TORONTO, ONTARIO -- (Marketwire) -- 03/08/13 -- Energizer Resources Inc. (TSX: EGZ)(OTCBB: ENZR)(FRANKFURT: YE5) ("Energizer" or the "Company") is pleased to outline its strategies and timelines for the development of its Molo Graphite deposit in Madagascar.
Energizer released its positive PEA study in late February. In a brief period of time, Energizer has advanced the Molo project, and assembled a team of professionals focused on mine development.
Targeting Accelerated Timeline to Development
In just 15 months from initial discovery, Energizer has delivered the following milestones:
- Graphite discovered in November 2011- NI 43-101 resource delineation completed December 2012- Preliminary economic analysis study (PEA study) released in February 2013
Energizer is now focused on the next series of milestones. These include:
- Commencement of a full Feasibility Study in Q2 2013 - This includes construction of two pilot plants, each at a different accredited lab to; i) Produce the necessary quantity of samples for presentation to potential off take partners ii) Optimize flake size distribution iii) To further upgrade our concentrates from purities between 98% and 98.6% graphitic carbon to battery grade target purity levels of greater than 99%- Full Feasibility Study completion targeted for Q4 2013- Start of mine construction targeted for Q2 2014- Production targeted for Q4 2015
Energizer has assembled and contracted a mine development team with world-class experience and proven expertise necessary to rapidly move the project forward.
- DRA Mineral Projects, an EPCM group located in Johannesburg, are the largest builder of mines in Africa- MINOPEX, a wholly owned subsidiary of DRA, are contract mine operators- Panalpina, the world's largest mining logistics company, has hands on experience in Madagascar as they handled all the logistics for the recently completed $6.5billion Sherritt Ambatovy nickel mine
Energizer is currently engaged in off take discussions with key graphite producers and manufacturers. The Company is also in discussions with leading financial institutions for moving the project from the delivery of a full Feasibility Study, through to construction and production.
Energizer's completion of a PEA Study places it in a very small group of graphite companies.
According to US-based research firm House Mountain Partners, in January 2012 there were 9 junior exploration companies involved in graphite exploration on the TSX, TSX-Venture, ASX and the AIM Exchanges. Today, there are over 82 companies managing 150 graphite projects in 13 countries.
Of those 82 graphite companies;
- 9 have a compliant resource (NI 43-101 or JORC)- 3 have a PEA study (a PEA includes an economic analysis of the potential viability of a third party validated mineral resource, with quantifiable metallurgical results, capital expenditures (CAPEX) and operating expenditures (OPEX))- 1 has a full Feasibility Study- Only 1 graphite company (Energizer Resources) is listed on the Toronto Stock Exchange- No company has an off take agreement