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Galaxy Graphite Corp. Reports Highly Encouraging Gold Results at Brownell Lk, SK

Posted by AGORACOM-JC at 10:10 AM on Friday, November 16th, 2012

VANCOUVER, BRITISH COLUMBIA–(Nov. 16, 2012) – Galaxy Graphite Corp. (TSX VENTURE:GXY) (the “Company” or “Galaxy”) is pleased to announce that a two-phased summer field program has returned very encouraging sample results on its Brownell Lake, SK gold project.

Following the Phase I program consisting of prospecting and sampling (soils and outcrops), as well as ground geophysics (VLF/magnetometer), Phase II included detailed outcrop sampling with diamond-saw cut channel samples, over prospective zones identified in Phase I.

The Brownell Lake property is located in northern Saskatchewan and is prospective for shear zone-hosted gold and intrusion-related gold. Phase Two of work on the Brownell Lake property took place from September 10 to September 17, 2012. During this time period, four historical showings were located, stripped and channel sampled: Olson, Olson Point, Jena and Kalix. One additional historical showing, Juba, was located and grab sampled. Anomalous gold at the Olson and Olson Point showings is believed to be shear zone-related, while gold at the Jena, Kalix and Juba showings is believed to be related to the presence of a nearby granitoid intrusion. A series of trenches was cleared and mapped on the property and a total of 24 rock and 112 channel samples were collected and sent for multi-element ICP-MS analysis at Acme Labs in Vancouver. A total of 128.5 metres of channels were cut and sampled.

Assay results were highly encouraging with a high value of 25.1 g/t Au over 1.03 metres in one location on the Jena prospect and 4.1 g/t Au over 5.1 metres in different area on the same prospect. All showings, with the exception of Juba, yielded anomalous gold values.

Olson/Olson Point: The Olson and Olson Point zones are underlain by metavolcanic rocks in an area which is anomalously magnetic. This area was previously drilled with 5 holes during 2007 and 2008. A review of the core from those holes indicates that the full mineralized zone was not sampled and assayed. Channel sampling has expanded the width of the mineralized zone, and has identified its surface expression over a strike length of 220 metres, and is open along strike in both directions.

Summary of trenching results: Central — Trench 1: 2.0 g/t Au over 5.18 m — Trench 2: 1.59 g/t Au over 4.16 m West — Trench 1: 0.16 g/t Au over 12.45 m East — Trench 1: 0.12 g/t Au over 7.29 m — Trench 2: 0.13 g/t Au over 8.39 m Olson Point — Trench 1: 0.26 g/t Au over 20.77 m Including 0.56 g/t Au over 2.42 m and Including 0.95 g/t Au over 3.39 m

Jena: The Jena zone is located on the northern edge of the Brownell Lake intrusion. Anomalous gold values occur in metasediments at the contact, in minor auriferous quartz veins and in the granite. The showing was drilled in 1987 to a depth of 61.77 metres, but the drill collar was unable to be located.

Summary of trenching results: — Trench 1: 4.1 g/t Au over 5.1 m Including 8.0 g/t Au over 2.15 m — Trench 2: 0.6 g/t Au over 4.76 m — Trench 3: 5.4 g/t Au over 4.97 m Including 25.1 g/t Au over 1.3 m — Trench 4: 1.76 g/t Au over 4.93 m Including 3.9 g/t Au over 2.16 m — Trench 5: 0.4 g/t Au over 2.58 m (extent of trench restricted due to topography)

Kalix zone: The Kalix zone is located on the eastern side of the Brownell Lake granitic intrusion and consists of quartz vein stockwork in the granite near the contact with staurolite schist. Two drill holes, totaling 168.2 metres were drilled on the zone in 1987; only one drill collar was located.

Summary of trenching results: Central — Trench 1: 2.7 g/t Au over 9.13 m Including 6.9 g/t Au over 3.49 m East — Trench 1: 0.2 g/t Au over 16.7 m Including 0.95 g/t Au over 1.6 m West — Trench 1: 0.1 g/t Au over 9.11 m South — Trench 1: 0.41 g/t Au over 8.02 m Including 1.2 g/t Au over 2.22 m — Trench 2: 0.15 g/t Au over 5.38 m

Chris M. Healey, P.Geo., a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical content of this release.

ON BEHALF OF THE BOARD

Chris M. Healey, President and CEO

We seek safe harbor.

FOR FURTHER INFORMATION PLEASE CONTACT: Galaxy Graphite Corp. Chris M. Healey President and CEO (604) 921-1810 (604) 921-1898 (FAX)

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.

Source: Galaxy Graphite Corp.

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Galaxy Graphite Corp. Completes Phase I at Brownell LK, SK, Commences Phase II on Encouraging Results

Posted by AGORACOM-JC at 9:33 AM on Thursday, September 13th, 2012

VANCOUVER, BRITISH COLUMBIA–(Sept. 13, 2012) – Galaxy Graphite Corp. (TSX VENTURE:GXY) (the “Company” or “Galaxy”) is pleased to announce that very encouraging sample results have been received for the Phase I program on its Brownell Lake, SK gold project. After a preliminary review of those results, a second phase of field work is now underway.

The Phase I program consisted of detailed mapping and sampling (soils and outcrops), as well as ground geophysics (VLF/magnetometer). Samples were taken on a 50×50 meter grid. A preliminary review of those results is very encouraging with a substantial number of high grade samples. From 135 rock samples, 7 returned values in excess of 10 g/t Au, including one above the upper detection limit of 100 g/t Au. A total of 560 soil samples were taken, of which 20 exceeded 100 ppb Au. Of those 20, two exceeded 1000 ppb (1 g/t).

The areas investigated in this first phase included potential extensions of the previously worked Olsen Lake showing, as well as several other prospective areas of the property.

A detailed review of the results has not yet been completed, but the preliminary review indicated that they were of sufficient interest to embark immediately on a second phase of work, which will include channel sampling across the more significant zones. The purpose of this work is to determine the extents of the zones identified by the Phase I program.

The Brownell Lake property is located in the Brownell Lake Greenstone Belt, within the Glennie Domain, and lies approximately 100 km east of La Ronge, SK.

Chris M. Healey, P.Geo, a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical content of this release.

ON BEHALF OF THE BOARD

Chris M. Healey, President and CEO

We seek safe harbor.

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

  • Galaxy Graphite Corp.
    (604) 921-1810
    (604) 921-1898 (FAX)

     

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Galaxy Graphite Corp. Receives Approvals for Drill Program at SUN Project, Quebec

Posted by AGORACOM-JC at 9:14 AM on Thursday, August 9th, 2012

VANCOUVER, BRITISH COLUMBIA–(Aug. 8, 2012) – Galaxy Graphite Corp. (TSX VENTURE:GXY) (the “Company” or “Galaxy”) is pleased to announce that it has receive a permit from the Quebec Ministère des Ressources naturelles et de la Faune to allow drilling to proceed on the SUN graphite project, located 125 km northeast of Baie-Comeau, QC.

Drilling will consist of 2500 – 3000 metres, with holes typically being 75 – 125 m in depth (25-30 holes in total). The program is expected to commence on or about August 24, 2012 and last for about one month. The drilling will be contracted to Forage Val D’Or and the program will be managed by Consul-Teck of Val d’Or, QC.

The company has recently completed a program of mapping, prospecting and sampling on the property. Assay results on the samples are pending.

SUN Graphite Property, Quebec

The Sun Graphite property consists of 4,200 hectares, located approximately 145 km by road, north of Baie-Comeau, QC. Galaxy Graphite Corp has an option to acquire a 100% interest in the property. The claim block hosts multiple targets for large flake graphite, initially identified by Outokumpu Mines Inc. in 1998, looking for base metal mineralization.

Outokumpu conducted a 2500 km helicopter-borne magnetometer and electromagnetic survey over the area in 1998. Ground follow-up of the resulting anomalies determined that all of the conductive zones were caused by graphite, rather than by massive sulphides containing base metals. No further ground work was performed by Outokumpu at that time.

The property is located within the Central Metasedimentary Belt of the Grenville Province of the Canadian Shield. This geological province is characterized by a high level of metamorphism, critical in the development of coarse flake graphite. This metamorphism is believed to have occurred from 700 million to one billion years ago.

The property geology features a contact zone between the Lac de la Blache anorthosite complex and a variably magnetic sequence of cataclastic gabbro interlayered with paragneiss. According to reports prepared for Outokumpu on the ground follow-up work in 2000, the paragneiss is the main host for graphite mineralization. Graphite was found in zones 20 meters in width. Within these zones, disseminated graphite, typically containing 10% graphite, and massive veins, 20-30 cm in width, were commonly observed.

Within the property boundary, in excess of 25 km of conductive horizons were identified from the airborne survey. All of this may be considered prospective for graphite mineralization.

Because graphite was not the commodity of interest, no testing of the graphite (such as sieve tests) was carried out. However, elsewhere in the Grenville Province, similar geological environments are usually characterized by the presence of coarse flake graphite with high carbon content (94-97%).

The Company cautions that it has not verified the quality and accuracy of the historic data reported in this news release, which predate the introduction of National Instrument 43-101 and cautions readers not to rely upon them. The historic information was generated from internal company reports from a previous operator. This source believed to be reliable; however, it has not been confirmed by the company’s Qualified Person.

Chris M. Healey P.Geo, a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical content of this release.

CHRIS M. HEALEY

ON BEHALF OF THE BOARD

Chris M. Healey, President and CEO

We seek safe harbor.

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

 

Galaxy Graphite Corp.
Chris M. Healey
President and CEO
(604) 921-1810
(604) 921-1898 (FAX)

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Galaxy Graphite Corp. Commences Field Work at SUN Project, Quebec

Posted by AGORACOM-JC at 11:45 AM on Friday, June 15th, 2012

VANCOUVER, BRITISH COLUMBIA–(June 15, 2012) – Galaxy Graphite Corp. (TSX VENTURE:GXY) (the “Company” or “Galaxy”) is pleased to announce that it has commenced field work on its SUN graphite property, located approximately 125 km NW of Baie-Comeau, Quebec.

This Phase 1 work program will consist of prospecting, mapping and sampling, and will be completed by early July, 2012. The work will be performed by Consul-Teck Exploration Inc of Val d’Or, QC.

This work will be followed by a Phase 2 program, with a planned 3000 meters of diamond drilling. Drilling will commence as soon as all of the necessary permits are received.

Chris M. Healey P.Geo, a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical content of this release.

ON BEHALF OF THE BOARD

Chris M. Healey, President and CEO

We seek safe harbor.

 

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.

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The Graphite Digest — A roundup of recent news from graphite explorers

Posted by AGORACOM-JC at 11:15 AM on Monday, June 11th, 2012

Big North completes SE Ontario EM Survey, ends IR Agreement

Big North Graphite Corp (TSXV:NRT) announced June 8 completion of an airborne electromagnetic survey of 1,187 line-kilometres with 100-metre spacing over its Griffith and Brougham properties in southeast Ontario. Preliminary data suggests both properties show conductors, including coincident features to the known graphite showings. Final data is expected next week and will be used to direct ground geophysics, mapping and sampling.

The company also announced it has terminated an investor relations agreement with Trident Financial announced on April 19. The Griffith-Brougham land package covers 6,500 hectares in a region that includes Ontario Graphite’s Kearney Mine and Northern Graphite’s (TSXV:NGC) Bissett Creek Project.

 

Read an interview with Big North Graphite President/CEO Spiro Kletas.

Galaxy completes Airborne Surveys of Quebec Graphite Project, approves Name Change

Galaxy Capital Corp (TSXV:GXY) announced June 7 completion of helicopter-borne electromagnetic and magnetometer surveys on its Buckingham Property in west Quebec. Preliminary results from the 162-line-kilometre survey are expected within three weeks and will be used to direct a program of ground geophysics, prospecting, mapping and sampling.

On June 6, the company announced shareholder approval of a change of name to Galaxy Graphite Corp. Contingent on TSXV approval, the stock symbol will remain the same. The 1,324-hectare Buckingham Property consists of two former mines 40 kilometres east of Ottawa. The host rocks for both deposits are graphitic crystalline marbles, similar to the host stratigraphy at Timcal Graphite & Carbon’s Lac-des-Îles Graphite Mine, the company has stated.

Rare Earth Metals begins Ground EM Survey on NW Ontario Graphite Property

Rare Earth Metals Inc (TSXV:RA) announced June 7 it has begun line-cutting and a ground electromagnetic survey on its Manitouwadge Graphite Property in northwest Ontario. The company intends to determine the strike length and continuity of graphite zones outlined by an EM survey flown in 1989. Three graphite horizons have been identified so far through historic work and recent trenching. The zones range from four to 12 metres thick with chip samples showing 2.04% to 4.18% carbon. Screen tests on the higher-grade composite sample confirmed the presence of +65 mesh and +35 mesh flake graphite. Additional metallurgical results are pending.

The company has two advanced projects in Ontario and Labrador, with rare earth elements, niobium, beryllium, zirconium and iron ore. The company has also acquired the Coldwell Complex and the Lavergne-Springer REE Prospect, both in north Ontario.

Standard Graphite reports EM Conductors on Quebec Graphite Property

Standard Graphite Corp (TSXV:SGH) announced June 5 airborne geophysical results from its Kiamika Property in west Quebec. Initial results confirm that surface occurrences are associated with a conductor crossing the entire property over a 3.5-kilometre strike length. A second conductor 750 metres east replicates the first and expands the project’s potential, the company stated.

The 888-line-kilometre TDEM survey included three other properties: Preston, 31 Milles and Notre Dame. Results are pending for those properties and will help determine follow-up work scheduled for later this month. All four properties lie within 90 kilometres of Standard’s flagship Mousseau East Project in the Central Metasedimentary Belt of the Grenville Geological Subprovince. Mousseau East has a 1992 non-43-101 resource estimate showing 598,480 tonnes grading 8.29% carbon proven, 219,450 tonnes grading 8.13% probable and 288,760 tonnes grading 7.85% possible.

Read a feature story about Standard Graphite.

Focus to acquire Brazil Graphite Project from Lara Exploration

Focus Graphite Inc (TSXV:FMS) and Lara Exploration Ltd (TSXV:LRA) announced June 4 a letter of intent in which Focus will acquire up to a 60% interest in the Canindé Graphite Project in Ceará State, northeast Brazil. Under the agreement’s first option, Focus may earn a 51% interest by issuing Lara a total of 500,000 shares and spending $2.5 million within three years. Exploration must include an EM survey and 2,000 metres of drilling.

Under the second option, Focus may earn an additional 9% interest by spending a total of $4.5 million within five years, including completion of an additional 5,000 metres of drilling and a positive PEA.

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If Focus declines or fails to exercise the second option, the two companies will create a 51/49 joint venture. If Focus exercises the second option, the companies will create a 60/40 JV. Both companies will fund exploration proportionately and the party holding majority interest will be deemed the project operator. If a party’s interest falls to less than 10%, its interest in the JV will be converted to a 2% production royalty.

Canindé is subject to a 1% royalty payable to a third party on gross revenue up to R$750,000 (750,000 Brazilian reais, approximately $369,000) as well as a one-time payment of R$200,000 (approximately $99,000) payable to the third party on completion of a non-NI 43-101-compliant Economic Graphite Reserve Estimate as defined by Brazil’s Departamento Nacional de Produção Mineral.

The 15,615-hectare project hosts 22 surface graphite occurrences discovered by Lara in mid-2011. The occurrences define a 16-kilometre-long graphitic corridor in high-grade metamorphic rocks. Individual graphite occurrences range from less than one metre to 10 metres wide and host grades ranging from 1% or 2% disseminated graphite in paragneiss and schist (mostly flakes), to over 50% graphite in narrow lenses in gneiss, schist, pegmatitic migmatites and brecciated horizons in gneiss. Surface grab samples from 15 of the occurrences show grades ranging from less than 1% up to 42%. The project is accessible by road.

The company’s flagship Lac Knife Graphite Project in northeast Quebec is scheduled for a PEA this month. The company states that it hopes to have offtake agreements and financing to begin mine construction following the PEA.

Read an interview with Focus President/CEO Gary Economo.

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

Read a feature story about Focus Graphite.

Energizer, Malagasy report Madagascar Graphite Intersections up to 434m

Energizer Resources Inc (TSXV:EGZ) and Malagasy Minerals Ltd announced June 4 five graphite intersections on the Molo Deposit of their Joint Venture Property in Madagascar. Intersections came to 434 metres, 295 metres, 220 metres, 150 metres and 51 metres. Core from the five holes has been sent for assaying, with the first results expected within six weeks. Metallurgical analysis of previous Molo samples showed jumbo-flake, +50 mesh graphite at an average purity of 93% carbon which can be liberated through simple crushing. The deposit begins at surface and extends to a vertical depth of over 300 metres, Energizer stated. The company plans an initial resource estimate for the Molo Deposit, which Energizer and engineering partner DRA Mineral Projects are targeting for open-pit production in early 2015.

Energizer holds a 75% interest and acts as operator on the JV Property, which surrounds Energizer‘s wholly owned Green Giant Graphite-Vanadium Property on three sides.

Read an interview with Energizer Resources VP of Business Development Brent Nykoliation.

Read feature stories about Energizer Resources’ vanadium deposit and its graphite deposits.

Canadian Platinum finds Saskatchewan Graphitic Argillite

Canadian Platinum Corp (TSXV:CPC) announced June 4 the presence of a thick sequence of graphitic argillite on its Peter Lake Copper-Nickel-PGE Project in northeast Saskatchewan. Examination of a 2009 airborne ZTEM survey and historic drillholes found conductors caused by graphitic argillite, the company stated. A sample assay of historic core showed 10.2% carbon and six grab samples from another historic hole averaged 4.5% carbon. Canadian Platinum drilled one of the ZTEM conductors in 2009, which intersected 142 metres of graphitic argillite and terminated in graphitic argillite. This drillhole and historic holes are currently being sampled to determine grades.

The project is North America’s largest mafic/ultramafic complex. The company’s mining claims in the area cover approximately 202,340 hectares.

By Greg Klein

Read previous Graphite Digests here

Disclaimer: Standard Graphite Corp and Focus Graphite Inc are clients of OnPage Media and the principals of OnPage Media may hold shares in those companies.

Read more articles like this at resourceclips.com.

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Source: http://business.financialpost.com/2012/06/11/the-graphite-digest-a-roundup-of-recent-news-from-graphite-explorers-3/

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Galaxy Capital Corp. Acquires Laurier Graphite Property in Ontario

Posted by AGORACOM-JC at 1:38 PM on Wednesday, May 23rd, 2012

VANCOUVER, BRITISH COLUMBIA–(May 23, 2012) – Galaxy Capital Corp. (TSX VENTURE:GXY) (the “Company” or “Galaxy”) is pleased to announce that it has signed an agreement to acquire a 100-per-cent interest in the Laurier Graphite Property, Ontario.

Laurier Graphite Property

The Laurier Graphite property is located in Laurier Township, ON, approximately 40 km SSE of North Bay, ON. The property is located in the highly prospective Central Metasedimentary Belt of the Grenville geological province, host to many active graphite projects. The host rocks for the target zone are graphitic paragneisses. The property properties cover a total of approximately 2300 hectares on 46 mining claims.

The property was described in Ontario Geological Survey (OGS) Open File Report 5649, published in 1987. The report is entitled “Graphite in the Central Gneiss Belt of the Grenville Province in Ontario.” The property has road access from Highway 11, which is 5 km to the west. The report describes four graphite occurrences, two of which are currently being prepared for production. These are referred to in the report as Butt Township (which is the Kearney Mine) and Maria Township (the Bissett Creek deposit).

Work performed on the Laurier property by the OGS described N-S trending graphitic schist units varying from 25 to 250m in width with 1.0mm (16 mesh) graphite flakes disseminated throughout. In addition, a 1-2m wide vein of massive graphite was reported.

The Company cautions that it has not verified the quality and accuracy of the historic data reported in this news release, which predate the introduction of National Instrument 43-101 and cautions readers not to rely upon them. The historic information was generated from the OGS report cited above. This source is believed to be reliable; however, it has not been confirmed by the company’s Qualified Person.

A field program, consisting of ground geophysics (VLF/Mag), prospecting, mapping and sampling, is planned for June 2012.

Chris Healey, President of Galaxy commented, “With this acquisition, along with the Sun and Buckingham graphite properties previously announced, Galaxy now has an excellent portfolio of quality graphite projects. With the recently closed financing, Galaxy is in a position to aggressively explore these projects starting in the coming weeks and to expedite them to an advanced stage.”

Update on Other Properties

SUN Property, NW of Baie-Comeau: field work on this property is expected to commence in late May, consisting of mapping, prospecting and sampling, to define drill targets. This will be followed by a 3000 metre summer diamond drill program.

Buckingham, East of Ottawa: Field work will commence in late May with a helicopter-borne EM/Mag survey, followed immediately by ground follow-up.

Terms

Galaxy has an option to earn a 100-per-cent interest in the Laurier Graphite Property, Ontario from Gino Chitaroni by making the following payments and issuing the following common shares to the vendors: i) $10,000 upon signing the letter agreement (paid), ii) $40,000 and 1,000,000 common shares on receipt of the TSX Venture Exchange (“TSX-V”) acceptance of the agreement, iii) and $50,000 and 500,000 common shares twelve months from TSX-V acceptance.

The vendor will retain a 2-per-cent net milling royalty on the property, half of which can be purchased by Galaxy for C$1,000,000 and a further quarter for $500,000.

Chris M. Healey P.Geo, a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical content of this release.

ON BEHALF OF THE BOARD

Chris M. Healey, President and CEO

We seek safe harbor.

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

  • Galaxy Capital Corp.
    Chris M. Healey
    President and CEO
    (604) 921-1810
    (604) 921-1898 (FAX)

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Galaxy Capital Corp. Arranges 12 Million Unit Private Placement

Posted by AGORACOM-JC at 2:40 PM on Monday, March 26th, 2012

VANCOUVER, BRITISH COLUMBIA–(Marketwire – March 26, 2012) – Galaxy Capital Corp. (TSX VENTURE:GXY) (the “Company” or “Galaxy”) is pleased to announce that it has arranged for a non-brokered private placement of 12 million units at a price of 18 cents per unit. Each unit will consist of one common share and one transferable eighteen month share purchase half-warrant. Each half-warrant will be exercisable at a price of 25 cents to purchase one additional common share of Galaxy. Galaxy intends to use the funds with this private placement for exploration and development on its graphite exploration projects in Quebec and for general working capital.

About Galaxy

Galaxy Capital Corp is a publicly traded Canadian exploration company which is focused on exploring and developing graphite properties, especially in the Grenville geological province in eastern Canada. In addition, the company is exploring a highly prospective gold property in northeastern Saskatchewan, Brownell Lake.

Sun Graphite Property, Quebec

The Sun Graphite property consists of 4,200 hectares, located approximately 145 km by road, north of Baie-Comeau, QC. The property is owned 100% by Galaxy Capital Corp. The claim block hosts multiple targets for large flake graphite, initially identified by Outokumpu Mines Inc. in 1998, looking for base metal mineralization.

The property is located within the Central Metasedimentary Belt of the Grenville Province of the Canadian Shield. This geological province is characterized by a high level of metamorphism, critical in the development of coarse flake graphite. This metamorphism is believed to have occurred approximately one billion years ago.

Within the property boundary, in excess of 25 km of conductive horizons were identified from the airborne survey. All of this may be considered prospective for graphite mineralization.

Buckingham Graphite Property, Quebec

The Buckingham Graphite property comprises two former producing mines, located just east of Buckingham, QC. They are located in the highly prospective Central Metasedimentary Belt of the Grenville geological province, host to many active graphite projects. The host rocks for both deposits are graphitic crystalline marbles, similar to the host stratigraphy at Timcal’s Lac des Iles graphite mine, currently Canada’s only producing graphite mine. The two properties cover a total of 1,324 Ha on 22 mining.

Graphite Market

Global consumption of natural graphite has increased from approx. 600,000 in 2000 to 1.2 MM t in 2012. Demand for graphite has been increasing by approximately 5% per year since 2000 due to the ongoing modernization of China, India and other emerging economies, resulting in strong demand from traditional end uses such as the steel and automotive industries. Graphite also has many important new applications such as lithium ion batteries, fuel cells and nuclear and solar power that have the potential to create significant incremental demand growth. There is roughly 20 times more graphite required by weight to produce a lithium-ion battery than there is lithium. Demand for graphite is expected to rise as electric vehicles and lithium battery technology are adopted as well as increasing uses in new technology applications.

Natural graphite comes in several forms: flake, amorphous and lump. Of the 1.2 million tonnes of graphite produced annually, approximately 40% is of the most desirable flake type. China, which produces about 73% of the world’s graphite, is seeing production and export growth leveling and export taxes and a licensing system have been instituted. A recent European Commission study regarding the criticality of 41 different materials to the European economy included graphite among the 14 materials high in both economic importance and supply risk (Critical Raw Materials for the EU, July 2010). Graphite prices have been increasing in recent months and over the last couple of years prices for large flake, high purity graphite (+80 mesh, 94-97%C) have more than doubled.

Chris M. Healey, geologist, a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical content of this release.

ON BEHALF OF THE BOARD

Chris M. Healey, President and CEO

For further information, please visit the website at www.sedar.com to view the Company’s profile.

We seek safe harbor.

FOR FURTHER INFORMATION PLEASE CONTACT:

Galaxy Capital Corp.
Chris M. Healey
President and CEO
604-921-1810
604-921-1898(FAX)

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