth-moving activities at its Aukam Graphite Project, further to its press release dated September 20, 2022. The Aukam mining team began extracting graphite from a newly discovered graphite vein in the early hours of the morning, unearthing more than 150 tonnes of graphite in one working shift and breaking the all-time record of graphite extracted at Aukam in a single day. The vein was excavated approximately 2.5 meters deep, exposing the over 150 tonnes of graphite hosted below the surface.
Drilling into the location of this vein was impossible prior to the road opening and the start of the benching program. Gratomic geologists had previously planned to drill the area subsequent to the benching program and finding this vein confirms that the planning is consistent with the Company's understanding of the geology present at Aukam. The vein is open at depth and future drilling will determine the extent of mineralization.
The benching process typically involves successively cutting berms alongside the mountain edge to expose underground material, at the same time ensuring the stability of the mountain structure. This process allows for the collection of graphite in stages as the plaforms are constructed on the Aukam mountain.
Arno Brand, President & CEO, states, "This momentus achievement by the Gratomic Aukam mining team sets a very positive trend forward to what is expected as the program continues. Watching the stockpiles grow gives us an immense sense of achievement that we are moving closer and closer to commericalizing our Aukam project."
"Another great step is confirming that we are moving in the right direction at Aukam", says Armando Farhate, COO and Head of Graphite Marketing & Sales.
Gratomic wishes to emphasize that no Preliminary Economic Analysis, Preliminary Feasibility Study or Feasibility Study has been completed to support any 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 towards completing a Feasibility Study (FS) on the Aukam Processing plant. The study, its recommendations, and their subsequent implementation, will provide conclusions and recommendation at a FS level of comfort relating to the scale up of the existing processing plant to a commercial scale processing facility capable of producing the desired concentrate grades and production rates.
Gratomic wishes to emphasize that the supply of graphite is conditional on Gratomic being able to bring the Aukam project into a production phase, and for any graphite being produced to meet certain technical and mineralization requirements.
Risk Factors
No mineral resources, let alone mineral reserves demonstrating economic viability and technical feasibility, have been delineated on the Aukam Property. The Company is not in a position to demonstrate or disclose any capital and/or operating costs that may be associated with the processing plant until the FS (Feasibility Study) is completed.
The Company advises that it has not based its production decision on even the existence of mineral resources let alone on a Preliminary Feasibility Study or FS of mineral reserves, demonstrating economic and technical viability, and, as a result, there may be an increased uncertainty of achieving any particular level of recovery of minerals or the cost of such recovery, including 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 anticipated or at all or that anticipated production costs will be achieved.
Failure to commence production would have a material adverse impact on the Company's ability to generate revenue and cash flow to fund operations. Failure to achieve the anticipated production costs would have a material adverse impact on the Company's cash flow and future profitability.
About Gratomic
Gratomic is a multinational company with projects in Namibia, Brazil, and Canada. The Company is focused on becoming a leading global graphite supplier and aims to secure a strong position in the EV battery supply chain. With the continued development of its flagship Aukam project and further exploration on the Company's Capim Grosso property, Gratomic sets itself apart by seeking out unique top-quality assets around the world. True to its roots, the Company will continue to explore graphite opportunities displaying potential for development. The Company ranked third place in the top 10 preforming mining stocks on the 2022 TSX Venture 50™.
Large quantities of high-quality vein graphite have been 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 soon as they become available.
The Company has formed a collaboration agreement with Forge Nano. With its patented ALD coating, this cooperation with Forge Nano is a key element to support Gratomic's strategies towards the value-added phases of production of graphite for anode applications, namely micronization, spheronization and coating, making Gratomic graphite a preferred choice for use in lithium-ion batteries.
For more information: visit the website at www.gratomic.ca or contact:
Arno Brand at abrand@gratomic.ca or (416) 561- 4095
Subscribe at gratomic.ca/contact/ to be added to our email list.
For Marketing and Media information, please email: info@gratomic.ca
"Neither 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."
Forward Looking Statements:
This news release contains forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. 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 under applicable securities legislation, the Company does not assume any obligation to update or revise them to reflect new events or circumstances. All of the 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).
SOURCE: Gratomic Inc.
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