Slow and Steady…and Could Very Well Win the Race.
I spoke with Spiro Kletas, President & CEO of Big North Graphite Corp. (NRT.V)
Q: Spiro, Big North Graphite recently put out a News Release announcing that the Company had test mined 160t of amorphous graphite from the Nuevo San Pedro project. Can you tell me a bit about this?
Spiro: Yes. We started a test mining program, as recommended in the NI 43-101 Technical Report on our Mexican graphite properties. That program was meant to test the active and inactive workings of the Nuevo San Pedro project. We started the program in late May. We are pleased with the progress to date. As the readers will recall, Big North Graphite is working to re-start the past producing project Nuevo San Pedro project. It is one of three small past producing amorphous graphite mines that the Company acquired late in 2012. All are located in Sonora Mexico, in an area that has produced graphite for over 100 years. We have made significant progress to date – in a short amount of time – and we continue to move aggressively towards getting the project up and running again.
Q: Why is this important/significant for NRT?
Spiro: This is very important for Big North as the Company now has a much larger sample of the material from the project that can be sent to prospective buyers as samples. We are working towards the end goal of not only mining, but SELLING and thus creating a successful business for our shareholders.
Q: In my initial comment about NRT in April, I said that the real key to this project and this Company is finding customers/end users. Can you comment on that? Any progress?
Spiro: The Management and Directors of Big North Graphite feel that graphite is a “race to the finish line”, meaning that the companies that can have product available for sale the soonest stand the best chance of long term survival and success. It has always been the goal of Big North Graphite to be one of the first junior graphite companies to capture part of the graphite market for our shareholders. As mentioned in the news release, the Company is actively “reviewing” sales options. We have identified potential long term customers and the bulk samples taken are an important component to sales agreements, as customers want large sample sizes.
Q: In the last several months, the company has had a series of positive news releases. Can you comment on those as well?
Spiro: Yes. The Company has started (and continues) with the assembly of a graphite processing plant and has purchased an 18 acre piece of property for that. The facility will be used for stockpiling, crushing, screening, sizing and drying of the graphite. In the last news release we mentioned that the installation of the initial screening plant has been completed and tested. We can currently screen and size to a 3/4 minus inch product. Further, our previously stated model of buying and reprocessing graphite continues. I think that have made significant progress in a short amount of time.
Q: I would like you to touch on your particular type of graphite again…amorphous graphite.
Spiro: Big North Graphite is pursuing amorphous graphite. It is industrial use and lower priced than its flake “cousin”. That being said, amorphous graphite is the largest segment of the natural graphite market, accounting for over 50% of the graphite consumed annually. Most junior companies are pursuing flake graphite projects, and as a result, Big North Graphite is one of only a few junior companies worldwide, to go after such a large market. The vast majority of amorphous graphite is produced in China and end users welcome other sources. We believe that these factors increase our chances of creating a successful business.
Q: Is there anything else that you want the readers to know?
Spiro: We are working diligently to become one of the first junior graphite companies to not only produce but, more importantly, to make graphite sales. When it comes to graphite, it doesn’t matter what you think you can produce, rather, it matters what you know you can sell. We are working towards closing offtakes/sales. The recent news release is important because we now have the bulk samples that the customers require. I would ask your readers to keep an eye out in the future for Big North Graphite as we believe that we can create a successful graphite business for our shareholders. Thank you.
Thank you Spiro!