Northern Graphite Awarded Quebec Government Exploration Grant for Lac des Iles

Rhea-AI Summary

Northern Graphite has secured a grant of up to C$400,000 from Quebec's Ministry of Natural Resources and Forests for its Lac des Iles drilling program. The grant will cover 50% of eligible geo-metallurgical and geo-environmental drilling expenses this year. The funding, part of Quebec's Mineral Exploration Support Program, aims to bolster the development of critical and strategic mineral deposits in the province. CEO Hugues Jacquemin highlighted the significance of this support for the company's contribution to Quebec's energy and technological transition. The company anticipates extending the Lac des Iles mine life by approximately eight years based on a new reserve estimate. A Phase II drilling program is also planned to explore additional targets. Preliminary findings suggest significant graphite mineralization, bolstering confidence in further extending the mine's lifespan.

Positive

• Secured grant of up to C$400,000 from Quebec's Ministry of Natural Resources and Forests.
• Grant covers 50% of eligible expenses for geo-metallurgical and geo-environmental drilling.
• New reserve estimate may extend Lac des Iles mine life by approximately eight years.
• Phase II drilling program planned to explore additional targets west of the existing pit.

Negative

• None.

Ottawa, Ontario--(Newsfile Corp. - June 27, 2024) - Northern Graphite Corporation (TSXV: NGC) (OTCQB: NGPHF) (FSE: 0NG) (XSTU: 0NG) (the "Company" or "Northern") is pleased to announce a grant from Québec's Ministère des Ressources Naturelles et des Forêts (MRNF) for the Company's drilling program at Lac des Iles.

The grant for up to C$400,000 will pay 50 percent of eligible expenses for geo-metallurgical and geo-environmental drilling to be carried out this year on the Company's Lac des Iles mining lease.

This financial support was granted as part of the fourth call for projects of the MRNF's Mineral Exploration Support Program for Critical and Strategic Minerals. The Program is designed to help companies in the field of mineral exploration to carry out development projects aimed at the discovery of quality critical and strategic mineral deposits in Québec.

"We are proud to have been selected to participate in this program and to be a part of Québec's Plan for the Development Critical and Strategic Minerals," said Northern Chief Executive Officer Hugues Jacquemin. "This kind of support is critical to our Company and to the province's miners as Québec pursues its energy and technological transition and the development of a greener economy."

Northern is in the process of completing a new reserve estimate for Lac des Iles that the Company believes will show potential to extend the life of the mine by approximately eight years. It will be based on a mineral resource estimate published in January that was based on a Phase I drilling program within the existing LDI lease in October 2023. The program consisted of 88 holes and 7,890 m of drilling and identified significant graphite mineralization which is still open at depth.

"A Phase II program is planned to explore additional target zones identified by an airborne geophysical survey and which are to the west of the existing pit," said Chief Operating Officer Kirsty Liddicoat. "Preliminary results allowed us to announce a potential extension of the life of our mine and we believe our drilling in 2024 will further support this life extension."

Gregory Bowes, B.Sc. MBA P.Geo, the Chairman of Northern, is a "Qualified Person" as defined under National Instrument 43-101 and has reviewed and approved the content of this news release.

About Northern Graphite

Northern, the only flake graphite producing company in North America, is a Canadian, TSX Venture Exchange listed company that is focused on becoming a world leader in producing natural graphite and upgrading it into high-value products critical to the green economy, including anode material for lithium-ion batteries/EVs, fuel cells and graphene, as well as advanced industrial technologies.

Northern owns and operates the Lac des Iles graphite mine in Quebec and expects to become one of the world's largest non-Chinese natural graphite producers when its Namibian operations come back online. The Company also has the large-scale, advanced stage Bissett Creek project in Ontario, and substantial additional measured and indicated resources in Namibia and on the Mousseau property in Québec, which are expected to be sources of continued production growth in the future. All projects have "battery quality" graphite and are located close to infrastructure in politically stable jurisdictions.

For media inquiries contact
Pav Jordan, VP of Communications
Email: pjordan@northerngraphite.com

For additional information

Please visit the Company's website at https://www.northerngraphite.com/home/, the Company's profile on www.sedarplus.ca our Social Channels listed below or contact the Company at (613) 271-2124.

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Cautionary Note Regarding Forward-Looking Statements

This news release contains certain "forward-looking statements" within the meaning of applicable Canadian securities laws. Forward-looking statements and information are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "potential", "possible" and other similar words, or statements that certain events or conditions "may", "will", "could", or "should" occur. Forward-looking statements in this news release include statements regarding, among others, the Company's plans to increase output at LDI, the Company's intentions to restart the Okanjande mine in Namibia and development plans for its other projects including Bissett Creek and its planned Baie-Comeau Battery Anode Material plant. All such forward-looking statements are based on assumptions and analyses made by management based on their experience and perception of historical trends, current conditions and expected future developments, as well as other factors they believe are appropriate in the circumstances. However, these statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected including, but not limited to, unexpected changes in laws, rules or regulations, or their enforcement by applicable authorities; the failure of other parties to perform as agreed; social or labour unrest; changes in commodity prices; unexpected failure or inadequacy of infrastructure and the failure of ongoing and contemplated studies to deliver anticipated results or results that would justify and support continued studies, development or operations and the inability to raise required financing. Readers are cautioned not to place undue reliance on forward-looking information or statements.

Although the forward-looking statements contained in this news release are based on what management believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with them. These forward-looking statements are made as of the date of this news release and are expressly qualified in their entirety by this cautionary statement. Subject to applicable securities laws, the Company does not assume any obligation to update or revise the forward-looking statements contained herein to reflect events or circumstances occurring after the date of this news release.

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 news release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/214488

FAQ

What recent grant did Northern Graphite receive for its Lac des Iles project?

Northern Graphite received a grant of up to C$400,000 from Quebec's Ministry of Natural Resources and Forests for its Lac des Iles drilling program.

How much of the drilling expenses will the Quebec grant cover for Northern Graphite?

The grant will cover 50% of the eligible geo-metallurgical and geo-environmental drilling expenses for Northern Graphite's Lac des Iles project.

What is the significance of the new reserve estimate for Lac des Iles?

The new reserve estimate for Lac des Iles is expected to extend the mine's life by approximately eight years.

What phase of drilling is Northern Graphite planning next for Lac des Iles?

Northern Graphite is planning a Phase II drilling program to explore additional target zones identified by an airborne geophysical survey.

What potential mineralization has Northern Graphite identified at Lac des Iles?

Northern Graphite's preliminary findings have identified significant graphite mineralization at Lac des Iles, which is still open at depth.