DNI Metals Inc. (DMNKF)

[Luke_McCain]

Premium prices being paid for Madagascar graphite

http://www.proactiveinvestors.com.au/companies/news/179383/bass-metals-finds-offtake-partner-for-graphmada-graphite-179383.html

A few things to note:

Possehl Erzkontor GmbH & Co., based in Europe, intends to purchase 3,000 tonnes per annum of graphite concentrates from the company, for a period of three years.

1. Entry into Europe. North American markets will not be the only option for DNI.

2. 3,000 mt/yr will most likely also be sold by DNI (through wholesale/Great Lakes) in the 2018-2020 period.

The material will be sold by Possehl into refractories, foundries and crucibles markets throughout Europe at a premium pricing compared to other market segments such as battery applications.

3. The three segments where one can sell graphite right now for profit. As I have said before, DNI is not going to go "all in" on the battery market. There's plenty of money to be made elsewhere.