Northfil Resources and Great Lakes Graphite Terminate Matheson Facility Use Agreement
May 3, 2017, Toronto: Great Lakes Graphite Inc. (“GLK” or the “Company” TSX-V:GLK, OTC PINK:GLKIF, FWB:8GL) today announces the execution of a Memorandum of Understanding by the Company with Shamokin Carbons (“Shamokin”), for the purpose of working jointly in a number of areas related to the graphite sector. Shamokin Carbons is a privately-owned, leading provider of carbon products with multiple locations in Pennsylvania.
Great Lakes Graphite and Shamokin Carbons are working together in the following areas:
- Development, manufacturing, sales and distribution of high purity micronized synthetic and micronized natural flake graphite products.
- Developing a production schedule to accommodate a ramp-up in the manufacture of micronized flake graphite at Shamokin’s existing production operations.
- Collaborating with Great Lakes Graphite and Ashland Advanced Materials to prepare for high volume manufacture of ultra high purity micronized flake graphite material for use in battery anode market.
Great Lakes Graphite and Shamokin Carbons have executed a Memorandum of Understanding to define a partnership arrangement and a path for the two companies to move towards a more structured collaborative effort. The companies first began working together in 2016 on synthetic graphite product development, product qualifications and sales. Those joint efforts resulted in the sale of 400 tons of synthetic graphite in 2016.
Shamokin Carbons and Great Lakes Graphite have also been working together on micronized natural flake graphite, for product development, product qualifications and initial product sales. The first commercial sale from this product line was to a customer based in Western Europe in early 2017. The order consisted of 400 kilograms of high quality natural flake graphite, sourced from Brazil and micronized by Shamokin in the United States.
The partners are working to put the systems and infrastructure in place to smoothly accommodate an increase in the manufacture of micronized synthetic and high quality natural flake graphite sourced from Brazil, as Great Lakes Graphite ramps up sales efforts and production requirements.
Great Lakes Graphite and Shamokin Carbons have also agreed to collaborate with Ashland Advanced Materials, LLC to prepare for large volume manufacture of graphite battery anode material.
Senior Vice President of Sales Mike Coscia said, “Working with Shamokin Carbons made it possible for Great Lakes Graphite to start fulfilling customer orders in 2016 and ending the year having worked together to sell 400 tons of synthetic graphite. We are fortunate to be working with a partner that has great industry experience and who shares our absolute commitment to quality and customer service.”
Great Lakes Graphite Chief Executive Officer Paul Gorman added, “Having such a high quality partner with operating, ISO9001-certified facilities located in the United States provides us additional flexibility and advantages in a number of different areas, from logistics to risk mitigation. Shamokin is a great partner for us. With facilities producing well in excess of 100,000 tons per year of carbon products we will work together to achieve higher volumes than we originally anticipated and at a faster pace than originally anticipated in our plans.”
Don Rosini, President of Shamokin Carbons, said, “Shamokin Carbons has a long and proud history of serving customers with high quality carbon products. We are pleased to be working with Great Lakes Graphite and are excited about the opportunity that we all see ahead of us.”
Great Lakes Graphite and Northfil Resources Mutually Terminate Matheson Ontario Facility Use Agreement
Today the Company further announces a mutual agreement with Northfil Resources Limited to conclude all contractual arrangements stated in the Facilities Use Agreement for the use and operation of the Matheson Micronization Facility, located in Matheson, Ontario, effective immediately. The Agreement, originally signed in May 2015, allowed GLK to refurbish and repurpose sections of the Matheson Facility, owned by Northfil with the intent of micronizing graphite concentrate. After careful consideration and extensive discussions with representatives of Northfil Resources Limited, the Company has agreed to immediately conclude operations at the Matheson Facility and alternatively, will focus on ramping up production operations at partner locations in the US.
About Shamokin Carbons: Shamokin Carbons is a leading global manufacturer of carbon and graphite products for many major industries including steel, glass, aerospace and semiconductors.
Our business is based on integrity. We pride ourselves on consistently producing high quality carbon products tailored to meet the most rigid customer specifications. Shamokin practices “Quality First,” and we aim to support our customer’s success by providing the best products at the lowest cost, backed by exceptional customer service and support.
Since inception, Shamokin carries on the tradition of always doing the next right thing. We strive to be fair, honest and trustworthy in dealing with customers, suppliers and co-workers and we are accountable for everything we do. Shamokin relentlessly pursues improvement in all areas and this is part of our ISO 9001 program.
Shamokin is focused on meeting and exceeding the needs of the customer by creating exceptional value through innovative products and solutions. Our high rate of repeat business is attributed to our uncompromising standard of ethics and values.
We measure our success by the success of our customers.
About Great Lakes Graphite: Great Lakes Graphite is an industrial minerals processing company working to supply customers with innovative, high quality value-added carbon products.
There is no significant graphite production in North America now. As pricing and demand continue to rise, Great Lakes Graphite is one of the first new domestic suppliers to a growing regional customer base. We continually work to deliver products of the best quality with outstanding customer service.
The Company is party to an agreement for long-term supply of high quality natural graphite concentrate from Brazil (see news release dated 03/23/15). Great Lakes Graphite is presently working with an established US-based processor for toll micronization services. The Company has partnered with Ashland Advanced Materials to implement commercial-scale purification operations at Ashland’s 110,000 square foot purification facility located in Niagara, New York.
Through our partner relationships, Great Lakes Graphite began selling micronized synthetic graphite beginning in 2016 and is now pleased to also offer micronized and high purity micronized natural flake graphite products to a growing regional customer base.
Further information regarding Great Lakes can be found on the Company’s website at: www.GreatLakesGraphite.com.
Great Lakes Graphite trades with symbol GLK on the TSX Venture Exchange and currently has 123,444,330 shares outstanding.
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Caution Regarding Forward Looking Information: Certain statements in this press release may constitute “forward looking information” which involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. When used in this press release, such forward looking information may use such words as “may”, “will”, “expect”, “believe”, “plan” and other similar terminology. Forward looking information is provided for the purpose of presenting information about management’s current expectations relating to the future events and the operating performance of the Company, and readers are cautioned that such information may not be appropriate for other purposes. The forward looking statements involve a number of risks and uncertainties. These risks and uncertainties include, but are not limited to, the ability of the Company to fulfill the orders and future orders, regulatory requirements, general economic, market or business conditions and future developments in the sectors of the economy in which the business of Great Lakes operates. The foregoing list of factors is not exhaustive. Please see the Company’s financial statements, MD&A and other documents available on www.sedar.com , for a more detailed description of the risk factors. The Company undertakes no obligation to update publicly or revise any forward looking information, whether a result of new information, future results or otherwise, except as required by law.