Lomiko Hires Exploration Consultants to Explore for High Purity, Large Crystallite Flake Graphite at Quatre Milles Property in Quebec
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 01/31/12 -- Editors Note: There is an infographic associated with this press release.
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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 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.
On Behalf of the Board
A. Paul Gill, Chief Executive Officer
We seek safe harbor.
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Contacts:
Lomiko Metals Inc.
A. Paul Gill
Chief Executive Officer
604-729-5312
info@lomiko.com
www.lomiko.com
