DNI Metals Inc. (DMNKF)

[Luke_McCain]

Article: How to Win in the Graphite Space

If you’re looking at a graphite company, frankly the only thing that’s going to matter to you is production cost. That’s the only thing that should matter to you. Any company in this space that’s going to succeed is going to have to be able to produce at a cost that makes them entirely competitive with the Chinese.

http://dnimetals.com/the-saprolite-advantage/

The only way they’re going to be able to do it is two factors, really. It’s type of deposit and the old adage of location, location, location. So, producing in a very remote location, even with a deposit that’s really high-quality but in hard rock is probably a lost cause. What we’re going to be looking for are fairly high-grade deposits, hosted in friable rock or in sediments, in clays, so that the mining required is very inexpensive, the processing is available, and hopefully this deposit is also close to the coast or close to highways so it can be transported out relatively simply and relatively inexpensively.

Samples of strong graphitic carbon head-grade results (3% to 13.14% Cgr) from 4 trenches covering a strike length of 700 metres, averaging 300 to 400 meters in width, at Vohistara, yielded the following results:

Flake Distribution, Description, and Size

29.5% Jumbo +50 Mesh / +297 Microns
25.3% Jumbo +30 Mesh / +595 Microns
16.9% Small -140 Mesh / -105 Microns
12.6% Large +70 Mesh / +210 Microns
9.9% Medium +100 Mesh / +149 Microns
5.8% Small +140 Mesh / +105 Microns

Located in east central Madagascar, the property straddles the paved, National Highway. Toamasina is Fifty kilometres down the highway from the property, and is the major, deep water port, handling 90% of Madagascar’s container traffic and 80% of all trade traffic.

http://investingnews.com/daily/resource-investing/critical-metals-investing/graphite-investing/graphite-market-update-jon-hykawy/?nameplate_category=Daily