AGORACOM Small-cap Investor Relations Blog

• Imerys and Lomiko Step Up Battery Materials Development As The Decade of the Electric Vehicle Revolution Begins

Lomiko Metals Inc. (TSX-V: LMR, OTC: LMRMF, FSE: DH8C) (Lomiko or the “Company”) has identified spherical graphite production as a key goal in plans to supply graphite anodes for Electric Vehicles (EV) Li-ion battery mega-factories in the North American market as  highlighted  in Lomiko’s  July 16th, 2019 release.  Testing for spherical graphite is to be included in the upcoming Lomiko Preliminary Economic Assessment (PEA) which is planned for the La Loutre graphite project located in Quebec, Canada. 

The development of a strategy that identifies a way to create value-added products is necessary to establish a long-term, profitable business model prior to extensive capital outlay and is crucial to the success of the company.  A large multinational conglomerate, Imerys Carbon and Graphite has also been working on new developments in the graphite space with innovative products for the EV Industry.

Imerys Graphite & Carbon has a strong history in the production of high-quality natural and synthetic graphite powders, conductive carbon blacks and water-based graphite dispersions with the parent company posting €4.6 billion in revenue and approximately 17,000 employees worldwide.

Imerys Graphite & Carbon’s fully owned natural graphite mine is located about 250 km north-west of Montréal, Canada, in the small town of Lac-des-ÃŽles [53 km north of Lomiko’s La Loutre Graphite Property]. Operations started in 1989. There, graphite ore is mined and refined into high-quality graphite products of various sizes and purities. These graphite concentrates are directly sold to various applications or further processed in its Terrebonne, Quebec plant [near Montreal].  In a news release dated November 18, 2019, Imerys stated:  

“New developments in automotive and in the consumer electronics markets are driving a need for improved performance of lithium-ion batteries in diverse operating conditions. QX products [graphite additive tradename] enable fast kinetics during charging and can significantly improve the performance of active materials.”

“We are at the beginning of the battery materials bull market with 100+ Lithium-ion, mega-factories built or scheduled to be built worldwide,” said Lomiko’s CEO A. Paul Gill.   â€œLomiko sees a tremendous opportunity in creating a stable and integrated North American value supply chain for North American EV manufacturers.  This opportunity represents a significant increase of confidence to the Quebec government, Lomiko, and other companies to see Imerys step into the EV field despite being close to closing their twenty-year operation at the Lac-des-ÃŽles facility.”

Graphite Sector Analysis

The price for 95% C (purity), 15 microns Spherical Graphite is $2,700-2,800 USD/tonne, far above the price of other forms of graphite as indicated by the Industrial Minerals.  Lomiko’s Preliminary Economic Assessment (PEA) will include costs and the potential market for this key product.  In order to start the PEA, Lomiko must first deliver its second resource prepared in compliance with NI 43-101 Regulations from La Loutre.

On November 4, 2019, Imerys announced: [Natural and synthetic graphite] subject to general inflationary pressures and will, therefore, be subject to some price increases to reflect those inflation effects.

On October 18, 2019, A recently opened mine in Mozambique owned by Syrah Resources, which primarily produces 94% C, -100 mesh material since 2017, significantly reduced their workforce and cut production targets for 2020.

The production cut will likely curtail the supply of natural flake graphite supporting a general conclusion that an uptrend in graphite prices may be imminent after a multi-year low in demand and price.

For more information on Lomiko Metals, review the website at www.lomiko.com, contact A. Paul Gill at 604-729-5312 or email: [email protected].

On Behalf of the Board,

“A. Paul Gill”

Chief Executive Officer 

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

Attachment

• Battery Materials Demand

A. Paul Gill
Lomiko Metals Inc. (TSX-V: LMR)

Lomiko Metals Inc. (the “Company”) (TSX-V: LMR, OTC: LMRMF, FSE: DH8C)   is pleased to announce that on November 29, 2019 it held its Annual General and Special Meeting of Shareholders (the “Meeting”).   A total of 32,423,014 common shares (43.23% of the outstanding common shares) were represented at the Meeting in person or proxy.  

1.      Number of Directors

The number of Directors to be set at four (4) was approved by resolution passed by a vote by ballot with 26,771,300 (98.07%) total votes cast “FOR” and 527,137 (1.93%) votes cast “AGAINST”.

 2.     Election of Directors 

 Each of the following individuals were elected as directors of the Company as approved by a vote by ballot, for a term expiring at the conclusion of the next annual meeting of shareholders of the Company or until their successors are elected or appointed, as follows: 

3.            Appointment of Auditor 

The appointment of Dale Matheson Carr-Hilton Labonte LLP, Chartered Professional Accountants, as the auditors of the Company, the authorization for the directors to fix the remuneration to be paid to the auditors and the change of auditors from Galloway, Botteselle & Company, Chartered Professional Accountants, to Dale Matheson Carr-Hilton Labonte LLP, Chartered Professional Accountants which became effective February 8, 2018 was approved by a resolution passed by a vote by ballot, with 32,380,390 (99.88%) total votes cast “FOR” and 39,557 (0.12%) total votes “WITHHELD”. 

4.           2019 Stock Option Plan

The 2019 Stock Option Incentive Plan was approved by a resolution passed by a vote by ballot with 26,107,574 (95.64%) total votes cast “FOR” and 1,190,857 (4.36%) total votes cast “AGAINST”. 

5.           Sale of Subsidiary

 The sale of the Company’s wholly-owned subsidiary in accordance with the Business Corporations Act (BC) to Promethieus Technologies Inc was approved by a special resolution passed by a vote by ballot, with 21,079,430 (99.76%) total votes cast “FOR” and 51,463 (0.24%) total votes cast “AGAINST”.   The resolution was non-arm’s length transaction and 6,167,538 votes were excluded from voting. Further to the Company’s press release dated September 30, 2019 and November 25, 2019 shareholder approval has been obtained to the transaction.  The Company has been advised that the closing of the sale is subject to a financing to be completed by Promethieus Technologies Inc. of $3,670,750.  Promethieus has advised the Company that closing will be on or before December 31, 2019, subject to regulatory approval.

6.           Other Matters

 At the first meeting of the newly constituted Board of Directors held immediately after the Meeting, A. Paul Gill was elected to serve as President and Chief Executive Officer and Jacqueline Michael as Chief Financial Officer until the next annual general meeting of the Company.  The Board also elected Julius Galik, Gabriel Erdelyi and Jacqueline Michael to serve as the Company’s Audit Committee until the next annual general meeting of the Company.   

For more information on the Company, review the website at www.lomiko.com, contact A. Paul Gill at 604-729-5312 or email: [email protected]. 

On Behalf of the Board,

LOMIKO METALS INC.

A. Paul Gill,

Chief Executive Officer

SPONSOR: Lomiko Metals LMR:TSX-V – A Canadian exploration-stage company discovered high-grade graphite at its La Loutre Property in Quebec and is working toward a Pre-Economic Assessment (PEA) that will increase its current indicated resource of 4.1 Mt of 6.5% Cg to over 10 Mt of 10%+ Cg through a 21 hole program at the Refractory Zone. Click Here For More Information

• New​ graphite designed to rapidly increase charge rate of lithium-ion batteries

Bironico, Switzerland – IMERYS Graphite & Carbon announced today that it has expanded its current portfolio of high performance carbon solutions to include a new line of additives for lithium-ion batteries. Our QX line is a high performance specialty solution, which has been shown to significantly increase the charge rate. QX additives are Imerys Graphite & Carbon’s latest innovation in response to the demanding performance requirements of our customers for their next generation of lithium-ion batteries.

New developments in automotive and in the consumer electronics markets are driving a need for improved performance of lithium-ion batteries in diverse operating conditions. QX products enable fast kinetics during charging and can significantly improve the performance of active materials.

“​IMERYS Graphite & Carbon has long been on the cutting edge of rechargeable battery technology, and QX is the latest example of how we are leveraging our technical expertise and state of the art R&D facilities to pave the way in providing unparalleled solutions to our customers,” stated Frank Wittchen, General Manager & Vice President. “QX is a breakthrough solution for rapid charge capabilities.”​

For more information about IMERYS Graphite & Carbon’s QX line contact your local sales representative, visit our website, or speak with us in person at Battery Japan 2020.

About Imerys Graphite & Carbon 

Imerys Graphite & Carbon has a strong history in the production of high quality natural and synthetic graphite powders, conductive carbon blacks and water-based graphite dispersions.

Imerys Graphite & Carbon belongs to Imerys​ Group​, the world’s leading supplier in mineral-based specialties for industry. With €4.6 billion in revenue and approximately 17,000 employees in 2018, Imerys delivers high value-added, functional solutions to a great number of sectors, from processing industries to consumer goods. The Group draws on its understanding of applications, technological knowledge and expertise in material science to deliver solutions based on beneficiation of its mineral resources, synthetic minerals and formulations. These contribute essential properties to customers’ products and their performance, including heat resistance, hardness, conductivity, opacity, durability,

purity, lightness, filtration, absorption and water repellency. Imerys is determined to develop responsibly, in particular by fostering the emergence of environmentally-friendly products and processes.

More comprehensive information about Imerys Graphite & Carbon may be obtained from its website (www.imerys-graphite-and-carbon.com)

Contacts

Sara Eyvindson

Communications Specialist

[email protected]