- Northern Graphite (NGC) has signed an option agreement to acquire a 100 per cent interest in the Mousseau West Graphite Project in Quebec
- If the company elects to exercise its option, it can acquire Mousseau West through the payment of $500,000 in cash and 900,000 common shares
- Northern has agreed to pay $50,000 for the six-month exclusive right to conduct due diligence on the property
- Mousseau West consists of 12 claims totalling 489 hectares
- Northern Graphite produces natural graphite and upgrades mine concentrates into high-value products critical to the green energy revolution
- Northern Graphite (NGC) opened trading at C$0.69 per share
Northern Graphite (NGC) has signed an option agreement to acquire a 100 per cent interest in the Mousseau West Graphite Project in Quebec.
On December 2, 2021, Northern announced that it had entered into binding purchase agreements to acquire the Lac des Iles (LDI) graphite mine and a graphite deposit/ processing plant in Namibia from subsidiaries of Imerys SA.
Northern has agreed to pay $50,000 for the six-month exclusive right to conduct due diligence on the property. If the company elects to exercise its option, it can acquire Mousseau West through the payment of $500,000 in cash and 900,000 common shares. Northern will also have the right to acquire the 2 per cent NSR from the owners at any time upon the payment of $1 million.
Gregory Bowes, CEO of Northern Graphite commented on the transaction.
“The company’s main priority when the Imerys transaction closes is to extend the mine life at LDI, increase production back to its nameplate capacity of 25,000tpy and solidify its position as the only producing graphite mine in North America. The Mousseau West deposit not only provides an attractive option for meeting these objectives, it also has the potential to become a significant project in its own right.”
He added, “the world requires significantly more graphite production to support the evolution to electric vehicles and Northern believes that high-quality deposits located close to infrastructure in politically stable jurisdictions will become very valuable commodities.”
Mousseau West consists of 12 claims totalling 489 hectares. Over 7,500 meters of drilling has been carried out on the property.
Northern Graphite produces natural graphite and upgrades mine concentrates into high-value products critical to the green energy revolution.
Northern Graphite (NGC) opened trading at C$0.69 per share.
