VANCOUVER, June 24, 2015 /CNW/ - Flinders Resources
Limited ("Flinders" or the "Company") (TSXV: FDR) announces the
second stage of its growth strategy to position the Company as a
supplier of choice to the rapidly expanding and game changing
lithium ion battery energy storage market.
Blair Way, President & CEO
states, "As the only western producer of natural flake graphite,
Flinders is uniquely placed to take a leading role in the supply of
high-purity graphite as required by the lithium ion battery
market. With a business model based on production, not just
promise, we are now able to execute Stage 2 and focus on supplying
ultra-high purity graphite concentrate into the plus $10B synthetic graphite market. Previous
testwork lead to permitting in 2001 of a high purity (99.9%)
graphite plant at the Woxna site, giving us cause for optimism in
the commercial applicability of this business model"
In 2001, Boliden Contech, a Swedish technical consultancy,
undertook detailed design of a flow sheet to produce plus 99.9%
ultra-high purity graphite concentrate from Woxna's graphite
concentrate. Subsequent testing of jet-milled Woxna
concentrate by the Department of Materials Chemistry, Ångström
Laboratory, at Uppsala University in
Sweden yielded excellent results
for battery applications and found Woxna flake graphite performed
well as the anode in lithium-ion batteries with high discharge
capacity and packing density. Based on these results, a
high-purity processing plant was subsequently environmentally
permitted in 2001 (the permit has subsequently lapsed), and a
high-purity plant was partially constructed at the Woxna
site. Flinders owns all research and historic economic
studies tied to this high purity project, which allows the Company
to fast track a suitable modern flow sheet towards production of
value-added graphite.
Since this historic high-purity work was conducted at Woxna 14
years ago, global interest in lithium ion batteries, which contain
significantly more graphite than lithium, has increased
dramatically. Battery energy storage from renewable energy is now a
reality, highlighted by the recent launch of Elon Musk's Tesla lithium ion battery as an
energy storage system on both a home and industrial scale, called
Powerwall and Powerpack respectively.
Flinders is currently undertaking additional work to improve the
2001 high purity flow sheet to confirm both technical and economic
applicability. This design refinement is targeting modernisation to
increase economics and reduce environmental impacts. Fresh
concentrate samples have been sent to laboratories for test work to
verify the 2001 design and the Company is in conversation with
various technology providers.
The Qualified Person for Flinders' projects, Mr. D. Blair Way, President, CEO and a director of
the Company and a Fellow of the Australasian Institute of Mining
and Metallurgy, has reviewed and approved the content of this news
release.
On behalf of the Board,
"Blair Way"
Blair
Way, President and CEO
Forward-Looking Information
Certain information in this news release may constitute
forward-looking statements or forward-looking information within
the meaning of applicable securities laws (collectively,
"Forward-Looking Statements"). All statements, other than
statements of historical fact that address activities, events or
developments that the Company believes, expects or anticipates will
or may occur in the future are Forward-Looking Statements.
Forward-Looking Statements are often, but not always, identified by
the use of words such as "seek," "anticipate," "believe," "plan,"
"estimate," "expect," and "intend" and statements that an event or
result "may," "will," "can," "should," "could," or "might" occur or
be achieved and other similar expressions. Forward-Looking
Statements are based upon the opinions and expectations of the
Company based on information currently available to the Company.
Forward-Looking Statements are subject to a number of factors,
risks and uncertainties that may cause the actual results of the
Company to differ materially from those discussed in the
Forward-Looking Statements including, among other things, the
Company has yet to generate a profit from its activities; there can
be no guarantee that the estimates of quantities or qualities of
minerals disclosed in the Company's public record will be
economically recoverable; uncertainties relating to the
availability and costs of financing needed in the future;
competition with other companies within the mining industry; the
success of the Company is largely dependent upon the performance of
its directors and officers and the Company's ability to attract and
train key personnel; changes in world metal markets and equity
markets beyond the Company's control; mineral resources are, in the
large part, estimates and no assurance can be given that the
anticipated tonnages and grades will be achieved or that the
indicated level of recovery will be realized; production rates and
capital and other costs may vary significantly from estimates;
changes in corporate goals and strategies, the Company's
preliminary economic assessment is no longer current or valid and
the Company has no plans to complete a new preliminary economic
assessment, a pre-feasibility or feasibility study on the project,
as a result there is an increased risk of technical and economic
failure for the Woxna graphite project; unexpected geological
conditions; delays in obtaining or failure to obtain necessary
permits and approvals from government authorities; all phases of a
mining business present environmental and safety risks and hazards
and are subject to environmental and safety regulation, and
rehabilitation and restitution costs; the Company does not maintain
insurance against environmental risks; and management of the
Company have experience in mineral exploration but may lack all or
some of the necessary technical training and experience to
successfully develop and operate a mine. Although the Company
believes that the expectations reflected in the Forward-Looking
Statements, and the assumptions on which such Forward-Looking
Statements are made, are reasonable, there can be no assurance that
such expectations will prove to be correct. Readers are cautioned
not to place undue reliance on Forward-Looking Statements, as there
can be no assurance that the plans, intentions or expectations upon
which the Forward-Looking Statements are based will occur.
Forward-Looking Statements herein are made as at the date hereof,
and unless otherwise required by law, the Company does not intend,
or assume any obligation, to update these Forward-Looking
Statements.
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
the accuracy of this news release.
SOURCE Flinders Resources Limited