Mason Graphite Inc.: Corporate Update And Change To The Board Of Directors
June 1st, 2020, Laval, Quebec, Canada – Mason Graphite Inc. (“Mason Graphite” or “the Company”) (TSX.V: LLG; OTCQX: MGPHF) is pleased to present a corporate update and a change to its Board of Directors.
Commercial Development and Strategic Discussions
In recent weeks, Mason Graphite has intensified its discussions with important users of spherical graphite (2nd transformation), a product used in Li-ion batteries. These potential customers, active in the electrification of transports, are actively working to develop and secure their future supply chains in anticipation of the very high demand increase forecasted for the coming years, in addition to the recent global uncertainty of relying on a single, potentially unstable and unpredictable source of supply for critical minerals. These discussions confirm to Mason Graphite’s management that the Company represents a secure and sustainable solution to meet the upcoming needs of its future customers.
Second Transformation Project | Value-Added Products Processes Optimization
In the coming weeks and to continue its development, Mason Graphite will perform, in collaboration with COREM in Quebec City, optimization tests for the chemical purification with the objectives being to maximize reagents and water recycling and to reduce the environmental footprint of the process. Moreover, a new piloting campaign to produce coated spherical graphite is scheduled for the summer; this will be the second lot of coated spherical graphite produced at the pilot scale.
The cycling tests on the spherical graphite from the first pilot lot, which were suspended because of the COVID-19 crisis, should resume shortly. The results obtained so far are very positive.
Finally, Mason Graphite has recently received samples of uncoated spherical graphite from potential suppliers; these products will be used to further advance the development of the 2nd transformation plant. Characterization and testing should start in the coming weeks.
First Transformation Project | Update
The Company continues to advance the mine and concentrator project where work has mainly been focused on tailings management, permitting and general upkeep (road repairs, forestation work, etc.). As previously mentioned, the very high-quality Lac Guéret graphite deposit and highly advanced concentrator project (engineering, procurement, permits, etc.) remain key assets for the Company, which will be re-activated as soon as market conditions permit.
Balance Sheet and Financial Resources
With a cash position of approximately $31M (as of March 31st, 2020), no long-term debt, a lean and an experienced management team with a defined corporate strategy and a low level of cash expense rate, the Company is well-positioned to carry out its activities in an orderly and sustainable manner.
Change to the Board of Directors
The Company also announces that Paul Carmel, Chair of the Board of Directors, and interim CEO, will resign on September 1st, 2020, from these two functions to pursue a career in the mining investment industry. Paul was elected to the Board and as its chairman on March 15th, 2018; since April 1st of this year, he is also acting as interim President and CEO after the departure of the preceding President and CEO.
The selection committee responsible for finding a successor has been hard at work since the end of February and is continuing its work, confident to fill the position soon.
Consent of the Qualified Person
Jean L’Heureux, Eng., M. Eng., Executive Vice President, Process Development for Mason Graphite, and a Qualified Person, as defined by NI 43-101 for Mason Graphite, was responsible for the audit of data presented in this press release and read and approved it.
About Mason Graphite
Mason Graphite is a Canadian company dedicated to the production and transformation of natural graphite. Its long-term strategy includes the development of value-added products, notably for green technologies like transport electrification. The Company also owns 100% of the rights to the Lac Guéret graphite deposit, one of the richest in the world. The Company is managed by an experienced team cumulating many decades of experience in graphite, covering production, sales, as well as research and development.
For more information: www.masongraphite.com
Ana Rodrigues, at email@example.com or at +1 514 289 3580
Head office: 3030, boulevard Le Carrefour, bureau 600, Laval, Québec, H7T 2P5