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Graphite One Resources Signs Memorandum of Understanding With Alaska Industrial Development and Export Authority

16.02.2017  |  Marketwired

AIDEA and Graphite One to Explore Opportunities to Collaborate on Facilities Siting, Funding Options, Economic Impacts, Community Engagement, and Project Permitting


VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb 16, 2017) - Graphite One Resources Inc. (TSX VENTURE:GPH)(OTCQX:GPHOF) ("Graphite One", "GPH" or the "Company") announces that it has entered into a Memorandum of Understanding ("MOU") with the Alaska Industrial Development and Export Authority ("AIDEA") to explore opportunities to collaborate on the development of Graphite One's proposed vertically integrated project to mine, process and manufacture high grade coated spherical graphite primarily for lithium-ion electric vehicle batteries (the "Graphite One Project" or the "Project").

Highlights of the MOU include:

  • Exploration of opportunities to maximize job creation and economic development via the Graphite One Project
  • Facilitation of project permitting and development of a framework for community and stakeholder dialogue
  • Options and opportunities for AIDEA to participate in infrastructure funding of project facilities related to the Graphite One Project

"Following the recent release of our Preliminary Economic Assessment(1), this MOU with AIDEA marks an important step in progressing our studies on the development of our Graphite One Project," said Anthony Huston, Chief Executive Officer of Graphite One. "It serves as a strong signal of Alaska's commitment to responsible development of the State's natural resources. Graphite One pledges to be a responsible partner in this potential development."

"The completion of the MOU with Graphite One aligns with our mandate to promote economic growth and diversification in Alaska," said John Springsteen, Executive Director of AIDEA. "With the Preliminary Economic Assessment now available, we look forward to working with the Graphite One team to advance all aspects of the project's review."

The MOU acknowledges that Graphite One has commenced preliminary discussions with State of Alaska officials from the Department of Commerce, Community and Economic Development (DCCED), AIDEA and the Alaska Department of Natural Resources (DNR) to begin evaluating potential sites, within Alaska but away from the Graphite Creek property, at which facilities might be developed for further processing of Graphite Creek graphite. Criteria relevant to deciding on the location of such facilities in Alaska include power cost and supply, availability of industrial zoned land, proximity to tidewater and port facilities, and infrastructure that allows easy access for the workforce.

AIDEA has provided Graphite One a list of potential sites in Alaska to evaluate whether they might satisfy some or all of the relevant criteria.

In summary, the MOU covers the following aspects of the Project:

  • Economic Impact. Facilitate strategies to maximize local economic benefits and job opportunities as a result of responsible development of the Graphite One Project.
  • State Agency Collaboration. Establish the groundwork for collaboration with DCCED and DNR in order to assess the potential opportunities at each of the proposed locations for Processing and Manufacturing Facilities for suitability of the site and any other multi-user opportunities, including the assessment of future marine traffic patterns and logistics.
  • Community Engagement. Provide a framework for AIDEA and Graphite One to engage cooperatively with local communities and other stakeholders to incorporate their input via public meetings and consultations.
  • Permitting. Allow the parties to work cooperatively to identify activities requiring federal, state or local permitting.
  • AIDEA Infrastructure Funding. Allow both parties to investigate options and opportunities for AIDEA to participate in funding some of the project facilities.

ABOUT AIDEA

AIDEA's purpose is to promote, develop, and advance the general prosperity and economic welfare of the people of Alaska. One of the ways AIDEA fulfills this purpose is by supporting development of natural resources in Alaska. AIDEA has the statutory authority to finance, develop and own and operate facilities and improvements, including roads intended for use in connection with the extraction, production, and transportation of minerals and materials.

ABOUT GRAPHITE ONE RESOURCES INC.

Graphite One Resources Inc. (TSX VENTURE:GPH)(OTCQX:GPHOF) continues to develop its Graphite One Project (the "Project"), whereby the Company could potentially become the dominant American producer of high grade Coated Spherical Graphite ("CSG") that is integrated with a domestic graphite resource. The Project is proposed as a vertically integrated enterprise to mine, process and manufacture high grade CSG primarily for the lithium-ion electric vehicle battery market. As set forth in the Preliminary Economic Assessment, potential graphite mineralization mined from the Company's Graphite Creek Property, is expected to be processed into concentrate at a graphite processing plant. The proposed processing plant would be located on the Graphite Creek Property situated on the Seward Peninsula about 60 kilometers north of Nome, Alaska. CSG and other value-added graphite products, would likely be manufactured from the concentrate at the Company's proposed graphite product manufacturing facility, the location of which is the subject of further study and analysis. The Company intends to make a production decision on the Project once a feasibility study is completed.

ON BEHALF OF THE BOARD OF DIRECTORS

ANTHONY HUSTON

For more information on Graphite One Resources Inc. please visit the Company's website, www.GraphiteOneResources.com.

CAUTIONARY STATEMENT

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 release.

This release includes certain statements that are deemed to be forward-looking statements. All statements in this release, other than statements that are clearly historical in nature, are forward-looking statements. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "proposes", "expects", or "is expected", "scheduled", "estimates", "projects", "intends", "assumes", "believes", "indicates" or variations of such words and phrases that state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved".

Forward-looking information in this release includes, but is not limited to, statements regarding the stage and progress of development of the Graphite Creek Project including the ability to create jobs and economic development, project permitting process, ability to finance, the potential to be the dominant American producer of CSG, changes in project parameters as plans continue to be refined, the actual ability to produce spherical graphite, ultimate further and final results of additional test-work, estimated capital and sustaining costs and the availability of equipment, labour and resources required, the anticipated applications of graphite in high-tech, clean tech, energy storage and national security applications and all other anticipated applications, international demand and ability to transport and enter into such markets, are all forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include: (i) volatile stock price, (ii) the results of the product development test work may not be indicative of the advancement of the project as anticipated, or at all, (iii) market prices, (iv) exploitation and exploration successes, (v) continuity of mineralization, (vi) uncertainties related to the ability to obtain necessary permits, licenses and title and delays due to third party opposition, (vii) changes in government policies regarding mining and natural resource exploration and exploitation, (viii) competition faced in securing experienced personnel, access to adequate infrastructure to support mining, processing, development and exploration activities and continued availability of capital and financing, and (ix) general economic, market or business conditions. Readers are cautioned not to place undue reliance on this forward-looking information, which is given as of the date it is expressed in this press release, and the Company undertakes no obligation to update publicly or revise any forward-looking information, except as required by applicable securities laws. For more information on the Company, investors should review the Company's continuous disclosure filings that are available at www.sedar.com.

(1) Press releases of Graphite One dated January 25, 2017 and January 30, 2017.



Contact

Graphite One Resources Inc.
Anthony Huston
CEO, President & Director
(604) 697-2862
AnthonyH@GraphiteOneResources.com
www.GraphiteOneResources.com
Investor Relations Contact
1-604-684-6730
GPH@kincommunications.com


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