Elcora Advanced Materials Enters Joint Venture on High Grade Tanzania Graphite Project
Halifax, Nova Scotia--(Newsfile Corp. - July 11, 2019) - ELCORA ADVANCED MATERIALS CORP. (TSXV: ERA) (FSE: ELM) (OTC: ECORF), (the "Company" or "Elcora"), is pleased to announce it has entered into a ten year (10) joint venture profit sharing definitive agreement (the "Agreement") with Eminent Minerals' interest in the South Nachu, Tanzania graphite deposit ("project"), located in Ruangwa, Tanzania. The project is located near two large Graphite Projects; Syrah Resources and Magnis' Nachu. Both high-grade graphite deposits.
Under the Agreement, Eminent Minerals will provide Elcora with graphite from the project which will be processed on site by Elcora. Any profits from sales will be split on a predetermined basis depending on Elcora's required refinement costs. A final definitive agreement will be signed shortly.
The site consists of 101 square kilometers in the United Republic of Tanzania. The United Republic of Tanzania is a friendly business jurisdiction with a UK based legal system, a multi-party democracy and a clearly defined Mining Legislation Act. The country is Africa's fourth-largest gold producer.
The nearby Syrah Resource Balama graphite project produced and sold 48kt of natural flake graphite at $469 USD per tonne in the first quarter of 2019. (Refer to ASX announcement dated April 4, 2019:SYR)
Over the last few years, Elcora has been working relentlessly with end users to understand their specific graphite requirements. This has provided the company with a detailed and thorough understanding of the requirements and opportunities in the graphite anode powder and graphene markets. We are currently targeting both markets for supply agreements. This project provides a reliable source, high quality, competitive open pit extraction in addition to our current supply facilities in Sri Lanka.
The Project hosts an open pit high-grade deposit in a mining friendly jurisdiction reducing the time to market of graphite product. Certainty as to quality and quantity ensures delivery capabilities and facilitates planning.
According to Troy Grant, Chief Executive Officer, "The common concern we continue to hear from the graphite end users whom we have approached is the ability to deliver the contracted quantity on time with consistent quality. Having a deposit that we can bring on stream within 12 months and bring on the tonnage that our potential customers want is key to building a successful vertically integrated graphite company. This project will provide Elcora with an additional reliable graphite source, less expensive open pit extraction and similar quality to our project in Sri Lanka. We have spent considerable time and money developing unique graphite products specific to both the graphene and battery markets. I now feel confident we can begin the rollout of Elcora's products globally."
About Elcora Advanced Materials Corp.
Elcora was founded in 2011 and has been structured to become a vertically integrated graphite & graphene company. Elcora processes, refines, and produces both graphite & graphene. As part of the vertical integration strategy Elcora is securing high-grade graphite and graphene precursor graphite from operations in Sri Lanka and other countries which are already in production. Elcora has developed a cost-effective process to make high-quality graphite, graphite products and graphene that are commercially scalable. This combination means that Elcora has the tools and resources for graphite and graphene vertical integration.
For further information please visit the company's website at:
Klaus Leiders M.Sc., B Sc., Elcora's CMO acted as QP and has prepared and approves of the scientific and technical disclosure in this news release.
For further information please contact: Troy Grant, Director, President & CEO, Elcora Advanced Materials Corp., T: +1 902 802-8847 F: +1 902 446-2001.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. No stock Exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward-looking statements". All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of Elcora, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Elcora's expectations are exploration risks detailed herein and from time to time in the filings made by Elcora with securities regulators.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/46221