Vancouver, B.C., August 14, 2014 – BIG NORTH GRAPHITE CORP. (TSX-V: NRT) (OTC : BNCIF) (the "Company" or "Big North"), announces that the Company has released a report prepared by Tetra Tech WEI Inc ("Tetra Tech") titled "Grafito De Mexico Property Plant Assessment Report" and dated August 13, 2014, (the "Report") regarding the Company's recently acquired El Tejon project located in Oaxaca, Mexico (the "El Tejon Property"). Big North commissioned the Report as part of its due diligence process and a site visit was completed January 17-20, 2014, by Andre de Ruujiter, P. Eng, of Tetra Tech.
As part of its study, Tetra Tech estimated the cost and start up time required to bring the El Tejon mill back into operation. Highlights include:
- An estimate of the initial investment cost required to bring Line 1 to operational status is approximately US$2.25 million which also includes infrastructure requirements, equipment and clean-up of the process plant.
- A total estimated investment cost of approximately US$5 million will be required to bring the process plant to full operational capability.
In the Report, Tetra Tech stated, "Following the visual assessment made of the process plant and its facilities during the site visit, the following general recommendations can be made. The initial objective should be the restoration of Line 1 to production status at the nominal rate of 250 t/d within a nominal period of (say) 6 months of receiving the decision for the project to proceed. The additional objective is for Line 2 to be operational within say 18 months of the project go-ahead thereby increasing the plant feed rate to 500 t/d capacity."
The full Report is available on the Company's website, www.bignorthgraphite.com, on the El Tejon Flake Graphite page (http://www.bignorthgraphite.com/s/El-Tejon.asp). The Report includes a full breakdown of refurbishing all of the parts in the mill. The Report also includes a generalized overall layout diagram of the mill and a simplified process flow diagram. For pictures of the El Tejon project, please go to the Gallery section of the website –
http://www.bignorthgraphite.com/s/gallery.asp.
Company President Spiro Kletas commented, "We are very pleased with the results of the Report. As we have previously stated, our goal is to be amongst the first TSXV graphite companies to produce and sell graphite. While some mill refurbishment is required, all infrastructure is in place at the El Tejon Property. This significantly reduces start up time and cost. The Company will announce further plans as they are finalized."
The El Tejon Property is a 500 hectare property and consists of the El Tejon flake graphite mine and mill. The El Tejon Property is located in the state of Oaxaca, approx 38 kilometers northwest of the City of Oaxaca, in the town of San Francisco Telixtlahuaca.
The El Tejon Property is the only flake graphite mine to have produced in Mexico. The mine and mill were originally built in 1980 by the Government of Mexico. In 1989, a second processing line was installed to increase the capacity. El Tejon was an open pit mine, and the mill was used to crush, mill, float, dry, screen and pack final product.
The Company has not established mineral resources and has not completed a valid mining study (as defined by NI 43-101) to support a production decision at the El Tejon Property. Historically, a production decision under these circumstances results in much higher economic or technical risk. Furthermore, without a pre-feasibility or feasibility study and a graphite reserve, there can be no assurance that any future operations at El Tejon will be profitable.
About Tetra Tech WEI Inc
Tetra Tech is a leading provider of consulting, engineering, and technical services worldwide. Tetra Tech is a diverse company, including individuals with expertise in science, research, engineering, construction, and information technology. Tetra Tech provides engineering and consulting services, technical support services and remediation and construction management.
About Big North Graphite Corp.
Big North is a graphite development and exploration company focused on select projects in Mexico and Canada. The Company acquired three past producing amorphous graphite mines in Sonora, Mexico and is working towards accelerating the restart of the Nuevo San Pedro amorphous graphite mine. Big North is currently in the test mining phase at Nuevo San Pedro and has completed sales of amorphous graphite totaling approximately 1163 tons to date.
Big North Graphite recently announced the acquisition of the past producing El Tejon flake graphite mine and mill in Oaxaca, Mexico. Big North is poised to capitalize on the increasing strategic demand for graphite throughout the world, a demand that is being driven by the growth in new, green technologies including the lithium ion batteries that are being used in hybrid and fully electric vehicles.
Big North also owns high priority, large flake graphite exploration projects in Ontario and Quebec, Canada.
For further information please contact Spiro Kletas at (604) 629-8220.
ON BEHALF OF THE BOARD
(signed) "Spiro Kletas"
Spiro Kletas
President and Chief Executive Officer
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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.
The Company has not established mineral resources and has not completed a valid mining study (as defined by NI 43-101) to support a production decision at the El Tejon Mine and Mill. Historically, a production decision under these circumstances results in much higher economic or technical risk. Furthermore, without a pre-feasibility or feasibility study and a graphite reserve, there can be no assurance that any future operations at El Tejon will be profitable.
Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Except as required pursuant to applicable securities laws, the Company will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by the Company.
