TORONTO, CANADA--(Marketwired - Feb. 8, 2017) - Alabama Graphite Corp. ("AGC" or the "Company") (TSX VENTURE:CSPG)(OTCQX:CSPGF)(FRANKFURT:1AG) is pleased to announce that the Company's 100% wholly owned subsidiary - Alabama Graphite Company, Inc. ("AGC USA."), a corporation registered in the state of Alabama, USA - is now registered to pursue United States federal government funding to advance its research and development, and technology commercialization efforts, as well as to conduct business directly with the US federal government and its various agencies, including the US Department of Defense ("DoD") and the US Department of Energy ("DoE").
Due to developing relationships between AGC and AGC USA with both DoD- and DoE-related entities, including the DoE's Oak Ridge National Laboratory ("ORNL") of Oak Ridge, Tennessee, USA, ORNL requested that AGC USA become registered to do business with the US government and its associated agencies. Accordingly, AGC USA has been assigned a Commercial and Government Entity ("CAGE") code, which is an identification number that is assigned by the DoD's Defense Logistics Agency ("DLA") and used extensively within and by the US federal government. Additionally, AGC USA has also been issued a Data Universal Number System ("DUNS") number, a prerequisite for obtaining US federal funding, including government grants. AGC USA intends to aggressively pursue all potential US government granting and funding opportunities as both a Principal Investigator ("PI") and a Co-Principal Investigator ("Co-PI"), along with other strategic business partners of AGC USA, in conjunction with ORNL and other DoE- and DoD-related entities.
Additionally, the DLA informed AGC that the DoD would prefer to use a US-sourced-and-manufactured vendor like AGC USA as the primary vendor for all US DoD lithium-ion ("Li-ion") battery projects, as a matter of US national security. Although AGC must first complete a positive Feasibility Study, secure the required financing and then construct a mine and downstream Coated Spherical Purified Graphite ("CSPG") processing and production facilities, it should be further noted that no supply agreement exists today with respect to US DoD Li-ion battery projects. AGC USA has also received significant and increasing interest from several US government research laboratories working to develop next-generation energy and materials technologies, using domestically sourced natural flake graphite from the contiguous United States (excluding Hawaii and Alaska).
AGC and AGC USA President, Chief Executive Officer and Executive Director, Donald Baxter commented, "Having our US subsidiary assigned a DUNS number and CAGE code is a critical step in AGC's path to becoming a US government battery-ready graphite supplier of our American-sourced-and-manufactured CSPG, identified by the ULTRACSPG™ trademark - the very first trademarked sourced-in-America, natural battery-ready graphite for use in lithium-ion batteries.
"Additionally, we are now able to vigorously pursue all relevant potential US granting opportunities," stated Mr. Baxter. "In connection with our pursuit of such opportunities, I will be working very closely with AGC USA's CSPG manufacturing team (consisting of three Ph.D. scientists and seven battery materials engineers, working in our US-based, dedicated, state-of-the-art battery materials research laboratory) and AGC's Director of Technology, graphite expert George C. Hawley, along with Strategic Advisor, DoD battery industry expert Randy A. Moore, and AGC Independent Director Dr. Gareth Hatch, who holds United States citizenship and has served as Principal Investigator on multi-million dollar research programs, funded by the DoD's US Army Research Laboratory ("ARL")."
On behalf of the Board of Directors of
ALABAMA GRAPHITE CORP.
Donald K. D. Baxter, P.Eng.
President, Chief Executive Officer and Executive Director
Donald K. D. Baxter, P.Eng., President, Chief Executive Officer and Executive Director of Alabama Graphite Corp., is a Qualified Person as defined by National Instrument 43-101 ("N.I. 43-101") guidelines, and has reviewed and approved the content of this news release.
ABOUT ALABAMA GRAPHITE CORP.
Alabama Graphite Corp. is a Canadian-based flake graphite exploration and development company as well as an aspiring battery materials production and technology company. The Company operates through its wholly owned subsidiary, Alabama Graphite Company Inc. (a company registered in the state of Alabama). With an advancing flake graphite project in the United States of America, Alabama Graphite Corp. intends to become a reliable, long-term US supplier of specialty high-purity graphite products, namely Coated Spherical Purified Graphite (CSPG) engineered for use in lithium-ion batteries. A highly experienced team leads the Company with more than 100 years of combined graphite mining, graphite processing, specialty graphite products and applications, advanced battery development and graphite sales experience. Alabama Graphite Corp. is focused on the exploration and development of its flagship Coosa Graphite Project in Coosa County, Alabama, and its Bama Mine Project in Chilton County, Alabama as well the research and development of its proprietary manufacturing and technological processing process of battery materials.
Alabama Graphite Corp. holds a 100% interest in the mineral rights for these two US-based graphite projects, which are both located on private land. The two projects encompass more than 43,000 acres and are located in a geopolitically stable, mining-friendly jurisdiction with significant historical production of crystalline flake graphite in the flake graphite belt of central Alabama, also known as the Alabama Graphite Belt (source: US Bureau of Mines). A significant portion of the Alabama deposits are characterized by graphite-bearing material that is oxidized and has been weathered into extremely soft rock. Both projects have infrastructure in place, are within close proximity to major highways, rail, power and water, and are approximately three hours (by truck or train) to the Port of Mobile, the Alabama Port Authority's deep-seawater port and the ninth largest port by tonnage in the United States (source: US Army Corps of Engineers/USACE). The state of Alabama's hospitable climate allows for year-round mining operations and the world's largest marble quarry (which operates 24 hours a day, 365 days a year in Sylacauga, Alabama), is located within a 30-minute drive of the Coosa Graphite Project.
On November 30, 2015, Alabama Graphite Corp. announced the results of a preliminary economic assessment ("PEA") for the Coosa Graphite Project, indicating a potentially low-cost project with potential positive economics. Please refer to the Company's technical report titled "Alabama Graphite Corp. Preliminary Economic Assessment (PEA) on the Coosa graphite Project, Alabama, USA" dated November 27, 2015, prepared by independent engineering firms AGP Mining Consultants Inc. and Metal Mining Consultants Inc., and filed on SEDAR at www.sedar.com.
Note: a preliminary economic assessment is preliminary in nature, it includes inferred mineral resources that are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as mineral reserves and there is no certainty that the preliminary economic assessment will be realized.
* Inferred Mineral Resources represent material that is considered too speculative to be included in economic evaluations. Additional trenching and/or drilling will be required to convert Inferred Mineral Resources to Measured or Indicated Mineral Resources. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. There is no guarantee that all or any part of the Mineral Resource will be converted into a Mineral Reserve.
Alabama Graphite Corp. is a proud member of the National Association of Advanced Technology Batteries International ("NAATBatt International"), a US-based, not-for-profit trade association commercializing advanced electrochemical energy-storage technologies for emerging, high-tech applications.
For further information and updates on the Company or to sign up for Alabama Graphite Corp. News, please visit www.alabamagraphite.com or follow, like and subscribe to us on Twitter, Facebook, YouTube, and LinkedIn.
This press release contains forward-looking information under applicable Canadian securities laws ("forward-looking statements"), which may include, without limitation, statements with respect to any potential relationships between the Company and any DoD- and DoE-related entities, any conduct of business involving the US federal government and its agencies and related laboratories, and any potential US government supply, granting and funding opportunities. The forward-looking statements are based on the beliefs of management and reflect Alabama Graphite Corp.'s current expectations. When used in this press release, the words "estimate", "project", "belief", "anticipate", "intend", "expect", "plan", "predict", "may" or "should" and the negative of these words or such variations thereon or comparable terminology are intended to identify forward-looking statements. Such statements reflect the current view of Alabama Graphite Corp. with respect to risks and uncertainties that may cause actual results to differ materially from those contemplated in those forward-looking statements.
By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among other things, the interpretation and actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of graphite; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labor disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors disclosed in the Company's publicly filed documents. Forward-looking statements are also based on a number of assumptions, including that contracted parties provide goods and/or services on the agreed timeframes, that equipment necessary for exploration is available as scheduled and does not incur unforeseen breakdowns, that no labor shortages or delays are incurred, that plant and equipment function as specified, that no unusual geological or technical problems occur, and that laboratory and other related services are available and perform as contracted. Forward-looking statements are made based on management's beliefs, estimates and opinions on the date that statements are made and Alabama Graphite Corp. undertakes no obligation to update forward-looking statements (unless required by law) if these beliefs, estimates and opinions or other circumstances should change. Investors are cautioned against attributing undue certainty to forward-looking statements. Alabama Graphite Corp. cautions that the foregoing list of material factors and assumptions are not exhaustive. When relying on Alabama Graphite Corp. forward-looking statements to make decisions, investors and others should carefully consider the foregoing factors and assumptions and other uncertainties and potential events.
Alabama Graphite Corp. has also assumed that the material factors and assumptions will not cause any forward-looking statements to differ materially from actual results or events. However, the list of these factors and assumptions is not exhaustive and is subject to change and there can be no assurance that such assumptions will reflect the actual outcome of such items or factors.
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