Graphite One Fully integrated American Graphite Project

Another North American graphite company announcing their PEA, wanting to joining the spherical graphite race - this one's has what they call "a previously unknown type of graphite"  STAX graphite - Spheroidal, Thin, Aggregate and eXpanded morphology  (have discussed with some posters elsewhere).  Note, the resource estimates are based on indicated and inferred only..........

GRAPHITE ONE ANNOUNCES FULLY INTEGRATED AMERICAN
GRAPHITE PROJECT INAUGURAL PEA AT US$1.037B NPV, AND 27% IRR

January  25,  2017  –  Vancouver,  British  Columbia  –  Graphite  One  Resources  Inc.  (GPH:  TSX‐V;  OTCQX:

GPHOF) (“Graphite One”, “GPH” or the “Company”) is pleased to announce the results of its Preliminary  Economic  Assessment  ("PEA")  for  the  development  of  its  100%‐owned  Graphite  One  manufacturing  project  (the “Project”).

The Project is conceived as a vertically integrated manufacturer of high grade  Coated Spherical Graphite (“CSG”) with mining and processing facilities near Nome, Alaska and advanced  material processing done at a dedicated graphite product manufacturing facility.  Washington State is a potential site for the product manufacturing facility due to its established maritime links with Alaska, the  availability of low‐cost power, developed industrial sites and proximity to markets.  

The PEA was prepared  by  the  independent  engineering  firm,  TRU  Group  Inc.  of  Toronto,  Ontario,  under  Canadian  Securities  Administrators' National Instrument 43‐101 – Standards of Disclosure for Mineral Projects ("NI 43‐101"). The PEA projects a Net Present Value  (“NPV”) for the Project of US$1.037 billion using a 10% discount  rate,  with  an  Internal  Rate  of  Return  (“IRR”)  of  27%. Annual  production  of  CSG  and  other  graphite  specialty materials is  projected at  55,350 metric  tonnes when  full  production is  reached  in Year  6.   A  minimum of 40 years of indicated and inferred resources grading 7% Cg (graphite) have been identified in  the  target  exploitation  zone  to  sustain  full  scale  operations,  notwithstanding  additional  potential  resources immediately outside the target zone or the broader Graphite Creek property

Financial Highlights

 US$1.037 Billion pre‐tax NPV (10% discount)  
 27% pre‐tax Internal Rate of Return
 Consolidated Operating Margin (EBDIT) of 63% on sales
 Payback period of 4 years
 Operating Cost Product: US$1,774 per tonne
 Blended Selling Price of Products: US$ 5,054 per tonne

see link for complete document..........http://www.graphiteoneresources.com/_resources/news/20170125.pdf