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Financial Press: Flake Graphite Project in Quebec a ‘Viable Mining Prospect’ says Lomiko Metals CEO
Paul Gill predicts analysis of new drilling results will send value of enterprise ‘through the roof’
‘A Lot Bigger Than We Anticipated’
Paul Gill Discusses Lomiko’s Quebec Flake Graphite Project
Kevin Michael Grace
November 21, 2012 - Lomiko Metals Inc V.LMR announced November 13 assay results from the final 17 of 23 drillholes completed at its Quatre Milles East Flake Graphite Property in Quebec. Highlights include
2.47% Cgr (carbon in graphite or graphitic carbon) over 42.92 metres
(including 8.02% Cgr over 5.46 metres)
6.23% Cgr over 19.52 metres
2.89% Cgr over 32.53 metres
2.73% Cgr over 41.3 metres
2.83% Cgr over 40.45 metres
(including 10.01% Cgr over 3.45 metres)
3.43% Cgr over 38.15 metres
(including 10.8% Cgr over 4.77 metres)
3.71% Cgr over 39.8 metres
(including 8.81% Cgr over 9.9 metres)
3.71% Cgr over 43.20 metres
Quatre Milles East consists of 1,600 hectares located 175 kilometres northwest of Montreal. In May, Lomiko optioned the Quatre Milles West Property, 2,180 hectares adjacent to Quatre Milles East. In addition to these graphite properties, Lomiko owns the Vines Lake gold property in the Liard Mining District of northwest British Columbia and the Salar de Aguas Caliente Lithium Brine Property in Chile.
Lomiko President/CEO Paul Gill spoke to Kevin Michael Grace November 14 - read the interview here. http://resourceswire.com/2012/11/a-lot-bigger-than-we-anticipated/
TGR: What are your investment themes for non-precious metals equities?
GI: One of our major themes is in what we call "green metals," metals that will benefit from the environmental issues associated with global warming and climate change. An example is the lithium/graphite complex. We fundamentally believe in the green metal theme and have decided that the lithium/graphite complex (Lomiko example) will be a winning technology.
If you believe market penetration for electric vehicles will be in the 3-4% range over the next 5-10 years, graphite prices will have a lot of upside. If you believe in market penetration rates of 10-15%, graphite prices will have to be that much higher in order to bring out the amount of material needed.
June 2012 Power Point Presentation-
http://www.lomiko.com/public/files/others/LOMIKO_(LMR)__Powerpoint-June-2012.pdf
futr
Lomiko CEO Paul Gill on Quebec graphite acquisition
Lomiko Metals Inc TSXV:LMR announced a letter of agreement to acquire a 100% interest in the Quatre Milles West Property in south Quebec. Under the agreement, Lomiko pays three vendors a total of $3,000 and issues 1.8 million shares. The vendors retain a 2% NSR, half of which Lomiko may buy for $1 million.
The 2,180-hectare property covers the western extension of the geology that hosts the graphite-bearing structures shown in historic drilling at the company’s Quatre Milles Property. The combined property now covers two claim blocks, one eight kilometres by seven kilometres, and the other seven kilometres by five kilometres, bringing the expanded Quatre Milles Property from approximately 1,600 hectares to 3,780 hectares.
Read the rest of this interview with Paul Gill on Lomiko's Quebec graphite play. http://resourceclips.com/2012/05/15/lomiko-ceo-paul-gill-on-quebec-graphite-acquisition/
By The Numbers
Lomiko Will Drill to Prove Up a Historic Quebec Graphite Target
By Greg Klein
Will history repeat itself at the Quatre Milles Graphite Property? Lomiko Metals TSXV:LMR CEO Paul Gill evidently thinks so. His company nabbed the 1,600-hectare southwest Quebec property in January, partly because of its infrastructure but largely because of impressive historic results. Now Lomiko‘s about to bring those assays into compliance and, with success, develop a flake-graphite resource by December.
The company’s Phase I drill program intends to prove up historic work by Graphicor Resources, which undertook prospecting, mapping, geophysics and a 26-hole, 1,625-metre program between 1989 and 1991. Non-43-101 highlights include:....
Read about the highlights, and the rest of this article on Lomiko's Quebec graphite play. http://resourceclips.com/2012/05/02/by-the-numbers/
Check out this interview with Lomiko Metals CEO Paul Gill by Venture Capital Radio.
Thanks, I was told this has the signs of a significant zinc deposit. With the Chinese next door, who knows what may happen here? Obviously, we don't know until drilling is completed.
i'm loving it!
hat's off to westeffer.
and it's great to see you here, futr.
Yes Indeed!
futr
Hockmir, theres tons of info on The Graphene & Graphite Research Board, which might help with your DD... http://investorshub.advfn.com/boards/board.aspx?board_id=24137
We have jumped on many of these graphite plays early, thanks to a collaborative effort. Feel free to join us.
Enjoy your day
It will be interesting to see whether Lomiko gets stopped by the resistance around 15 again, or breaks through and climbs.
OK. Lomiko's got my interest (as well as Northern, Focus and a few others). Looks like I'll have to sharpen my graphite pencil, so to speak.
LMRMF daily chart
breakout coming...
http://www.profitspi.com/stock-chart-str.aspx?id=LMRMF&ca=1465679206
LOMIKO RELEASES 43-101 TECHNICAL REPORT ON THE QUATRE MILLES GRAPHITE PROPERTY IN QUEBEC OUTLINING HISTORICAL DRILLING RESULTS
Lomiko Metals Inc. (TSX-V: LMR; OTC: LMRMF; FSE: DH8B, Europe: ISIN: CA54163Q1028, WKN: A0Q9W7)is pleased to announce that its 43-101 compliant report by Consul-Teck Exploration Services regarding the Quatre Milles Flake Graphite Property located in southwestern Quebec has been accepted by the TSX-Venture Exchange and has thus been filed with Sedar (Canadian Securities Administrators).
Lomiko recently optioned the Quatre Milles Graphite Property in Quebec to search for large flake, crystallite graphite which is sought after for use in electric cars, fuel cells, pebble-bed nuclear reactors and to create graphene, a newly discovered, chicken-wire shaped formation of carbon which is one-atom thick and has incredible properties that can make it 200 times stronger than steel, a superconductor at room temperature and heat-resistant. Research scientists world-wide are experimenting with new technology that uses graphene and at least 25 new patents have been filed.
Lomiko’s Quatre Milles Graphite Property
The Quatre Milles Property is road accessible and is located approximately 175 km northwest of Montreal and 17 km due north of the village of Sainte-Veronique, Quebec. The property consists of 28 contiguous claims totaling approximately 1,600 hectares.
The property was originally staked and explored by Graphicor Resources Inc. ("Graphicor") in the summer of 1989 based on the results of a regional helicopter-borne EM survey. The underlying geology consists of intercalated biotite gneiss, biotite feldspar gneiss, marble, quartzite and calc-silicate lithologies of the Central Metasedimentary Belt of the Grenville Province.
Historical Highlights
Graphicor completed reconnaissance mapping and prospecting as well as ground geophysics and a 26 hole diamond drill program totaling 1,625 metres.
The work identified several conductive trends in the central portion of the property and at least three, relatively flat lying graphitic beds.
Three surface samples were collected and analyzed returning results of 14.16% Cgf, 18.06% Cgf and 20.35% Cgf.
23 of the initial 26 drill holes intersected graphite concentrations with graphite concentration in range of 4.69% in hole Q90-1 to a highlight of 8.07% Cgf over 28.60 metres in hole Q90-7.
The highest individual assay was reported in hole Q90-10 reporting 15.48% Cgf over 0.50 metres.
A table of results from the 43-101 indicates:
HOLE NO. FROM
(M) TO
(M) WIDTH
(M) GRADE
(% CGP)
Q90-1 8.94 10.46 1.52 7.33
Q90-2 28.68 30.13 1.45 10.38
Q90-3 16.23 17.84 1.61 4.09
Q90-4 9.4 14.1 4.7 3.95
Q90-5 2 3.9 1.9 2.07
Q90-5 22.13 23.25 1.12 10.52
Q90-6 32.54 41.19 8.65 8.07
Q90-6 43.47 44.05 0.98 3.87
Q90-7 3.94 32.54 28.6 8.07
Q90-8 1.54 2.16 0.62 14.89
Q90-8 5.23 8.05 2.82 7.45
Q90-9 2.05 3.1 1.05 8.47
Q90-9 5.76 6.8 1.04 10.86
Q90-10 2.14 5.54 3.4 8.02
Q90-10 7.03 7.61 0.58 10.59
Q90-10 8.53 9.03 0.5 15.48
Q90-10 9.27 11.24 1.97 12.37
Q90-10 14.16 15.46 1.3 4.26
Q90-11 26.82 34.02 7.2 4.63
Q90-12 0.94 8.53 7.59 8.6
Q90-12 38.16 43.61 5.45 3.79
Q90-13 0.69 10.28 9.59 4.64
Q90-13 40.95 43.14 2.19 3.82
Q90-14 5.56 7.22 1.66 8.12
Q90-15 2.21 5.59 3.38 9.76
Q90-16 NSV
Q90-17 15.48 18.63 3.15 8.11
Q90-17 21.43 23.67 2.24 13.29
Q90-17 36.77 47.97 11.2 5.88
Q90-17 57.15 58.21 1.06 9.53
Q90-17 59.54 69.82 10.28 5.99
Q90-18 10.68 12.9 2.22 8.12
Q90-19 47.8 49.25 1.45 9.16
Q90-19 50.42 58.49 8.07 5.72
Q90-20 13.51 16.98 3.47 5.81
Q90-21 2.8 4.98 2.18 5.56
Q90-22 17.37 20.04 2.67 2.58
Q90-23 NSV
Q90-24 1.78 4.14 2.36 3.77
Q90-24 12.32 13.09 0.77 4.2
Q90-24 16.86 18.66 1.8 4.96
Q90-25 19.69 21.24 1.55 3.67
Q90-25 25.27 26.65 1.38 9.66
Q90-26 NSV
The Company cautions that it has not had the chance to verify the quality and accuracy of the historic sampling and drilling results reported in this news release which predate the introduction of NI 43-101 and cautions readers not to rely upon them. The historic figures were generated from sources believed to be reliable, however, they have not been confirmed. Although the sampling and drilling results are relevant, they have not been verified.
Graphite Market
The price for flake graphite is $ 2000-$3000 per tonne depending on flake size and grade.
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.
Graphite prices have almost tripled since 2005 due to the ongoing industrialization of China, India and other emerging economies and resultant strong demand from traditional steel and automotive markets.
Demand for graphite is expected to rise as electric vehicles and lithium battery technology are adopted, nuclear reactors are built in China, and if fuel cells and graphene patents become products.
China, which produces about 70 per cent of the world's graphite, is seeing production and export growth leveling, and export taxes and a licensing system have been instituted.
Europe and the USA have both indicated graphite is of economic importance and has a supply risk (Critical Raw Materials for the EU, July 2010).
Graphite Facts
Natural graphite comes in several forms: flake, amorphous and lump.
Southwestern Quebec is host to some of the most favorable geological terrain for graphite exploration in Canada and is known to host graphite resources, including the nearby Lac Des Iles mine operated by Timcal.
Graphite 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 20-30 times more graphite by weight needed to produce a lithium-ion battery than there is lithium.
Of the 1.2 million tonnes of graphite produced annually, approximately 40 per cent is of the most desirable flake type.
High-growth, high-value graphite applications require large-flake and high-purity graphite which is the prime exploration and development target at the Quatre Milles Property.
Near-Term Strategy
Lomiko plans to mount an aggressive exploration campaign on the Quatre Milles Graphite Property commencing with a complete compilation of historic geologic work followed by surface mapping, prospecting and follow-up diamond drilling.
Jean-Sebastien Lavallée (OGQ #773), geologist, a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical content of this release.
For more information, review the website at www.lomiko.com, or contact A. Paul Gill at 604-729-5312 or by email at: info@lomiko.com.
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.
futr
March 2, 2012 TSX: V.LMR
LOMIKO METALS INC. ANNOUNCES APPROVAL OF $903,320
PRIVATE PLACEMENT FINANCING
Vancouver, BC. - LOMIKO METALS INC. (“Lomiko” or “the Company) is pleased to announce the closing and approval of its previously announced private placement financing on February 3rd,
2012. The Company was successful in raising $903,320 through the sale of 9,033,200 million units (“Units”) at a price of $0.10 per Unit. Each Unit consists of 1 common share and one
share purchase warrant, each full warrant being exercisable at a price of $0.15 for a period of twelve months from the closing date. The securities have now been issued, having a hold period expiring July 2nd, 2012. The Company shall pay a cash commission of $75,000 in regards to the above financing. The proceeds of the offering will be used for exploration purposes and for general operational
expenses.
Interest in graphite will only last as long as its use continues to grow. So the question is; will it's demand continue to grow? Lithium-vanadium car batteries contain more graphite than lithium or vanadium and as hybrid and even pure electric car production increases, there will be a need for tens of millions and eventually hundreds of millions of lithium-vanaddium (graphite) batteries. in addition to car batteries there will be increasing utility power plant requirements for the huge vanadium-redox batteries which are rated at the megawatt levels, or millions of watts, power output. Those two demands will mean increasing use of graphite for decades to come and this has been at the heart of the new interest in graphite and will fuel continued price increases for graphite stocks for years to come. Which is great, but now it appears that there may be another massive use of graphite, and if so, this could increase the interest in graphite far more than is presently anticipated and ignite an even greater rise in the prices of graphite companies than is presently expected.
Graphite foam could help suck terawatts of power from seawater
http://www.graphiteblog.com/2012/02/graphite-foam-could-help-suck-terawatts-of-power-from-seawater.html
The only eco-friendly source of "base power," that is, power that (unlike solar or wind) is available at a constant rate whenever you need it, is geothermal, and geothermal sources are limited to only a few places in the country. This lack of a reliable non-polluting power source makes green power a hard sell, but the Oak Ridge National Laboratory (ORNL) might have an answer: seawater.
Really, it's not the seawater itself that ORNL is interested in: it's the temperature difference between water up near the surface, and water thousands of feet down. Wherever you've got a temperature difference somewhere, it's theoretically possible to harvest energy from that system, and the bigger the temperature difference the more energy you can extract. One handy place where this would work is out in the ocean, especially in the tropics, where seawater near the surface can be 70 or 80 degrees, and just 30 to 40 degrees a couple thousand feet down.
That 30 or 40 degree difference is enough to boil ammonia, use it to drive a turbine to produce power, and then condense the ammonia again to start all over. There's no fuel necessary, no waste products, and the slightly colder water that's dumped back into the ocean apparently has no effect on the environment. ORNL figures that offshore power stations have the potential to generate between three and five terawatts of power in tropical latitudes, which is more green energy than is produced by the entirety of the United States of America.
The secret to doing this efficiently enough to make it cost effective and worthwhile is a stupendous heat exchanger, and ORNL has come up with a doozy: graphite foam. This stuff has a ton of surface area, and it's a very efficient heat conductor, which is exactly what you need in an exchange system. ORNL estimates that using this stuff could either half the cost or double the efficiency of any heat-based power source, which covers not just these seawater plants, but traditional power plants (coal, nuclear, etc) as well.
If ORNL has its way, a demonstration version of this seawater energy project should be up and running in Hawai sometime this spring.
What's interesting about PRZCF (Greenlight Resources) is that in addition to their excellent Golden Grove graphite property, they have Lithium-Rare Earth Metals properties plus Manganese (another metal with growing uses) and gold and silver properties. All of which diversifies their prospects and lowers the risk of just being in one commodity, plus the prices of all these metals are increasing.
The Great Graphite Rush of 2012
Graphite prices have yet to go critical in 2012 remaining stable since late last year, but the same can’t be said for the mining stocks as Graphite Fever has gripped the mining community. New acquisitions are announced on a weekly basis and share prices of almost all the companies in this sector are taking off. If price action is any indication that there is growing interest in this sector, one only has to look as far as the share prices of the companies in the sector doubling, tripling and quadrupling in 6 weeks. The Graphite theme has started the year with a bang and will continue to gain traction and momentum as all the household names in the sector are moving at a torrid pace and will continue to do so for the next 18 months and most likely continue out on a 5 year cycle.
Opportunities like a rebirth of a sector don’t come around every day and to be in on the ground floor of this BOOM is something special and you should consider yourself lucky for you early adopters. The last sector that saw this type of excitement and share price appreciation was uranium. Although even uranium didn’t get off to the bang that graphite has in the last 6 weeks. One reason for this is that developing a graphite mine, no easy task in itself is so much easier than uranium or even lithium where many companies put a lot of it back in the ground because the real market could not support all the companies with plans to produce. Not so in the Graphite industry that is both 10 times larger than lithium and uranium markets with unprecedented growth expected not seen in either. If the graphite market doubles, that is a factor of 10 to the lithium market doubling or the uranium market doubling. Meaning all things constant, 10 times the mines will be needed when compared to either lithium or uranium. This long neglected sector that hasn’t seen any investment since Ballard in the early 2000’s has a long way to come back. You can’t even really call this mining sector with not one Canadian public company actually mining graphite.
Gentlemen start your engines, pick your favorite stocks or a basket of them and outperform all your friends who still haven’t heard of graphite or the BOOM that is happening in this sector. A year ago 1 in 20 had heard about graphite, now maybe 4 in 20 have heard about. There is still a lot of people to tell this story too. If you got graphite in your portfolio, it is going to outperform anything else this year as it is clear there is need for mines in this sector.
Further evidence is the amount of companies in the sector. Last summer there were 2… now there are at least 14 and counting.
Trading summer of 2011
1. Northern Graphite NGC-V
2. Focus Metals FMS-V
Acquired projects and actively exploring
3. Strike Graphite SRK-V
4. Standard Graphite (formerly Orocan) SGH-V
5. Lomiko Metals LMR-V
6. Solace Resources SOR-V
7. Cedar Mountain CED-V
8. Energizer Resources EGZ-T
9. Soldi Ventures SOV-V
10. GeoMega GMA-V
11. Greenlight Resources GR-V
Companies currently not trading or listed…
12. Mega Graphite (IPO March)
13. Tasex Capital (Flinders) TAX.p-V
14. High North (Canada Graphite) HN.p-V (IPO April)
There are companies that I have missed, but you can’t keep track of them all. NGC and FMS will remain the industry leaders while Standard Graphite, Lomiko, Cedar Mountain, Energizer, Solace and Strike are my early favorites in the next group down which is 2/3 of them. At this point in time it is hard to differentiate one from the other as it is early and all the projects now are similar to each other and are the best of the bunch and on par or close to as companies like Focus and Northern Graphite. People keep asking me which graphite stock is better? They are all good and any one of these companies in this list will be at least 100% high by next year, even the companies that are still not trading.
Lomiko Metals LMR-V
Lomiko has finished correcting and is about to close the financing and start the next leg up. The company has the highest value project of any of the juniors and is still one of the cheapest. This company should have a similar valuation to SRK or SGH and has the inside track to have a FMS/NGC type project. It has by far the most historical work on any project. LMR recently announced they will be completing a 43-101 with the historical work which will give investors a good idea of what Quatre Milles is all about. I would not expect a resource in the 43-101, but the historical work will be used in the resource report once the work is confirmed accurate. This will give LMR a good base to work off and a head start putting a resource together on their property in a cost effective manner. Technically Lomiko looks like it is ready to breakout after hitting a
.13 and consolidating for a two weeks.
Lomiko has tons of news drivers including…
•43-101 report
• Drilling announcement
• Closing of the financing
• Expanding the technical team
On top of the news drivers there are two other important fundamentals… our big insider is almost done selling and is getting more insignificant by the day and PDAC is 10 days away! Technically LMR is primed to break out and run right into PDAC and out the other side. All graphite stocks look like they will continue to run at least until the end of March/April period.
Energizer Resources EGZ-T (ENZR: OTC)
Made a very big discovery in Madagascar at Green Giant. Early indications are that they are on to a very large graphite camp. 118.6m @ 6.24% Cgr in drill core and 106m@ 7.11% in trench sampling show a very large high grading deposit. Energizer also signed a deal with DRA Mineral Projects to develop Green Giant. This is one that will be a mine in the next 3 to 5 years.
Graphene is exciting… but it’s the Lithium-Vanadium (Graphite) Ion Battery that Will drive the demand for graphite for the next 3-5 years.
What makes this even more exciting is graphite demand is clearly tied to peak oil and gasoline prices over the next decade. The drive to alternative energy vehicles is the key link to many of these companies and their hopes to mine or be bought out or secure off take deals. Without this incremental demand coming online the next 2- 5 years… this theme is dead. As gasoline prices continue to edge higher in this age of inflation, consumers will be forced to adopt affordable alternative fuel vehicles and much faster rates than anticipated. Adoption rates are the wild card in the demand equation and choke supply because of not enough of the right type of graphite available.
Graphene will play a more important role in graphite demand from 5 to 15 years from now while getting mines into production to support electric/hybrid vehicle mass production rollout over the next 3 years is the priority. Just from Tesla’s Model X and S they could be selling 30,000 to 40,000 cars per year by 2014 which is a quarter of the total output of Northern Graphite. Hyundai’s hybrids use the li ion battery. Every auto manufacturer is forced with the same choice and is going down the road of electric and hybrid vehicles. If gas prices go to $5 a gallon in the US over the next 18 months, you will see much faster adoption rates than anyone anticipated.
This is just the start of a major bull market in a sector that didn’t exist 18 months ago. At the end of this run 5 years from now some of these stocks will have gone up 1,000% to 10,000%. Some say this is like the beginning of the Uranium boom while others say it is like the Lithium boom. I say it is better than both because this is a sector that needs mines constructed. This is a sector where building a mine isn’t impossible. This is a sector where there is real incremental demand from several angles and is a sector that has no companies and no major mines outside of China. This is a sector where the returns are off the chart for the minimal dollars required and has generated a lot of excitement about chasing pencil lead. The fundamentals in this sector from mine to pencil suggested that the perfect storm is brewing in graphite and the early birds in this sector will get the worms.
Note… early birds and worms are plural.
Out of the 14 companies listed above… half may be mines in ten years. Those are odds that just don’t happen very often in mining. So are these prices rises justified? Every single penny is justified and my gut tells me graphite stocks will be in high demand all year for several years. Themes just don’t come around lie this very often. The last one was Uranium 8 or 9 years ago. There might not be another hot theme like this for another ten years. Don’t hum and haw about graphite and watch these stocks go up. Join the party and make some money!
Christopher Skidmore
Beat the Market Stock Picks
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Added bonuss:
Lomiko Metals LMR-V
Also has the Vine Lake gold-silver property and the Salar de Agus lithium-potash property. So, in addition to its graphite property, it also has lithium, both of which will be used in the batteries to power hybrid and electric cars.
Energizer Resources EGZ-T (ENZR: OTC)
In additon to its graphite, the same property has a massive vanadium deposit, and the new electric car batteries will be Lithium-Vanadium-Graphite batteries. Because DRA Mineral Projects has partnered with them, the company has now gained respectability and the investment community will realize that they will be able to develop and start mining their Green Giant Project.
Greenlight Resources GR-V
Is a multiple resource company and in addition to its graphite project it has Rare Earth properties which include lithium, tantalum and rubidium. Plus it has gold and silver-base metal properties, as well as its Tomahawk manganese property. So in addition to its graphite property, it also has lithium which will be used in the newer Lithium-Vanadium-Graphite car batteries.
Plus, its manganese property could be a real sleeper that could propel the stock higher:
A new and exciting market is opening for manganese that could provide the metal with explosive growth potential, and diversification away from it ties to the steel industry. This market is essential to the future, from high tech consumer goods, to the automotive industry, and energy production. The future for manganese lies in battery technology. With the addition of manganese to the lithium cathode of lithium-ion batteries, energy density and recharge rates are improved dramatically. These factors can lower the cost of production making the economic viability of electric cars and a host of other technologies, a reality.
Chairman William Clay Ford Jr. of Ford Motor Co. predicts 25% of all Ford's future auto production will be electric vehicles by 2020.
One of the first new widespread uses for EMD (electrolytic manganese dioxide) is in the cathodes of lithium-ion batteries for electric vehicles. This technology is already in use by GM's Chevy Volt as well as the Nissan Leaf and is in development by other automotive manufacturers. The Argonne National Laboratory in conjunction with Envia Systems has developed a "high capacity manganese rich cathode" (HCMRC) battery and they claim it holds twice the charge of other lithium-ion type batteries currently in use, can be recharged in a few minutes and is approximately half the weight of other batteries as well as having a lower production cost than other comparable lithium-ion type batteries currently under development. Lithium manganese dioxide batteries (Li-Mn2-O4) (LMD) contain 4% lithium, 61% manganese and 35% oxygen by atomic weight.
Lithiated manganese dioxide (LMD) batteries are already being used by Milwaukee Tools in their electric battery tools sector and this technology application is rapidly growing with many other tool companies.
LMD batteries, besides having a high power output and low production costs, also exhibit high thermal stability and enhanced safety when compared to other lithium-ion batteries. The University of Illinois has recently created an advanced prototype battery using lithiated manganese that can be recharged in as little as two minutes.
On another front, researchers at the College of Science and Engineering at the University of Minnesota have developed an early stage multi-ferroic alloy that converts heat directly into electricity. This consists of a combination of nickel, cobalt, manganese and tin. Professor Richard James, led the research team. He states, "This research is very promising because it represents a new method for energy conversion that has never been done before." They also state in their report that even though this technology is in the early stages of development it could potentially be used to capture waste heat from a vehicles' engine or its exhaust that would produce electricity for charging batteries in hybrid cars. Another possibility includes rejected heat from industrial and power generation plants. This is just one more of the many emerging new scientific discoveries being made concerning manganese.
Another example of constant change and innovation in the manganese sector is the new technology for wind and solar farms grid electrical storage announced this month by researchers at the DOE Pacific Northwest National Laboratory and China's Wuhan University. They have developed a large scale sodium, ion, manganese oxide battery that is more energy efficient and lower cost than lithium due to the size and scale of batteries needed to store large grid scale electricity. This research is still early stage and ongoing.
...................
Lomiko Metals and Greenlight Resources both closed at .13 Friday, while Energizer Resources closed at .29 which is more than twice the price of LMR or GR, but Energizer is closer to becoming a mine.
Even though Lomiko LMR-V closed at .13, the same price as Greenlight, Lomiko has been spiking upward on increasing volume.
Accumulation on the Canadian side.. http://investorshub.advfn.com/boards/board.aspx?board_id=23270
Wonder if we can hear a reply of this session any where? It would be nice if the company would provide a link to replay it on their website.
Lomiko Invites Investors to 'Be In The Room' at The World Outlook Conference to Discuss Graphite
Lomiko Metals Inc. LMR
2/10/2012 7:08:00 AM
Lomiko Invites Investors to 'Be In The Room' at The World Outlook Conference to Discuss Graphite
(via Thenewswire.ca)
Lomiko Metals Inc. (TSX-V: LMR; OTC: LMRMF; FSE: DH8B, Europe: ISIN: CA54163Q1028, WKN: A0Q9W7) (the "Company" or "Lomiko") invites shareholders and investors to the World Outlook Conference which takes place Friday, February 10th and Saturday February 11th at the Westin Bayshore Inn, Vancouver. Hosted by MoneyTalks Radio's Michael Campbell, this year's show will feature speakers such as Jim Dines, Josef Schachter, Martin Murenbeeld, Ozzie Jurock, Mark Liebovit and Ryan Irvine.
Lomiko's recent acquisition of the Quatre Mille Graphite Property has drawn attention from investors curious to find out more about the project and the graphite space.
Lomiko's CEO and a surprise guest will be present at the booth and will be available for investors wanting to learn more about graphite, graphene and why there is so much attention on this new age industrial mineral.
"Being There - the right place, the right time and with the right information is half the battle", stated A. Paul Gill, CEO, Lomiko Metals Inc"Graphite and grahene are getting a lot of attention in the last month".
Although there is a charge for attendance, the conference has discount rates for students. Register at:
http://moneytalks.net/where-to-now.html
Lomiko's Quatre Milles Graphite Property
The Quatre Milles Property is road accessible and is located approximately 175 km northwest of Montreal and 17 km due north of the village of Sainte-Veronique, Quebec. The property consists of 28 contiguous claims totaling approximately 1,600 hectares.
The property was originally staked and explored by Graphicor Resources Inc. ("Graphicor") in the summer of 1989 based on the results of a regional helicopter-borne EM survey. The underlying geology consists of intercalated biotite gneiss, biotite feldspar gneiss, marble, quartzite and calc-silicate lithologies of the Central Metasedimentary Belt of the Grenville Province.
Historical Highlights
Graphicor completed reconnaissance mapping and prospecting as well as ground geophysics and a 26 hole diamond drill program totaling 1,625 metres. The work identified several conductive trends in the central portion of the property and at least three, relatively flat lying graphitic beds. Three surface samples were collected and analyzed returning results of 14.16% Cgf, 18.06% Cgf and 20.35% Cgf. 23 of the initial 26 drill holes intersected graphite concentrations with graphite concentration in range of 4.69% in hole Q90-1 to a highlight of 8.07% Cgf over 28.60 metres in hole Q90-7. The highest individual assay was reported in hole Q90-10 reporting 15.48% Cgf over 0.50 metres.
The Company cautions that it has not had the chance to verify the quality and accuracy of the historic sampling and drilling results reported in this news release which predate the introduction of NI 43-101 and cautions readers not to rely upon them. The historic figures were generated from sources believed to be reliable, however, they have not been confirmed. Although the sampling and drilling results are relevant, they have not been verified.
Graphicor geologists commented that the results of the initial drill program were extremely encouraging and recommended additional detailed drilling to properly understand and evaluate the potential of the property.
Graphite Market
-The price for flake graphite is $ 2000-$3000 per tonne depending on flake size and grade.
-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.
-Graphite prices have almost tripled since 2005 due to the ongoing industrialization of China, India and other emerging economies and resultant strong demand from traditional steel and automotive markets.
-Demand for graphite is expected to rise as electric vehicles and lithium battery technology are adopted.
-China, which produces about 70 per cent of the world's graphite, is seeing production and export growth leveling, and export taxes and a licensing system have been instituted.
-Europe and the USA have both indicated graphite is of economic importance and has a supply risk (Critical Raw Materials for the EU, July 2010).
Graphite Facts
-Natural graphite comes in several forms: flake, amorphous and lump.
-Southwestern Quebec is host to some of the most favorable geological terrain for graphite exploration in Canada and is known to host graphite resources, including the nearby Lac Des Iles mine operated by Timcal.
-Graphite 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 20-30 times more graphite by weight needed to produce a lithium-ion battery than there is lithium.
-Of the 1.2 million tonnes of graphite produced annually, approximately 40 per cent is of the most desirable flake type.
-High-growth, high-value graphite applications require large-flake and high-purity graphite which is the prime exploration and development target at the Quatre Milles Property.
Near-Term Strategy
Lomiko plans to mount an aggressive exploration campaign on the Quatre Milles Graphite Property commencing with a complete compilation of historic geologic work followed by surface mapping, prospecting and follow-up diamond drilling.
Jean-Sebastien Lavallee (OGQ #773), geologist, a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical content of this release.
For more information, review the website at www.lomiko.com, or contact A. Paul Gill at 604-729-5312 or by email at: info@lomiko.com.
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.
Copyright (c) 2012 Thenewswire.ca - All rights reserved.
TheNewsWire
February 10, 2012 - 7:08 AM EST
Lomiko Invites Investors to the World Outlook Conference to discuss Graphite, Gold and other Investment Strategies from top speakers
Lomiko Metals Inc. LMR
2/2/2012 10:49:00 AM
Lomiko Invites Investors to the World Outlook Conference to discuss Graphite, Gold and other Investment Strategies from top speakers
(via Thenewswire.ca)
Lomiko Metals Inc. (TSX-V: LMR; OTC: LMRMF; FSE: DH8B, Europe: ISIN: CA54163Q1028, WKN: A0Q9W7) (the "Company" or "Lomiko") invites speakers to the World Outlook Conference which takes place Friday, February 10th and Saturday February 11th at the Westin Bayshore Inn, Vancouver. Hosted by MoneyTalks Radio'S Michael Campbell, this year's show will feature speakers such as Jim Dines, Josef Schachter, Martin Murenbeeld, Ozzie Jurock, Mark Liebovit and Ryan Irvine.
Lomiko's recent purchase of the Quatre Mille Graphite Property has drawn attention from investors curious to find out more about graphite.
Lomiko's CEO and a surprise guest will be present at the booth and will be available for investors wanting to learn more about graphite, graphene and why there is so much attention on this new age industrial mineral.
"I have been attending the World Outlook Conference since 2004 and find it to be the single most useful event for investors to develop a strategy for the year," stated A. Paul Gill, CEO, Lomiko Metals Inc.
Although there is a charge for attendance, the conference has discount rates for students. Register at:
http://moneytalks.net/where-to-now.html
Lomiko's Quatre Milles Graphite Property
The Quatre Milles Property is road accessible and is located approximately 175 km northwest of Montreal and 17 km due north of the village of Sainte-Veronique, Quebec. The property consists of 28 contiguous claims totaling approximately 1,600 hectares.
The property was originally staked and explored by Graphicor Resources Inc. ("Graphicor") in the summer of 1989 based on the results of a regional helicopter-borne EM survey. The underlying geology consists of intercalated biotite gneiss, biotite feldspar gneiss, marble, quartzite and calc-silicate lithologies of the Central Metasedimentary Belt of the Grenville Province.
Historical Highlights
Graphicor completed reconnaissance mapping and prospecting as well as ground geophysics and a 26 hole diamond drill program totaling 1,625 metres. The work identified several conductive trends in the central portion of the property and at least three, relatively flat lying graphitic beds. Three surface samples were collected and analyzed returning results of 14.16% Cgf, 18.06% Cgf and 20.35% Cgf. 23 of the initial 26 drill holes intersected graphite concentrations with graphite concentration in range of 4.69% in hole Q90-1 to a highlight of 8.07% Cgf over 28.60 metres in hole Q90-7. The highest individual assay was reported in hole Q90-10 reporting 15.48% Cgf over 0.50 metres.
The Company cautions that it has not had the chance to verify the quality and accuracy of the historic sampling and drilling results reported in this news release which predate the introduction of NI 43-101 and cautions readers not to rely upon them. The historic figures were generated from sources believed to be reliable, however, they have not been confirmed. Although the sampling and drilling results are relevant, they have not been verified.
Graphicor geologists commented that the results of the initial drill program were extremely encouraging and recommended additional detailed drilling to properly understand and evaluate the potential of the property.
Graphite Market
-The price for flake graphite is $ 2000-$3000 per tonne depending on flake size and grade.
-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.
-Graphite prices have almost tripled since 2005 due to the ongoing industrialization of China, India and other emerging economies and resultant strong demand from traditional steel and automotive markets.
-Demand for graphite is expected to rise as electric vehicles and lithium battery technology are adopted.
-China, which produces about 70 per cent of the world's graphite, is seeing production and export growth leveling, and export taxes and a licensing system have been instituted.
-Europe and the USA have both indicated graphite is of economic importance and has a supply risk (Critical Raw Materials for the EU, July 2010).
Graphite Facts
-Natural graphite comes in several forms: flake, amorphous and lump.
-Southwestern Quebec is host to some of the most favorable geological terrain for graphite exploration in Canada and is known to host graphite resources, including the nearby Lac Des Iles mine operated by Timcal.
-Graphite 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 20-30 times more graphite by weight need to produce a lithium-ion battery than there is lithium.
-Of the 1.2 million tonnes of graphite produced annually, approximately 40 per cent is of the most desirable flake type.
-High-growth, high-value graphite applications require large-flake and high-purity graphite which is the prime exploration and development target at the Quatre Milles Property.
Near-Term Strategy
Lomiko plans to mount an aggressive exploration campaign on the Quatre Milles Graphite Property commencing with a complete compilation of historic geologic work followed by surface mapping, prospecting and follow-up diamond drilling.
Jean-Sebastien Lavallee (OGQ #773), geologist, a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical content of this release.
For more information, review the website at www.lomiko.com, or contact A. Paul Gill at 604-729-5312 or by email at: info@lomiko.com.
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.
Copyright (c) 2012 Thenewswire.ca - All rights reserved.
TheNewsWire
February 2, 2012 - 10:49 AM EST
NEWS.. Lomiko To Raise $ 700,000 Lomiko To Raise $ 700,000
Lomiko Metals Inc. LMR
2/3/2012 7:34:00 PM
Lomiko To Raise $ 700,000 Lomiko To Raise $ 700,000
(via Thenewswire.ca)
Lomiko Metals Inc. (TSX-V: LMR; OTC: LMRMF; FSE: DH8B, Europe: ISIN: CA54163Q1028, WKN: A0Q9W7) (the "Company" or "Lomiko") announces a private placement to raise up to $700,000 from eligible participants through the sale of up to 7,000,000 units of the Company at a price of $0.10 per unit. The units will consist of one common share and one warrant exercisable for one year at $0.15.
The Company has agreed to pay a cash finder's fee of 10%. The net proceeds of the financing will be used for exploration of the Quatre Milles Property in Quebec and for general working capital. Any shares issued will be subject to a four month hold period.
The above financing is subject to Exchange approval.
For more information, review the website at www.lomiko.com, or contact A. Paul Gill at 604-729-5312 or by email at: info@lomiko.com.
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.
Copyright (c) 2012 Thenewswire.ca - All rights reserved.
TheNewsWire
February 3, 2012 - 7:34 PM EST
You are not thinking wrong at all
I think this company has some good prospects....
Nice news here..Canadian side (TSX) has a lot more volume - http://investorshub.advfn.com/boards/board.aspx?board_id=23270
Lomiko Hires Exploration Consultants to Explore for High Purity, Large Crystallite Flake Graphite at Quatre Milles Property in Quebec
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 31, 2012) -
Editors Note: There is an infographic associated with this press release.
Click here to view the infographic version of this release , or visit: http://bit.ly/x8O2JP
Lomiko Metals Inc. (TSX VENTURE:LMR)(PINKSHEETS:LMRMF)(FRANKFURT:DH8B) (Europe: ISIN: CA54163Q1028, WKN: A0Q9W7) (the "Company" or "Lomiko") is pleased to announce that it has engaged Consul-Teck Mineral Exploration Consultants Inc. ("Consul-Teck") to explore the Quatre Milles Graphite Property located in southwestern Quebec.
Combining three generations of experience in the exploration field primarily in Quebec, Consul-Teck performs a wide range of mineral exploration and geotechnical services. From complete turn-key to customized solutions, Consul-Teck has accumulated hands-on knowledge of the mineral exploration process. Consul-Teck services include pre-fieldwork consulting for analysis, compilation and historical data management of existing sites or for planning an exploration campaign.
"Lomiko's strategy is to engage Quebec exploration expertise on the ground that allows for a quick start to exploration on the Quatre Milles property," stated A. Paul Gill, CEO, Lomiko Metals Inc., "Pin-pointing previous drill targets and optimizing the exploration budget is a priority."
Quatre Milles Graphite Property
The Quatre Milles Property is road accessible and is located approximately 175 km northwest of Montreal and 17 km due north of the village of Sainte-Veronique, Quebec. The property consists of 28 contiguous claims totaling approximately 1,600 hectares.
The property was originally staked and explored by Graphicor Resources Inc. ("Graphicor") in the summer of 1989 based on the results of a regional helicopter-borne EM survey. The underlying geology consists of intercalated biotite gneiss, biotite feldspar gneiss, marble, quartzite and calc-silicate lithologies of the Central Metasedimentary Belt of the Grenville Province.
Historical Highlights
Graphicor completed reconnaissance mapping and prospecting as well as ground geophysics and a 26 hole diamond drill program totaling 1,625 metres. The work identified several conductive trends in the central portion of the property and at least three, relatively flat lying graphitic beds. Three surface samples were collected and analyzed returning results of 14.16% Cgf, 18.06% Cgf and 20.35% Cgf. 23 of the initial 26 drill holes intersected graphite concentrations with graphite concentration in range of 4.69% in hole Q90-1 to a highlight of 8.07% Cgf over 28.60 metres in hole Q90-7. The highest individual assay was reported in hole Q90-10 reporting 15.48% Cgf over 0.50 metres.
The Company cautions that it has not had the chance to verify the quality and accuracy of the historic sampling and drilling results reported in this news release which predate the introduction of NI 43-101 and cautions readers not to rely upon them. The historic figures were generated from sources believed to be reliable, however, they have not been confirmed. Although the sampling and drilling results are relevant, they have not been verified.
Graphicor geologists commented that the results of the initial drill program were extremely encouraging and recommended additional detailed drilling to properly understand and evaluate the potential of the property.
Graphite Market
The price for flake graphite is $ 2000-$3000 per tonne depending on flake size and grade.
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.
Graphite prices have almost tripled since 2005 due to the ongoing industrialization of China, India and other emerging economies and resultant strong demand from traditional steel and automotive markets.
Demand for graphite is expected to rise as electric vehicles and lithium battery technology are adopted.
China, which produces about 70 per cent of the world's graphite, is seeing production and export growth leveling, and export taxes and a licensing system have been instituted.
Europe and the USA have both indicated graphite is of economic importance and has a supply risk (Critical Raw Materials for the EU, July 2010).
Graphite Facts
Natural graphite comes in several forms: flake, amorphous and lump.
Southwestern Quebec is host to some of the most favorable geological terrain for graphite exploration in Canada and is known to host graphite resources, including the nearby Lac Des Iles mine operated by Timcal.
Graphite 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 20-30 times more graphite by weight needed to produce a lithium-ion battery than there is lithium.
Of the 1.2 million tonnes of graphite produced annually, approximately 40 per cent is of the most desirable flake type.
High-growth, high-value graphite applications require large-flake and high-purity graphite which is the prime exploration and development target at the Quatre Milles Property.
Near-Term Strategy
Lomiko plans to mount an aggressive exploration campaign on the Quatre Milles Graphite Property commencing with a complete compilation of historic geologic work followed by surface mapping, prospecting and follow-up diamond drilling.
Jean-Sebastien Lavallée (OGQ #773), geologist, a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical content of this release.
For more information, review the website at www.lomiko.com.
On Behalf of the Board
A. Paul Gill, Chief Executive Officer
We seek safe harbor.
To view the infographic associated with this press release, please visit the following link: http://media3.marketwire.com/docs/LMR3101_quatremille.jpg.
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.
Graphite: A Diamond In The Rough For Investors?
http://www.techmetalsresearch.com/2011/01/graphite-a-diamond-in-the-rough-for-investors/
Great wrietup whatis..., we will probably be buying some of this one too on a dip.
Looks like one to buy and put away for a few years.
Lomiko’s Quatre Milles...
...a Billion Dollar ‘STUD’
Lomiko Metals LMR-V $0.075
Shares Out... 55M
Fully Diluted... 61M
FD Market Cap... $4.6M
http://www.beatthemarketstockpicks.com/2012/01/lomikos-quatre-milles.html
Winner, Winner, Chicken Dinner
Lomiko Metals LMR-V recently announced they acquired the Quatre Milles Graphite Project in southwestern Quebec, which is a large flake graphite deposit in a producing graphite region that includes Canada’s largest graphite mine, Lac des Iles. It is the most advanced graphite project of the recent new entrants with 26 historic drill holes totaling 1,625 meters in 3 near surface interconnected flat lying graphite beds. Early indications are that this project compares favorably to the industry leaders, Focus Metals’ FMS-V Lac Knife and Northern Graphite’s NGC-V Bisset Creek. This makes Lomiko Metals LMR-V a very exciting growth story acquiring an advanced graphite project with mineralization and grade that suggest Quatre Milles will be a very profitable mining operation. Lomiko has an aggressive strategy to explore and develop this advanced graphite project establishing a resource on the property and evaluating the production potential of Quatre Milles. This acquisition may be a carbon copy story to Focus Metals, who of went from a $0.05 low in late 2010 to $1.80 high in early 2011 on the back of the high value historical graphite resource at Lac Knife in Quebec that is planned for production in 2014.
Quatre Milles was discovered by Graphicor in 1989 by a regional airborne survey and subsequently drilled the following year with very good results that warranted further exploration. It was discovered at a time when the Chinese were flooding the market with excess supply which put Quatre Milles on the shelf with other graphite projects such as Bisset Creek, at full feasibility in 1989. Quatre Milles has a project highlight drill result of 28.6 meters at 8.07% graphite (Cg). Most holes averaged at least 4% graphite indicating Quatre Milles has a minimum grade twice that of Northern Graphite including a wide, high grade core that is quadruple the grade of Bisset Creek. 3 confirmed graphitic lenses on the property give potential for Lomiko to add up the tonnage quickly, especially with long thick intersections mentioned above. Quatre Milles has great metrics; the deposit is near surface, has been defined over an area of 300 meters by 400 meters and is open for expansion. More importantly Quarter Milles is large flake mineralization which is the right type of mineralization for Lithium Ion batteries and commands a premium ti the rest if the graphite market. Historical drilling indicates the potential to define a much greater resource than the ~10Mt zone defined. Quatre Milles is wide open for expansion in every direction, and as mentioned above, was a very large target being picked up on a regional airborne survey.
When you have the combination of grade, tonnage, and in the case of graphite, right type of mineralization; you are going to have a winner every time and that is what Lomiko may have with Quatre Milles. It’s in the right district near Canada’s only major producer, it was an exciting discovery in 1989/90 by Graphicor, and has a lot of high value work in the property making Quatre Milles a low risk and extremely undervalued high impact graphite project similar to Lac Knife. It also has the potential to be fast tracked to production, is drill ready and the company has indicated drilling could start as early as February if permits are received in time. Lomiko will be the first of the new entrants to be drilling and has the largest and highest grading historical deposit to boot. Lomiko should be a $20M market cap company on its way to developing a high margin mine, not the $4M it is currently valued at.
Quarte Milles is a STUD!
Quatre Milles... Cream of the early ‘Graphite’ Crop
Lac des Iles, Bisset Creek, and Quatre Milles were subject to exploration and development last time graphite went through a boom in the late 80's. While Bisset Creek (in full feasibility) was put on the shelf due to low grade and not being able to withstand the Chinese flood of graphite; Lac des Iles was put in production in 1989 and has been a producing ever since. This gives early indication that Quatre Milles possessing a much higher grade than Bisset Creek has the potential to be a low cost producer similar to Lac des Iles with a good combination of grade and potential tonnage. If Quatre Milles was at the stage Bisset Creek or Lac des Iles were when the graphite prices caved, there is argument that Quatre Milles could have survived the Chinese flood like Lac des Iles.
Lomiko’s Quatre Milles is by far and away the premium advanced stage project available.
At $0.08 the risk reward ratio is stacked heavily in you favor that the value will be unlocked rather quickly as Lomiko has an aggressive growth strategy to develop Quatre Milles and unlock shareholder value.
What I cannot stress enough is Lomiko Metals LMR-V has acquired a STUD that is worthy of being taken to the Kentucky Derby, the Preakness, and Belmont Stakes!!!
It is the most advanced project of the new entrants with all indications that this project has the right metrics for eventual production. The area has excellent infrastructure, supports mining, and is in a region known to produce high purity flake graphite. The project is drill ready and Lomiko has indicated that if permits are received in time, they will be drilling in February. Did you hear me?
Potentially drilling as early as February!!!
Lomiko Metals has the most advanced project, is the first to be drilling and is still the cheapest of the new graphite companies entering into the sector evaluating potential graphite projects. This project has future mine stamped all over it with very little exploration dollars required to bring it up to snuff. There is no reason that Lomiko is not on its way to a $0.50 share price this summer developing a high margin project similar to Lac Knife. The project will require 2,500m – 3,500m drilling to confirm and expand the known mineralized areas and put an initial resource on the project. Less than a million dollars of initial drilling gets Quatre Milles enough information for an initial resource!!! A scoping study or PEA to follow will give early indications of the project metrics where the decision to advance this high value project towards production is made in less than a year. With Quatre Milles being a great combination of tonnage and grade, the production decision is already obvious if LMR defines at minimum 10Mt.
1. It’s in a historic producing graphite region
2. Similar geology to economical deposits – high purity large flake deposit
3. Close to existing infrastructure
4. Drill ready – February target – (permit and weather dependent)
5. Quebec exploration friendly - tax credits - expedited bureaucracy
6. Low risk / Value Added / High NPV / HIGH IRR
7. Fast-Track project 2015
Quatre Milles is the best of the new entrants and compares favorably to both NGC and FMS. The market will wake up very soon to this high quality project whose metrics are some of the best in the industry. With 1,625 meters of drilling results in the database to work off, there is lots of value and limited drilling and exploration is required to put a resource estimate on the property and bring it to a production decision. Lomiko has 41% inside ownership including long-term holders Byron and Pinetree Capital. Lomiko will attract favorable financings because the project is considered low risk with high margin potential and is not capital intensive. With a clear plan and strategy, it should not be hard for Lomiko to raise $5M to $10M needed to develop Quatre Milles over the next 18 months and still be well under 100M fully diluted when it comes to financing mine construction. When Focus Metals came to the market with Lac Knife in 2010 at between $0.05 and $0.10 the company has successfully increased their share price 10 fold and raised well over $30M in financings and warrants for Lac knife.
FMS raised the majority for the money for Lac Knife at $1…
10 TIMES THE PRICE OF THE $0.10 ACQUISTION!!!
Now that is how you add value!
Lomiko has a high margin project similar to Lac Knife that could put investors on track for similar type returns.
Investments of $5M to $10M at strategic stages and you have a company that is worth $50M to $100M in a year! LMR will need $80M to $100M to build a 2,500tpd - 3,000tpd mine, but a well demonstrated project to the market will command a premium and attract favorable top tier financings like Focus Metals did. Lomiko needs minimal dollars to develop and can position themselves on the racetrack for favorable financings at much higher prices.
A GREAT PLAN FOR SUCCESS… JUST LIKE LAC KNIFE
Don’t believe financiers will pay top tier money for Quatre Milles?
PAYBACK IN LESS THAN A YEAR!!!
High grading projects like Lac Knife or Quatre Milles have the potential to payback in less than a year meaning that these projects can be heavily financed through debt as the production date gets closer. An option that is limited on lower margin projects like Bisset Creek unless graphite prices continue to rise.
Potential High Value NPV/LOW CAP-EX projects
There is no other sector that currently offers such lucrative returns for mines that require minimal capex to build and where cash flows promise to consistently exceed $100M every year. A project like Focus Metals Lac Knife will require a $60M to $80M to build and return close to $171M a year at current large and medium flake graphite prices ($2,500/t). Lac Knife’s resource will support a 1,000 – 1,500tpd mill producing 50,000 to 75,000 tonnes of large and medium flake graphite per year. A 1,500tpd mine producing at a 15.5% grade and selling at an average price of $2,000 per tonne has a Net Present Value of $1.1B over a 15 year mine life. That value grows to $1.5B using $2,500 prices for premium medium flake product. Focus plans on a small scale production sometime in 2013 and will enter full-scale production in early 2014. Focus Metals also has patents involved in producing graphite into a specialty product called Graphene.
Graphene is another potential market that could see huge demand over the next several decades. Graphene is a revolutionary material that is projected to replace a wide variety of technologies including silicon in computer chips. There is not much industrial demand as of yet, but Focus is working closely with several large fortune 500 companies developing Graphene for their R & D departments.
With FMS sitting at a $90M market cap fully diluted, Lac Knife is extremely undervalued for a high margin producer who is 18 to 24 months away from production and trading at less than conservative cash flow estimates. Most companies trade 4 to 5 times cash flow meaning Focus has the potential to increase in value from the current $90M fully diluted to $400M to $800M inferring a share price of $3 - $6 a share over the next 2 to 3 years.
Even Northern Graphite’s project looks viable a current market prices…
A 5,000tpd mill netting a premium of $3,000 per tonne vs. Lac Knife $2,000 per tonne gives Bisset Creek $30M in estimated cash flow per year and a NPV of $200M over a 20 year mine life. Bisset Creek is a high cost producer, but produces mostly +80 mesh high purity flake graphite suitable for lithium ion batteries. NGC will always achieve the highest sales price per tonne in the industry vs. its competitors. Northern Graphite is hoping that building a 5,000tpd mill vs. the original 2,500tpd mill will achieve economies of scale and decrease production costs significantly. Nevertheless, Northern Graphite is a near term producer that has leverage to high flake graphite prices for which prices could still increase substantially. It is not my favorite graphite company as NGC is inflexible to lower graphite prices.
Quatre Milles could be another high margin producer….
Historical information at Quatre Milles suggests a minimum 10Mt deposit grading between 4%-8%. Majority of this mineralization will be large and medium flake. Quatre Milles has excellent potential to be expanded even further with the deposit being a very large target and wide open in all directions. Current metrics indicate potential for a 3,000tpd mine over 10 years. If Quatre Milles can define 10Mt to 20Mt and build a 3,000tpd mine for a $100M capex and realize a selling price that is in the range of FMS and NGC… the numbers start to look very impressive. At a $2,500 combined large and medium flake selling price, Quatre Milles stands to net $100M per year in cash flow and is worth in excess of $600M NPV discounted at 6% over a 10 year mine.
If Lomiko can prove a 20Mt resource at Quatre Milles, a 20 year mine discounted @ 6% has an estimated NPV of $1B!!!
Quatre Milles is a…
A BILLION DOLLAR STUD!!!
A comparison of the 2 advanced graphite projects and Quatre Milles.
These stats are for comparison reasons only and are not indicative of a projects economics or even production at each site.
Bisset Creek @ 2%
Lac Knife @ 15.5%
Quatre Milles @ 6%
Mill Rate
5,000tpd
1,500tpd
3,000tpd
Est. Capex*
$120M
$64M
$100M
Large Flake %
80% large flake
25% large + medium
large + medium
Est. Sales/tonne
$3,000
$2,000
$2,500
Op Costs
$40
$42
$44
Recoveries
95%
95%
95%
Total Graphite Production
33,250
77,306 tonnes
59,850 tonnes
Est. Annual Cash Flow
$30M
$131M
$102M
NPV @ 6%
10 year
15 year
20 year
10 year
15 year
20 year
10 year
15 year
20 year
$93M
$159M
$208M
$852M
$1.1B
$1.4B
$613M
$839M
$1B
Payback
4 years
6 months
~1 year
Market Cap
$40M
$70M
$4M
Pre-production Target Market Cap***
>$100M
>$300M
>$200M
Production target date
2013
2014
2015
Obviously this is a crude model and would not pass feasibility tests, but it is a good model to analyze the industry leading projects, the tonnage, grade, scalability, value and potential cash flow at different realized prices. This analysis should help investors evaluate the early mining potential of a project. It also clearly highlights the potential of Lomiko’s Quatre Milles large flake graphite project. When estimating sales price, Northern Graphite’s product will command a higher price per ton because their product is 80% large flake while Focus Metals Lac Knife is around 25% large flake and a large portion of the remaining in the medium flake category. Focus is awaiting results of a scoping study, so until Lac Knife’s production can be categorized more accurately, I have used a conservative $2,000/tonne price compared to Northern Graphite’s $3,000/tonne. $2,500 is used for Lomiko assuming Quatre Milles tonnage will have greater large and medium flake percentages than Lac Knife.
Current prices as of January 10th 2012…
Large Flake +80 (94% to 97%C).... $2,500 to $3,000
Medium Flake +100 (94%-97%C)... $2,200 to $2,500
Medium Flake +100 (90%C)…. $1,500 to $2,000
Medium Flake +100 (85%-87%C)... $1,500 to $2,000
Amorphous powder 80%-85%C… $600 to $800
Quatre Milles Longevity and Price Sensitivity
Grade is what sets Quatre Milles apart in the same graphite trend that spawned Bisset Creek, Lac des Iles and Ontario Graphite’s Kearny Mine. It is certainly they most important factor in determining if you are a low cost producer. Quatre Milles has the right combination of grade, large flake content and tonnage to achieve some of the highest margins in the industry. If Lomiko’s Quatre Milles can achieve a 50% - 80% large and medium flake distribution, Quatre Milles production could command a premium at market similar to Bisset Creek AND be a low cost producer at a fraction of Bisset Creek. Potential costs at Quatre Milles could be as low as $700 or $800 per tonne at a 6% grade. If Quatre Milles does meet conceptual targets of a 10Mt – 20Mt resource of 4% to 8% Cg, it is by far and away the better mining operation. Quatre Milles has price sensitivity to well under $1,000/tonne while Northern Graphite will have a hard time staying in business if graphite prices drop much below $2000/tonne. It will take graphite prices of less than $700/tonne to make Quatre Milles unprofitable.
I got news for you…
$700 large flake graphite is something that just isn’t going to happen!!!
At a $4M market cap vs. $40M market cap and minimal dollars required to develop this high impact project, the choice for investors should be obvious.
Quatre Milles is the superior project when compared to NGC’s Bisset Creek
Quatre Milles vs. Bisset Creek
Quatre Milles
Bisset Creek
Historic drilling
26 historic holes
162 historic holes
Current drilling
2,500 to 5,000 meters drilling
50 holes – 3,000 meters
Grade
4% - 8%
1% - 3%
Mining method
Open Pit
Open Pit
Costs
$40 - $50/tonne
$44/tonne
Average Ore Value @ $2000/t & $3000/t
@ 4% = $80/tonne
@4% = $120/tonne
@ 2% = $40/tonne
@ 2% = $60
Max Ore A Value @ $2000/t & $3000/t
@ 8% = $160/tonne
@8% = $240/tonne
@ 3% = $60/tonne
@3% = $90
Tonnage
10-20Mt (conceptual)
50Mt – 80Mt (depends on cut-off)
Resource target
1Mt to 1.5Mt Cg (target)
1.3Mt
Resource Quality
Large Flake +80 mesh
Large Flake +80 mesh
Financing status
Needs $1M to start development
Fully Financed
Market Capitalization
$4M
$40M
Production target
2015
2013
High Graphite Prices Are Here to Stay
Contrary to some people’s expectations. High graphite prices are here to stay and may push higher in 2012. The main reason that graphite prices will remain high is that there is low substitutability in the products, there is strong growth in the sector, and there is declining supply globally until 2013 when the first of the projects come online. All of this is happening in a market where the Chinese are restricting international sales. On top of strong growth forecasts with impending supply / demand constraints; there is looming incremental demand that is a ‘when’, not an ‘if’ it hits the market. Industries from technological driven areas will continue to pay premium prices for premium large flake products and could afford to pay even more. Tesla uses 100kg of graphite in its Roadster at a price of $250 to $300. Is Tesla going to stop using graphite in its vehicles if it has to pay double for large flake graphite prices if they hit $5000/tonne? No. The car is $125k!!! Even in a $30k to $40k vehicle that uses half the graphite, a $100 increase in the price of the materials will not make a big difference in an auto manufacturer’s profitability analysis. This is not like rare earths where prices for simple rare earths increased 25 to 50 fold and forced manufacturers to consider alternatives and even re-engineering products without the metals.
Any decrease in prices will see supply fall off
At current prices, the larger tonnage mines like Northern Graphite are on the precipice as far as profitability goes. If prices drop much below current levels, we will see supply destruction from low grade producers such as Bisset Creek and Kearney in Ontario milling 2% C. With only marginal production coming online in the next couple of years, these companies cannot afford to sell into a market priced any lower.
Prices could spike in further in 2012 due to Chinese restrictions and limited supply as the Chinese continue to leverage critical commodities for technology in 2012. Prices may trickle back to around current levels in 2014/2015 once projects like Bisset Creek (2013), Lac Knife (2014) and the Kearney Mine (late 2012) can come online, but with incremental demand coming to the sector from many angles (Graphene, li- ion batteries, fuel cells, pebble bed reactors) over the next 10 to 20 years; expect the graphite market to be extremely tight over the next decade. Prices have remained stable for graphite over the past 6 months despite price destruction in every other commodity indicating that this market is extremely tight and is far from a top. When the Chinese return to growth in 2012, I would assume that graphite prices will start to rise by mid-year.
Canada’s planned Graphite Mines insufficient to meet demand
The planned mines in Canada will not make up for increasing demand for current applications which is projected to increase at a steady rate of 5% a year. Even if Kearny, Deep Bay West, Bisset Creek, Lac Knife and Quatre Milles go into production as scheduled, there will still be a 100,000 tonne deficit in the market. That is the equivalent of 2 Lac Knifes or Quatre Milles. If demand for lithium ion batteries takes off around 2015, the supply demand deficit could shift dramatically without more meaningful graphite production.
Year
2012
2013
2014
2015
2016
Growth at 5%
1.1Mt
1.16Mt
1.21Mt
1.27Mt
1.34Mt
Incremental demand
55,000t
57,750t
60,500t
63,500t
66,700t
Potential Supply
20,000t Kearney Mine
33,000t
Bisset Creek
15,000t
Deep Bay West
60,000t
Lac Knife
60,000t
Quatre Milles
Deficit/surplus
-30,000t
-39,750t
-40,250t
-43,900t
-110,600t
Graphite prices will not go lower as Ontario Graphite and Northern Graphite cannot afford to sell their product for any less than $3,000 per tonne, if they doing... 53,000 tonnes of graphite supply will disappear from the market. Lac Knife has the potential to undercut the market, but again if projections for this sector are accurate, Lac Knife won’t be undercutting anybody and will be selling into a market starved for supply.
Still leaving a large hole in the supply demand equation!!!
Obviously this does not account for planned production internationally, but the trend over the next couple years is declining production, not expansion meaning that if Canada jumps to the plate first, they could hit a homerun in the industry establishing themselves as a major supplier of graphite. Canada makes sense with high value historical deposits that are located ideally next to the auto hub in North America where GM, Ford and Chrysler produce a majority of their cars. The companies that go into production first will have the advantage of potentially supplying a major center responsible for a large portion of global auto sales.
There are a couple of larger graphite projects that could take up the slack after 2017. These projects are at very early exploration stage and will require lengthy construction lead times of least 5 – 7 years and require extensive capital. The mines to production first will win the big off-take agreements, will attract the top-tier financing and resist late entrants to the game. Not all graphite projects are the same because of flake size distribution, purity and grade... but if they are comparable, the ones that are producing first and delivering a product will have the advantage over a company trying to build a mine even 3 or 4 years from now.
Lomiko’s Quatre Milles – On a trajectory similar to FMS-V
At only a $4M market cap, Lomiko provides exposure to one of the best historical graphite projects available on the market. It provides the greatest leverage in the sector offering both EXTREME VALUE and a HIGH GROWTH opportunity. It is a large flake graphite project whose product will command premium market prices, it has the grade to be a sustainable mine with price sensitivity, and it has the tonnage to offer scalability and longevity. The deposit has been defined over a wide area and open in all directions offering great chance for material expansion. It is a project that can be fast-tracked to production, is in an area that is mining friendly and has excellent infrastructure and a rich mining history.
What is there not to like about this early stage future large flake graphite mine?
There is no better early stage investment on the market when it comes to creating real value from the ground up. This is a project that requires minimal dollars and offers huge returns. Quatre Milles is a project that has similar high margin potential to Lac Knife and has a great chance of being advanced towards a mine. With only 61M shares fully diluted, Lomiko is well positioned to add major shareholder value over the next year developing Quatre Milles into the next fast track graphite mine.
LMR has focus, a clear path to success and a large flake graphite project with early projections that immediately make it the top large flake project outside of Lac Knife in Canada.
Investing highlights...
Exciting Graphite Discovery!
· High Purity Large Flake Graphite (Battery grade)
· Large target multiple graphite zones – deposit wide open
· Advanced - drill tested - low risk exploration
· 28.6 meters grading 8.07% graphite
· Holes average 4% - 8% with peak value of 15%
· 1Mt resource potential
Located in the top mining region in the world
· Quebec (exploration tax credits)
· Located near Canada's largest operating graphite mine
· Potential mining synergies
· Fast-track potential – drilling as early as Feb.
Great Value – Even Better Value Creation!!
· LMR currently undervalued at $0.075 and $4M market cap
· $10M acquisition value
· Potential >$100M market cap graphite miner
Graphite… A metal entering criticality
· Graphite forecasts increasing demand from ~1Mt to ~2.5Mt over the next 10 year cycle
· Several graphite mines needed to meet upcoming demand 10 – 20 (depending on size)
· Current prices expected to increase further due to Chinese restrictions, little substitution and no new supply
Great Economics!!!
· High degree of price sensitivity @ 6%
· HIGH NPV / HIGH IRR / LOW CAP-EX
· Potential to fast–track to production (3 years)
Lomiko Signs Agreement for Property in Quebec to Explore for Lithium-Ion Battery Grade, High Purity, Large Crystallite Flake Graphite
LMRMF next FCSMF
Watch LMRMF explode... this is postively the next FCSMF. FCSMF went from $0.05 to $1.80... the sky is the limit for Lomiko!!!
Lomiko CEO Paul Gill on Quebec graphite property option agreement
Lomiko Metals Inc TSXV:LMR announced an agreement to acquire a 100% interest in the Quatre Milles Graphite Property in southwest Quebec. Under the agreement Lomiko will make the following payments and share issues to Zimtu Capital Corp TSXV:ZC and one of its prospecting partners: $25,000 on signing, one million shares on TSXV acceptance of the agreement, $25,000 and 500,000 shares six months later, one million shares six months after that and 1.5 million shares one year later. Within a year of TSXV acceptance, Lomiko will complete $200,000 of exploration on the property. The vendors will retain a 2% NSR on the property, of which 1% can be purchased for $1 million.
Lomiko CEO Paul Gill tells ResourceClips.com, “It’s not an entirely new direction for our company because we’ve already been in the sector for minerals used in lithium-ion batteries, and this is just a new angle to that industry. So we’re looking for new opportunities. We’re also looking at vanadium, cobalt and rare earths. The valuation on this particular project, the location and the ability to move it forward quickly were there, and that’s what shareholders and directors are looking for.
Read the rest of this article. http://resourceclips.com/2012/01/09/lomiko-ceo-paul-gill-on-graphite-property-option-agreement/
10 cents coming soon
This one will rock soon. Graphite sector very hot now
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