CKR Carbon Commences Underground Exploration at Aukam Graphite Project in Namibia

CKR Carbon Corporation ("CKR" or the "Company") is pleased to announce the start of underground exploration at the past producing Aukam graphite project in Namibia. This next phase of work will focus on delineating resources in support of an application for a mining license in early 2017.

Initial work included the surveying of the underground adits and open pit at the past producing graphite mine. Two adits were surveyed, the lower adit extends into the hillside for a total of 165 metres with two of the largest stopes, each over two metres wide, occurring near the end of the adit (see map at The upper adit, located 27 metres above the lower adit extends into the hillside for 75 metres. Both adits end directly below the open pit, which is located approximately 30 metres above the upper adit and 57 metres above the lower adit. This suggests that graphite veins observed at surface in the open pit, extend 57 metres down dip to the stopes in the lower adit. Recent mapping and sampling of the veins in the lower adit (see News Release dated July 12, 2016) indicate that they continue below the level of the adit suggesting further exploration potential.

CKR is also in the process of making the underground workings as safe as possible prior to undertaking exploration to adhere not only to Namibian safety regulations, but also to best practice in the global mining industry. Loose hangings in the open stopes of both adits have been barred down under the direction of a mining engineer. Larger blocks unable to be manually barred down will be blasted to complete the process of making the adits safe. In preparation for the blasting, blast holes have been prepared in both adits, and the explosive magazine from the historical mining activity is being rehabilitated.

Blasting will begin once explosives arrive on site initially with the remaining bad hangings in the adit, followed by clearing the winze area at the back of the lower adit (this will open access to a lower level), and finally in the open pit to ensure all loose material is down from the stopes. Much of the material that has been barred down and that will be blasted is from graphite veins in the old stopes. This will be sorted and added to the graphitic material stockpiled from our recent bulk sampling program. Recent assays of chip channel samples of vein material from the lower adit resulted in values of 18.34% Cg (carbon as graphite) to 56.06% Cg (see news release dated July 12, 2016).

Once the adits have been made safe, detailed mapping of the exposed graphite veins will be undertaken and results used in planning an underground drilling program. The program will aim to delineate resources down dip of the lower adit to be included in the application for a mining permit.

The technical content of this news release was approved by Roger Moss, Ph.D., P.Geo, a qualified person as defined by National Instrument 43-101.

About the Aukam Project

CKR has, through its wholly owned Namibian subsidiary Micron Investments PTY LTD, an option to acquire 63% of the Aukam graphite project from Next Graphite Inc. by meeting certain milestones and making cash payments. It also has the option to buy an incremental 10% of Next's remaining interest in the License for a cash payment of US$185,000, subject to agreement by Next The project is located on 34,082.15 hectares in southern Namibia close to the port city of Luderitz. The property hosts three underground adits which were mined periodically between 1940 and 1974. Five dumps from the historical mining occur on the property and 73 composite samples taken from the lower three dumps were assayed and averaged 42% Cg. While these composite samples were selected from a much larger screened sample of the dumps, they are not considered representative of the mineralization on the property as a whole.

CKR recently completed a bulk sampling program at Aukam, and has a letter of intent to sell the graphitic material produced during the program. CKR is currently undertaking studies to support an application for a mining license. The company maintains high safety and environmental standards and has a comprehensive strategy of social engagement.


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