VANCOUVER, BC - Graphite One Inc. (TSXV: GPH) (OTCQX: GPHOF) ("Graphite One" or the "Company") is pleased to announce it has entered into a non-binding initial Memorandum of Understanding ("MOU") with battery materials recycler Lab 4 Inc. of Nova Scotia, Canada ("Lab 4"), whereby Graphite One and Lab 4 propose to collaboratively work together to design, develop and build a recycling facility for end-of-life EV and lithium ion batteries.
Lab 4 Inc. provides laboratory and engineering support to mining companies with a focus to recycle graphite, manganese and other minerals.
The recycling facility would be located adjacent to Graphite One's planned advanced materials manufacturing plant in Washington State1.
"With this new proposed recycling division joining our Graphite Creek mine and Advanced Graphite Materials Manufacturing Plant as the third link, Graphite One plans to bring the full circular economy to the U.S. graphite supply chain," said Anthony Huston, President and CEO of Graphite One. "When you're in the renewable energy space, you've got to think through the whole lifecycle – where will EV and lithium-ion batteries go when they are no longer useful? It can't be to the landfill. That's not responsible. Battery materials are simply too critical and too scarce to let them go to waste. That all points to recycling battery materials – and for Graphite One, this pointed us to Lab 4 and their ground-breaking work to recycle these materials right back into our planned manufacturing plant. With this new partnership, Graphite One would be the only fully integrated domestic supply chain for graphite to accommodate the different requirements of battery companies."
"Lab 4 Inc. is excited to have this opportunity to work with Graphite One to develop state-of-the-art battery recycling capability. The return of battery materials within the industry, or to new uses and applications, is critical to the materials supply chain as the electrification of everything accelerates," said Dr. Ian Flint, CEO of Lab 4 Inc. "Adding recycling to renewable materials development is the missing piece in a true circular economy. We look forward to a partnership that sets a new standard for the renewable energy sector."
As announced on March 7th2, Graphite One Inc.'s Graphite Creek resource in Alaska has been cited as the largest known graphite deposit in the United States by the U.S. Geological Survey (USGS) in its updated U.S. Mineral Deposit Database (USMIN).
The USGS report confirms Alaska Governor Mike Dunleavy's statement in support of Graphite One's designation as a U.S. government high-priority infrastructure project, stating, "Graphite Creek is the largest deposit of graphite in the nation and would be a superior domestic supply of this critical mineral."
With the United States currently 100 per cent import dependent for natural graphite, Graphite One is developing a complete U.S.-based, advanced graphite supply chain solution anchored by the Graphite Creek resource near Nome, Alaska. The Graphite One Project plan includes an advanced graphite material and battery anode manufacturing plant expected to be located in Washington State along with the development of the Graphite Creek resource.
Appointment of Chief Financial Officer and Corporate Secretary
The Company is also pleased to announce that Gordon Jang, CPA, CMA, has been appointed as Chief Financial Officer and Corporate Secretary, effective immediately. Mr. Jang has over 25 years of experience in senior management roles with mid-to-large mining companies including Fortuna Silver Mines, Augusta Resources, Lundin Mining and Pan American Silver. He brings a wealth of expertise in capital markets, M&A, SOX compliance, external financial reporting, corporate restructuring, cost analysis and process improvements.
Further Disclosure on MOU
Graphite One and Lab 4 anticipate entering into a definitive agreement and ancillary documents within 180 days from signing the MOU to set out the proposed terms of the collaboration to design, develop and build a recycling facility for end-of-life EV and lithium ion batteries (the "Transaction").
The Transaction is subject to a number of conditions including, but not limited to: (i) completion of due diligence by both parties, (ii) the parties negotiating and executing a definitive agreement on terms mutually agreed to by both parties, and (iii) receipt of all regulatory approvals and third-party consents, including the approval of the TSX Venture Exchange.
Graphite One cautions that there is no assurance that the MOU will result in the completion of the Transaction, or, if the Transaction is undertaken, as to its terms or timing.
About Graphite One Inc.
GRAPHITE ONE INC. (GPH: TSX‐V; GPHOF: OTCQB) continues to develop its Graphite One Project (the "Project"), whereby the Company could potentially become an American producer of high-grade anode materials that is integrated with a domestic graphite resource. The Project is proposed as a vertically integrated enterprise to mine, process and manufacture high grade anode materials primarily for the lithium‐ion electric vehicle battery market. As set forth in the Company's 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. Graphite anodes and other value‐added graphite products would be manufactured from the concentrate and other materials at the Company's proposed advanced graphite materials manufacturing facility expected to be located in Washington State. The Company intends to make a production decision on the Project once a feasibility study is completed.