Agoracom Blog Home

Posts Tagged ‘Focus Metals’

Focus Graphite featured in Report on Mining Magazine’s Summer 2012 Issue

Posted by AGORACOM-JC at 4:48 PM on Thursday, June 21st, 2012

Read the full article on pgs 6-10: http://tiny.cc/ReportOnMiningSummer2012

Corporate Website / Hub On AGORACOM

Focus and Lara Sign Agreement for the Caninde Graphite Project, Ciera State, Brazil

Posted by AGORACOM-JC at 9:27 AM on Monday, June 4th, 2012

OTTAWA, ONTARIO–(June 4, 2012) – Focus Graphite Inc. (TSX VENTURE:FMS)(OTCQX:FCSMF)(FRANKFURT:FKC) (“Focus” or the “Corporation“) is pleased to announce that it has signed a Letter of Intent (the “Agreement”) with Lara Exploration Ltd. (“Lara”) for Lara’s wholly-owned Canindé graphite project located in Ceará State, northeastern Brazil.

The Canindé project comprises 11 registered exploration licenses and an additional six exploration licenses pending approval by the Brazilian Department of Mines (“DNPM”). The project covers a total surface area of 15,615 hectares and hosts 22 surface graphite occurrences discovered by Lara in mid-2011.

The occurrences define a 16 km long, north-northwest trending graphitic corridor in high-grade metamorphic rocks within the Project area. Individual graphite occurrences range in width from less than 1 m to maximum of 10 m and host from 1-2%, disseminated graphite in paragneiss and schist (mostly flakes) to over 50% graphite in narrow lenses in gneiss, schist, pegmatitic migmatites and in brecciated horizons in gneiss. Graphitic carbon contents for surface grab samples from 15 of the occurrences range from less than 1% to a high of 42.04 %. The project is accessible by road.

Gary Economo, President & CEO of Focus Graphite said the move into Brazil, the world’s third leading producer of graphite, is intended to expand the Corporation’s operations and holdings internationally.

“Consolidation in the graphite mining sector is one of the pillars of our global business strategy,” Mr. Economo said. “Caninde’s potential opens the door for us to develop a new graphite district in Brazil.

“While our primary focus and priority continues to be Lac Knife’s development, the Caninde project has the potential to add overall value from a second high quality graphite source,” he said.

Mr. Economo added that the vast majority of Focus Graphite’s financial and human capital will continue to be devoted to the construction of its Lac Knife, Quebec mine and facilities.

A map of the Canindé project together with photographs of selected graphite occurrences are available on the Corporation’s website at www.focusgraphite.com.

The Agreement

Under the terms of the Agreement, Lara has granted Focus two separate options to acquire a total 60% undivided interest in the Canindé project in consideration of a staged exploration expenditure commitment over 5 years and by issuing 500,000 common shares to Lara on or before the third anniversary of the Agreement and by reimbursing Lara for claims acquisition costs. Focus will act as the Operator of the Canindé project exploration program throughout the duration of the Agreement.

Focus can exercise the First Option and earn a 51% interest in the Project by (i) issuing 500,000 common shares to Lara (100,000 shares upon signing of the agreement and 400,000 shares by the third anniversary thereof) and (ii) carrying out, as operator, exploration on the Property (including 2,000m of drilling and an electromagnetic survey of the entire Property) totaling $2.5 million by the third anniversary of the Agreement based on the following schedule: $500,000 each in years 1 and 2; and $1.5 million in year 3.

Focus can exercise the Second Option and earn an additional 9% interest in the Project (total: 60%) by carrying out, as operator, exploration on the Property (including a further 5,000 m of drilling) and completing a favorable Preliminary Economic Assessment in accordance with National Instrument 43-101, an expenditure totaling at least $4.5 million by the fifth anniversary of the Agreement.

If Focus elects not to exercise the Second Option, or elects but fails to exercise the Second Option, Lara and Focus will enter into the Joint Venture with Focus holding a 51% interest and Lara holding a 49% interest in the Project. If Focus exercises the Second Option, Lara and Focus will enter into the Joint Venture with Focus holding 60% interest and Lara holding 40%. Upon the execution of the Joint Venture both Parties will proportionately fund the exploration program and the party holding majority interest will be deemed the operator of the Joint Venture. If a Party’s interest is reduced to less than 10%, its interest in the Joint Venture shall be converted into a 2% production royalty.

The Canindé project is subject to a 1% royalty payable to a third party on gross revenue from sales to a maximum of R$ 750,000 (approximately $369,000) as well as a one-time payment of R$ 200,000 (approximately $99,000) payable to said third party upon the delivery of an Economic Graphite Reserve estimate (non NI 43-101 compliant) as defined and approved by the DNPM.

The Agreement is subject to certain conditions precedent and covenants that must be satisfied in connection with the transaction. The parties intend to execute, on or before August 31, 2012, a Definitive Option agreement (to which will be attached a Joint Venture agreement to be entered into upon exercise of the First Option or, if applicable, the Second Option) and other documents necessary to complete the transactions contemplated hereby.

The Agreement is also subject to Board and regulatory approval by the TSX Venture Exchange (the “TSX-V”).

Mr. Tony Brisson, P. Geo., a Qualified Person as defined by NI 43-101 is responsible for the technical information contained in this release.

About Focus Graphite

Focus Graphite Inc. is an emerging mid-tier junior mining company, a technology solution supplier and a business innovator. It is the owner of the highest-grade (16%) technology graphite resources in the world. The company’s goal is to assume a dominant industry leadership position by becoming the lowest-cost producer of technology-grade graphite. As a technology-orientated enterprise with a view to building long-term, sustainable shareholder value, Focus Graphite is invested in the development of graphene applications and patents through Grafoid Inc.

Forward Looking Statements – Disclaimer

This news release may contain forward looking statements, being statements which are not historical facts, and discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from the Company’s expectations are in our documents filed from time to time with the TSX Venture Exchange and provincial securities regulators, most of which are available at www.sedar.com Focus Graphite disclaims any intention or obligation to revise or update such statements.

Neither 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.

Contact Information

Focus Metals Changes Its Name to Focus Graphite Inc.

Posted by AGORACOM-JC at 4:15 PM on Thursday, May 24th, 2012

OTTAWA, ONTARIO–(May 24, 2012) – Focus Metals Inc. (TSX VENTURE:FMS)(OTCQX:FCSMF)(FRANKFURT:FKC) (the “Corporation”) is pleased to announce that following the approval of a special resolution by the Corporation’s shareholders at the annual and special meeting of shareholders of the Corporation held on May 3rd, 2012 in Ottawa, Ontario, the Corporation has changed its name and will now trade on the TSX Venture Exchange (the “Exchange”) under the name “Focus Graphite Inc.” as of May 25, 2012. The Corporation will continue trading on the Exchange under the stock symbol “FMS”.

Focus Graphite President and CEO Gary Economo said the change in corporate identity represents a truer description of the company’s core business activities.

“Focus Graphite represents a turning point for us and for our shareholders as we prepare to transition out of pre-development at Lac Knife and into development during the course of the coming year to 18 months” Mr. Economo said.

“Our aim is to develop and then manufacture the best technology graphite in the world,” he said. “Additional shareholder value will come from our investment in commercialized graphene through our joint venture partner, Grafoid Inc.”

On May 7, 2012, Focus Metals Inc. and Hydro-Québec’s world-leading research institute, IREQ, announced the signing of a licensing agreement enabling the development of a graphite purification facility and a graphite anode production facility for lithium-ion (Li-ion) batteries.

Mr. Economo said the agreement provided a critical pillar in building Focus Graphite’s mine-to-end-user supply chain structure.

About Focus Graphite

Focus Graphite Inc. is an emerging mid-tier junior mining company, a technology solution supplier and a business innovator. It is the owner of the highest-grade (16%) technology graphite resources in the world. The company’s goal is to assume a dominant industry leadership position by becoming the lowest-cost producer of technology-grade graphite. As a technology-orientated enterprise with a view to building long-term, sustainable shareholder value, Focus Graphite is invested in the development of graphene applications and patents through Grafoid Inc.

Forward Looking Statements – Disclaimer

This news release may contain forward looking statements, being statements which are not historical facts, and discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from the Company’s expectations are in our documents filed from time to time with the TSX Venture Exchange and provincial securities regulators, most of which are available at www.sedar.com

Neither 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.

Contact Information

 

Gary Economo
President and Chief Executive Officer
613-691-1091,ext. 101
geconomo@focusgraphite.com

Electrifying transportation — Focus CEO Gary Economo on Quebec graphite

Posted by AGORACOM-JC at 12:31 PM on Monday, May 14th, 2012

Focus Metals Inc (TSXV:FMS) and L’institut de recherche d’Hydro-Québec announced a licensing agreement enabling Focus to develop a graphite-purification facility and a graphite-anode production facility for lithium-ion batteries. Under the agreement, Focus will build new purification and production facilities, which the company will own and manage. IREQ will provide technical support and cooperate in future technology improvements.

Subject to positive economic analysis, the purification facility will produce up to 15,000 tonnes of spherical battery-grade flake graphite by 2015, using graphite from the company’s Lac Knife Project in Quebec. The anode facility will produce up to 5,000 tonnes of anodes. Costs of the facilities and financing have yet to be determined. The battery-grade process will be incorporated into Lac Knife’s PEA scheduled for June.

In exchange for the technology licence, technological support and future processing improvements, IREQ will receive a licensing fee over a three-year period, representing less than 10% of the current working capital, as well as a royalty on future sales. IREQ is recognized as a global leader in the development of advanced materials for battery manufacturing. It holds over 100 patent rights and 15 licences for battery materials used by some of the world’s most successful battery manufacturers and materials suppliers. IREQ also partners with private-sector companies to build electric-vehicle and hybrid-electric-vehicle charging stations.

 

Focus President/CEO Gary Economo tells ResourceClips.com, “Hydro-Québec has been engaged in the electric-vehicle sector for many, many years. They’ve developed these lithium-battery technologies with a couple of thoughts in mind. One was for hydro-energy storage, and the other was for the transportation sector. They’ve invested a lot of money in both areas. They had a company which was slightly ahead of its time in the electric-vehicle market. It ended up getting sold to a French conglomerate. Hydro-Québec also invested in motor drives for electric vehicles in a subsidiary called TM4 and a bunch of other investments. Their mandate is to advance the electrification of the transportation industry. They have major, major projects in that sector, as well as in energy storage and data transmission through powerlines, like the smart-grid program. They spend an awful lot of time, money and effort in advancing the use of hydro.

“We’re hoping the spherical-graphite production facility will open by the end of 2013. For the first 12 months, it would produce about 10,000 tonnes of 95% material. [The 2015 goal is 15,000 tonnes.] The production plant for anodes and the mine itself are targeted to open at the same time.

“I don’t think there’s a market for other graphite in batteries, apart from spherical graphite. Spherical graphite provides the best capacities and best performance for batteries. The market is constantly looking to improve performance, cost, weight, size and everything else.”

Responding to a Reuters story that stated battery manufacturers prefer synthetic graphite, Economo says, “Synthetic graphite is being used in lithium batteries. Battery manufacturers need consistency from their suppliers. So when they say synthetic graphite is easier to control, I think they’re saying their suppliers are controlling the quality of the material from one batch to another. When you order natural graphite from a distributor, you don’t know what mine it’s coming from. There’s a variety of batches, and it’s very difficult for a battery manufacturer to maintain quality control. Synthetic graphite is a lot more consistent, so a lot of battery manufacturers have opted to use it, even though it’s two to three times more expensive. Those are the companies making very high-quality, high-end batteries. Companies like that are very excited to see people like us come into the market with a very large deposit so we can guarantee them a consistent supply of product.”

Economo continues, “Graphite prices are not going to go through the roof. They’re stabilized; they’re going to run about $1,800 to $2,000 a tonne. Producing a tonne of 95% concentrate is expensive, if you have a low-grade deposit. We’re lucky that we have a 16% grade. Our cost to produce a tonne of 95% material is fairly low. It’s about $350 a tonne right now. So we have a huge margin available to us. That’s especially important because the price of graphite isn’t going to increase. The market can’t accept it. There is a demand for graphite and a need for it from lithium-ion battery manufacturers, but new mines will open to satisfy that demand. I don’t see prices rising.

“The automotive sector is one area we’re interested in, of course. But there are others we’re going after too. For example, two major growth areas are notebook computers and tablets. Until recently a lot of the batteries were ni-cad or nickel-metal-hydride. Now, with the ultra-thin, ultra-light computers and tablets, it’s all lithium. They’re looking at producing 450 million tablets in five years. The number is just astounding. If you look at electric handtools, every one of them is changing from nickel-metal-hydride to lithium-ion batteries. That’s another huge market. I went to the hardware store the other day to buy a lawnmower. They had five gas-powered models and seven electric.

Advertisement

“The automotive sector might not catch on as fast as some people think it will,” Economo cautions. “Personally I think it’ll take more time because to have that amount of vehicles on the streets you also need the infrastructure. If you go to China, India or Europe, you’ll see some of the motorcycles and even bicycles are electric. It’s mandated now in China that they can’t have any more gas-powered mopeds. So there’s a huge, huge market for graphite in the lithium-battery sector, even without the automotive industry. I think the automotive business will just be the icing on the cake.”

Focus holds a 40% interest in Grafoid Inc, a joint venture created to find proprietary methods of manufacturing graphene from graphite mined at Lac Knife.

“It’s going really, really well,” Economo says. “Grafoid’s working on a number of projects for some major corporations in terms of R&D and developing patents and intellectual property. We need to prove the scalability of the process. A pilot plant is being built, and it will be ready and operable in five weeks. So as soon as we have the material from our drill program we’ll be able to get that plant going and prove the scalability of the manufacture of graphene. We make graphene now, but it’s in small batches in a lab environment. We want to scale it to large batches and see how big the batches can be.”

The pilot plant’s location is secret.

“There are signs of industrial espionage,” Economo reports. “We’ve seen it, and we want to be extra careful. There are people out there who have tried, and will continue to try, to get trade secrets.”

As for the Lac Knife Project, “Our PEA is scheduled for June 7. We don’t need a feasibility study. We’ll have offtake agreements and financing to take us into production. We’re working on five different companies for potential offtakes.”

The company has additional claims in Quebec’s Tetepisca region and in the region of Timcal Graphite & Carbon’s Lac-des-Îles Graphite Mine. “We have an exploration program in which geologists will visit all the claims, Economo says. “That starts next week. We have a big drill program starting next month up at Lac Knife. We want to see how big this thing is. It’s open at all directions and at depth. We also want to get some material because some of our potential clients will test it. We also want to have some material for our graphene development.”

Focus Metals is changing its name to Focus Graphite.

“Our new name has been approved by shareholders. We’re just doing the paperwork and filing it with the exchange. So I would say it takes effect now.”

Economo concludes, “Over the last couple of years we’ve de-risked and advanced this discovery to the point that, with our scoping study next month, we’ll be ready to go to permitting and take it to production. We’re well financed; we have $27 million in the bank. We’re an exceptionally advanced company with a business plan to take advantage of the upstream products, as opposed to just mining graphite and selling it in bulk. We want to take advantage of the value-add that we can bring to a particular customer. So our focus, no pun intended, is to provide customer solutions for technology graphite applications. We’re looking forward to our scoping study and signing our offtake agreements and getting the permitting done so we can get some graphite out of the ground.”

View Company Profile

Read an interview about Focus’ Kwyjibo REE-Copper Project.

Read a feature story on Focus Metals.

Disclaimer: Focus Metals Inc is a client of OnPage Media, and the principals of OnPage Media may hold shares in Focus Metals.

Read more articles like this at resourceclips.com.

All information on this website is: (a) for informational purposes only; (b) not to be used or construed as an offer to sell, a solicitation of an offer to buy, or an endorsement, recommendation, investment advice or sponsorship of any entity or security; and (c) not necessarily reflective of the views or policy of the Financial Post. Prior to making any investment decision, it is strongly recommended that you seek advice from a qualified investment advisor. The Financial Post does not provide or guarantee any financial, legal, tax or accounting advice or advice regarding the suitability, profitability, or potential value of any particular investment, security or information source, especially as it relates to mining companies. For further details, please Section 22 of http://www2.canada.com/aboutus/termsofservice.html.

Source: http://business.financialpost.com/2012/05/14/electrifying-transportation-focus-ceo-gary-economo-on-quebec-graphite/

Focus Metals and Hydro-Quebec’s IREQ Sign Graphite Purification Technology Agreement and Anode Production Agreement for Li-Ion Batteries

Posted by AGORACOM-JC at 8:14 AM on Monday, May 7th, 2012

MONTRÉAL, QUEBEC and OTTAWA, ONTARIO–(May 7, 2012) – Focus Metals Inc. (TSX VENTURE:FMS)(OTCQX: FCSMF)(FRANKFURT:FKC) and Hydro-Québec’s world-leading research institute, IREQ, today announced the signing of a licensing agreement enabling Focus Metals to develop a graphite purification facility and a graphite anode production facility for lithium-ion (Li-ion) batteries.

A new, Focus-owned facility will transform first-production graphite sourced from Focus Metals’ Lac Knife (Québec) high-grade deposit to battery-grade material.

The licensing agreement is in two parts. The first part is related to Focus Metals’ development of a graphite purification process that brings Lac Knife’s processed graphite to 99.95% carbon for use in lithium battery applications. The processing includes spherical shaping as well as thermal and chemical purification. The second part of the agreement provides for the production of anodes for Li-ion batteries.

IREQ will provide technical support and cooperate in future material and processing technology improvements.

Focus Metals’ President and CEO, Gary Economo, said the new purification and production facilities will be built in Québec and will be owned and managed by Focus Metals. The new purification facility will be designed, subject to positive economic analysis, to produce 15,000 tons of spherical battery-grade flake graphite at peak, by 2015, whereas the anode production facility will be designed to produce up to 5,000 tons of anodes. The exact cost of the facilities and the financing required have yet to be determined.

In exchange for the technology licence, technological support and future processing improvements, IREQ will receive a licensing fee that will be paid in cash over a three-year period, representing less than 10% of the current working capital, as well as a royalty fee based on a percentage of future sales.

“This agreement represents a huge and significant milestone for us as we move through pre-development to production of our Lac Knife technology graphite deposit,” said Mr. Economo. “Moreover, the marriage of Focus’s Québec-based, world-class graphite deposit to the Québec-based global leader in processing technologies-especially in battery anode production-will leave Focus Metals well-positioned to secure its place as a quality supplier to the fast-growing lithium battery manufacturing sector.”

“In particular, this agreement reinforces our goal of becoming the lowest-cost technology graphite producer in the world,” Mr. Economo added. “To have an all-Québec technology agreement with a world leader in graphite anode development and patenting bodes well for our shareholders.”

Mr. Economo went on to say that the battery-grade process will be incorporated into the Lac Knife Preliminary Economic Assessment due in June 2012.

Focus Metals is the 100% owner of the Lac Knife deposit, which contains 4.9 million tons of measured and indicated resource grading 16% Carbon as graphite (Cgr) and 3.0 million tons of inferred resource grading 16% Cgr (see NI 43-101-compliant Technical Report on the mineral resource estimate filed on SEDAR), the bulk of which is intended for use in technology applications.

IREQ is recognized globally as a leading technology source for renewable energy solutions.

“We believe that the high-grade graphite of the Lac Knife property, associated with our graphite purification and shaping technologies, will yield a quality product for Li-ion battery applications,” said Karim Zaghib, Director – Energy Storage and Conversion at IREQ.

About IREQ

Hydro-Québec’s research institute, IREQ, is a global leader in the development of advanced materials for battery manufacturing and designs cutting-edge processes in its state-of-the-art facilities. IREQ holds more than 100 patent rights and 15 licences for battery materials that are used by some of the world’s most successful battery manufacturers and materials suppliers. Its contributions are helping to develop safe, high-performance lithium-ion batteries that can be charged more quickly and a greater number of times. IREQ also acts as lead partner with private-sector companies based in Québec to build EV and HEV charging stations in support of its technology developments. It promotes open innovation and partners with private firms, universities, government agencies and research centres, both in Québec and abroad. These partnerships allow IREQ to develop, industrialize and market the technologies resulting from its innovation projects.

About Hydro-Québec

Hydro-Québec is Canada’s largest electricity producer and ranks among the world’s leading hydropower producers. It also transmits and distributes electricity. Its sole shareholder is the Québec government. It uses mainly renewable generating options, in particular hydropower, and supports the development of wind energy through purchases from independent power producers. Its research institute, IREQ, conducts R&D in energy efficiency, energy storage and other energy-related fields. Hydro-Québec invests $100 million per year in research.

About Focus Metals

Focus Metals Inc. is an emerging mid-tier junior mining company, a technology solutions supplier and a business innovator. It is the owner of the highest-grade (16%) technology graphite resource in the world. The company’s goal is to assume a dominant industry leadership position by becoming the lowest-cost producer of technology-grade graphite. As a technology-oriented enterprise with a view to building long-term, sustainable shareholder value, Focus Metals is invested in the development of graphene applications and patents through Grafoid Inc.

Forward-Looking Statements

This News Release may contain or refer to “forward-looking statements” that reflect Management’s expectations regarding Focus Metals’ future growth, results of operations, performance, and business prospects and opportunities. These statements reflect Management’s current beliefs at the time of this news release and are based on information currently available to Management. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of the Company, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Management’s expectations are exploration risks detailed herein and from time to time in the filings made by the Company with securities regulators. While the Company anticipates that subsequent events and developments may cause its views to change, it specifically disclaims any obligation to update these forward-looking statements, except in accordance with applicable securities laws. Accordingly, readers are advised not to place undue reliance on forward-looking information.

Neither 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.

Contact Information

Gary Economo, President and CEO
Focus Metals Inc.
Ottawa
613-691-1091 ext. 101
gary@focusmetals.ca
www.focusmetals.ca

Louis-Olivier Batty, Media Relations
Hydro-Quebec
514-289-4214
batty.louis-olivier@hydro.qc.ca

Focus Metals Update on Lac Knife Metallurgical Testing

Posted by AGORACOM-JC at 2:19 PM on Wednesday, April 11th, 2012

SGS: 46.1% large flake validates company’s high grade, high-concentration, world leading graphite deposit

OTTAWA, ONTARIO–(April 11, 2012) – Focus Metals Inc. (TSX VENTURE:FMS)(OTCQX:FCSMF)(FRANKFURT:FKC) announced today metallurgical testing by SGS Metallurgical Services of its Lac Knife, Quebec graphite property reported the deposit held 46.1% large flake (+48 mesh to +100 mesh); 39% medium flake (+150 mesh to +200 mesh) with an overall global recovery test rate of 85.9%.

Focus Metals President and CEO Gary Economo said that in addition to the 46.1% large flake the balance of available graphite flake (+150 mesh to -200 mesh) can be used for the production of anodes for the high-growth lithium battery manufacturing sector.

Mr. Economo said: “Lac Knife’s 16% grade and a large flake concentration of 46% validate our deposit’s commercial primacy in an emerging and highly competitive sector, especially when the balance of our resource can be largely dedicated to battery-grade applications.”

“As a business, grade and quality are the key elements to Lac Knife’s commercial viability. And increasing recoveries by utilizing new processing and purification technologies will provide additional value to actual results,” Mr. Economo said. “We will also continue to improve our production circuit design to reflect the processing and production requirements for potential customers.”

Mr. Economo said Lac Knife’s premium large flake will command premium prices in the graphite market, building additional shareholder value.

Complete results are listed in the table below. Premium large flake graphite is the most in-demand size for use in technology applications and the least available in current markets.

Concentrate Flake size Distribution (%) and Total
Carbon Grade (%C) F21 test
SIZE Distribution Total carbon Grade
(%) (%C)
+48mesh 16.6 96.1
+65mesh 14.3 95.0
+80mesh 7.0 94.5
+100mesh 8.2 94.1
+150mesh 28.0 92.6
+200mesh 11.0 87.2
-200mesh 14.9 85.2
Note: Carbon Grade is determined by LOI at 1000°C to constant weight.

Global carbon recovery in the batch flotation test was 85.9%. Next phase of testing will be in a locked cycle test designed to improve the global recovery and to provide a flow sheet and operating parameters for use in Focus Metals’ Preliminary Economic Assessment (PEA).

The technical information in this news release has been reviewed by Mr. Tony Brisson, P.Geo., Vice President, Exploration, a qualified person as defined by National Instrument 43-101.

About SGS Metallurgical Services

SGS Metallurgical Services is recognized as the world leader in the development of bankable flow sheets and pilot plant programs. SGS Metallurgical Services was founded over half a century ago. Its metallurgists, hydro-metallurgists and chemical engineers are experienced in all the major physical and chemical separation processes utilized in the recovery of metals and minerals contained in ore bodies around the world.

About Focus Metals

Focus Metals Inc. is an emerging mid-tier junior mining company, a technology solutions supplier and a business innovator. It is the owner of the highest-grade (16%) technology graphite resource in the world. The company’s goal is to assume a dominant industry leadership position by becoming the lowest-cost producer of technology-grade graphite. As a technology-oriented enterprise with a view to building long-term, sustainable shareholder value, Focus Metals is invested in the development of graphene applications and patents through Grafoid Inc.

Forward Looking Statements

This News Release may contain or refer to “forward-looking statements” which reflect Management’s expectations regarding the Company’s future growth, results of operations, performance and business prospects and opportunities. These statements reflect Management’s current beliefs at the time of this news release and are based on information currently available to Management. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of the Company, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Management’s expectations are exploration risks detailed herein and from time to time in the filings made by the Company with securities regulators. While the Company anticipates that subsequent events and developments may cause its views to change, it specifically disclaims any obligation to update these forward-looking statements, except in accordance with applicable securities laws. Accordingly, readers are advised not to place undue reliance on forward-looking information.

FOR FURTHER INFORMATION PLEASE CONTACT:

Focus Metals Inc.
Gary Economo, President and CEO
613-691-1091 ext. 101
gary@focusmentals.ca
www.focusmetals.ca

 

Neither 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.

Riding the graphite bull

Posted by AGORACOM-JC at 10:06 AM on Wednesday, March 28th, 2012

Chris Berry, founder of Mountain Partners asset management company, provided an interesting summary of the graphite space while speaking at the recent Graphite Express Conference in Vancouver.

The conference featured a keynote address from Berry and 5-minute presentations from some of the key graphite explorers, including Zimtu Capital Corp., Northern Graphite, Lomiko Metals, Strike Graphite, Focus Metals, Graphite One Resources, First Graphite, and Standard Graphite. A similar conference followed in Toronto.

Investor interest in graphite has been growing. Last December saw the first graphite conference in London, UK presented by online journal Industrial Minerals.

The journal has a useful page on graphite and provides the following key facts on the mineral:

  • graphite comes in three forms: amorphous, flake and vein/lump. Amorphous graphite contains 70-75% carbon and is the most common. Flake graphite is 85-90% carbon and is used for higher value applications like batteries. Vein/lump graphite is 90-96% carbon and is most valuable because it requires the least processing.
  • graphite is used in refractories – used to line high-temperature equipment; pencils; lithium-ion batteries – used in consumer electronics and electric vehicles; fuel cells; and Pebble Bed nuclear reactors. It is used in foundries, lubricants and brake linings. Graphite is also used to produce graphene, a tightly packed single layer of carbon atoms that can be used to make inexpensive solar panels, powerful transistors, and even a wafer-thin tablet that could be the next-generation iPad. Graphene, extremely light and strong, has been called “the world’s next wonder material.”
  • the closure of graphite mines in China, which produces 75% of the world’s graphite, has resulted in a fall in global graphite production to 1.3 million tonnes per annum in 2011. Like rare earths, China is restricting the export of graphite to protect its own domestic industries. The second largest producer is India, followed by Brazil, North Korea, Austria and Canada.
  • Graphite exploration is focused in Canada, with eight companies exploring properties in Quebec and Ontario. Europe has a number of mothballed mines that could return to production.

Berry, a former Wall Street broker and co-publisher of the Morning Notes investment newsletter, presents the case for graphite as a key solution in solving the global dilemma of how to provide electrification to millions in the developing world, and as a critical metal for developing new battery and nuclear power technology.

What follows below are his key points:

  • The United States, Europe and China have included graphite among a short list of critical metals.
  • the US Geological Service estimates the graphite market to be 10 times the size of the market for rare earth elements. The graphite market is about the same size as the market for nickel. 60% of the market is amorphous graphite and 40% is flake graphite. Most of the growth is in flake graphite (see bullet point below)
  • natural graphite can be processed to make synthetic graphite useful for high-value applications like lithium-ion batteries, but the process is expensive – $10,000 to $20,000/ton versus $3-4,000/t for flake graphite. The result is a race to find the best flake graphite deposits.
  • graphite is different from gold, silver, copper, etc because users require a specific carbon purity level. “It’s security of supply that keeps you up at night,” says Berry.
  • 33% of the graphite market produces refractories and crucibles (used in foundries); only 5% is for batteries. But the lithium-ion battery market is expected to grow by 25% a year.
  • Three of the largest lithium-ion battery makers in the world, GS Yuasa Corp, LG Chem and Liotech, a consortium between Russia and China, are building the largest lithium-ion battery plant in the world, in Russia. “Just these three heavy hitters in the battery space are making multi-million dollar bets on the future of lithium-ion technology, which cannot push forward without graphite,” says Berry.
  • future uses of graphite could include vanadium-redox batteries and hydrogen fuel cells. Graphite could also potentially replace silicon in microchips and silver used in solar panels.
  • by 2020 world consumption of graphite will be 1.9m tonnes, which does not include graphite needed for batteries, fuel cells and Pebble Bed nuclear reactors.
  • China will require 400,000 tonnes of large flake graphite for Pebble Bed nuclear reactors and lithium-ion batteries will require 327,000 tonnes. The current supply of large flake graphite is 400,000t, so there will be a need to double the supply of large flake graphite used in batteries and nuclear reactors in the next eight years. ”The takeaway is if you buy into the electrification thesis, and I’m halfway right, demand should easily outstrip supply,” says Berry.

Gary Economo, CEO of Focus Metals, also makes a number of useful points about graphite in his recently penned article in Proactive Investors USA & Canada. A select few appear below:

  • If there is any doubt about graphite’s importance as a commodity, one only has to look at the trebling of market prices for 97% graphite concentrate during the last decade.
  • Green, off-petroleum technologies are driving demand growth towards a market bubble that even a tsunami of new global production will be unable to deflate by 2020.
  • Industrial Minerals reports that graphite prices between mid-2011 and the end of January 2012 appear to have stabilized after dropping through the end of last year.
  • A current surplus of product in the world market and end-user depletion of stockpiles contributed to the downturn.
  • The United States produces no graphite and is 100% dependent on imports to meet its industrial and technology needs. As a continental neighbor, it makes sense for Canada to look south first, then Europe and Asia as it builds its customer base.

Source: http://www.mining.com/2012/03/27/riding-the-graphite-bull/?utm_source=digest-en-mining-120327&utm_medium=email&utm_campaign=digest

AGORACOM Welcomes Focus Metals As Newest Sponsor Of GraphiteStocksBlog.com

Posted by AGORACOM-JC at 10:40 AM on Friday, March 23rd, 2012

FMS: TSX-V

GraphiteStocksBlog.com a website dedicated to the needs of investors and companies in the fast growing Graphite industry, is pleased to announce that Focus Metals (FMS:TSXV) has become a sponsor of our site.

Focus Metals is a Canadian junior explorer and owner of the 16% carbon grade Lac Knife crystalline flake graphite deposit located in the Côte Nord region of Quebec.  Focus is fast-tracking the exploration program at Lac Knife with the aim of developing one of the lowest cost producers of industrial and technology-grade graphite in the world. A NI 43-101 compliant feasibility study on the project was completed in December 2011.  As a junior explorer with significant cash holdings, the company states it is poised to assume a leading position for graphite supply on a global scale and plans an aggressive program of acquisition, mergers and joint-venturing.

Focus Metals is managed by a great team and led by President and CEO, Gary Economo.  Mr. Economo enjoys a long history of graphite marketing and sales for high-tech applications. Over the span of his business career, Mr. Economo provided strategic consulting and representation services to technology companies in North America and Asia.   Beyond sharing a growing friendship with him, I respect and admire Gary for his work ethic, expertise and deep knowledge of the world’s technology needs.

As always, assume I am horribly conflicted by the fact Focus Metals is a sponsor of our site and conduct your own thorough due diligence.  To this end, in addition to the helpful links above, here is some information provided by the company to help get you started.

Top 5 Reasons to Consider Focus Metals

1. The company has two properties each containing a strategically important mineral – graphite and neodymium – needed for green initiatives and U.S. national and industrial security.

2. The Lac Knife graphite property has a proven history. Nearly developed in the early 2000s in a joint venture between Graftech and Ballard Power Systems, previous studies are being recast to NI 43-101 standards, and discussions with funding and/or development partners are currently underway.

3. The Kwyjibo REE property has as a strategic partner in the government of Quebec. SOQUEM, the wholly owned subsidiary of SGF, an industrial and financial holding corporation of the government of Quebec, holds 50% of the Kwyjibo property. SOQUEM/SGF are known for their long-term vision and successful development within the Quebec economy.

4. Market applications favour the company. Incremental demand for graphite and neodymium will be driven by green initiatives. Li ion batteries, fuel cells and magnet demand in the next five to seven years have the potential to consume more graphite than all current uses combined. Neodymium is one of three REEs projected to be in deficit supply.

5. Supply conditions favour the company. China controls the current global market in graphite and in REEs. Over 80% of the world’s graphite is produced in China and over 95% of the world’s REE production is in China. China is restricting supply and controlling and manipulating the price.

Lac Knife – Graphite Project

The Lac Knife graphite deposit is located on the Labrador border, south of Fermont, Quebec. It contains a NI 43-101 compliant resource of some 8 million tons grading 16% graphite, making it the highest grade graphite resource in the world. The deposit absorbed 7,600 metres of historic exploration drilling that defined mineralization over 600 metres of strike, that averaged 20 metres in width, and remains open in all directions and at depth.

An expanded drilling program is planned for 2012 to further define and expand the graphite resource.The area hosts excellent infrastructure, with cheap Quebec electric grid power, and nearby access to road, rail and port facilities. Lac Knife is also close to Fermont, Wabush, and Labrador City which serve as bases for three iron ore mines in the area, one being the largest open pit mine in North America. Lac Knife is currently at the pre-development stage but Focus plans to fast track development and commence annualized production of 20,000 tonnes of 95%graphite in 2013, and commission a secondary enrichment and refining facility capable of producing an additional 3,000 tonnes per year of 99.9% graphite in 2014.

Kwyjibo – REE (Rare Earth Elements) & Copper Project

Focus Metals’ Kwyjibo, Quebec, rare earth elements (REE) and copper property being developed in partnership with Soquem, the Quebec Government’s commercial mining corporation, is on a fast-track for development.

The property, located some 10 kilometers north of Lac Manitou, was designated by the Quebec government in 2010 as a priority economic development target. It sits in one of the province’s historically-rich iron ore, copper and gold (IOCG) mineralized zones.

Discovered during the early 1990s, Focus Metals 2010 summer drilling program produced significant initial results for rare earths, primarily neodymium – a critical alloy in super-strength magnets used in hybrid and electric vehicle motors, representing about 20% of total rare earth oxides.

Romer & Labrador Trough Project

Focus Metals’ longer-term development project in the Ungava-Labrador Trough region of Northern Quebec holds potential economic prospects for the discovery of gold, platinum, palladium, copper, zinc and nickel.

Focus Metals owns 100% of these 13 properties covering some 668 square kilometres running north-south from our Lemming property in southwestern Ungava Bay to Fox, some 75 kilometers east of Schefferville, Quebec.

Our Romer property, however, showed potential interest from 2009 geologic surface samplings and we decided in late 2010 to formally assay those findings.

Positive assay results for gold, silver and copper from earlier work conducted in 2009 confirmed historical showings and identified several new mineralized zones on the Romer Property.

Significant gold values included 8.54 g/t Au on the Lac Plissé Showing and 2.03 g/t Au from a pyritic boulder which represents a new discovery and a new type of gold mineralization on the property.