Focus Graphite (TSXV:FMS,OTCQX:FCSMF,FWB:FKC) announced positive results of the Preliminary Economic Assessment on its Lac Knife Graphite Project and demonstrated that the Project has robust economics and excellent potential to become a profitable producer of graphite.
As quoted in the press release:
- Proposed Life of Mine production of 6.0 million tonnes (Mt) of mill feed at a grade of 15.66% graphitic carbon (Cgr), based on the initial Mineral Resource estimate disclosed on January 19, 2012
- Mine Life of 20 years, open pit operation at 300,000 tonnes per year
- Processing through a sequence of crushing, grinding, flotation, magnetic separation, thickening and drying, producing a primary concentrate of graphite of various grades and flake sizes
- Tailings directed through sulfide flotation circuit in order to minimize the volume of acid-generating residues and to enable proper management of both acid-generating tailings and waste rock within a unique disposal site
- Average graphite recovery of 91.3% at Lac Knife process plant
- Life of Mine production of 928,000 tonnes of concentrate at 92% Cgr on average at Lac Knife, or approximately 46,600 tonnes of concentrate per annum (tpa)
- Thermal purification upgrade of approximately 40% of the primary concentrate to 99.99% Cgr by an existing producer with inherent purification losses of 15%
- Life of Mine Project production of 868,000 tonnes of concentrate at 93.5% Cgr on average, including 338,000 tonnes of high purity 99.95% Cgr product
Focus Graphite President and CEO Gary Economo said:
This is a great day for the Canadian graphite industry, our shareholders and the province of Québec. Lac Knife is a world-class resource and the publication of our Preliminary Economic Assessment confirms Focus has the potential to become one of the highest-grade lowest-cost producers of graphite in the world. We enter a new phase now, where we can expedite our financing, advance customer off-take agreements, and construction of our purification and anode facilities.