Gratomic Inc. GRAT CBULF CB is pleased to announce that the recent bench-mining program at its Aukam Graphite Mine in Namibia is entering full capacity as road construction on the mountain has been successfully completed. The benching process typically involves successively cutting berms alongside the mountain edge in order to steadily expose underground material, at the same time ensuring the stability of the mountain structure. This process allows for the collection of graphite in stages as the platforms are constructed on the Aukam mountain.
The road construction that includes the ring road connection was completed this week. The road will allow access to three potential platforms that will enhance the exploration program and the bench mining operations. The upper bench for mining operations for graphite extraction is already operational.
The access road is necessary for the exploration and mining teams to access the mineral housed within the Aukam mountain in a safe, efficient, and effective manner. Road construction and early bench-mining were underway simultaneously, however, at lesser amounts of mineral extraction. Completion of the access road paves the way for the exploration and drilling teams to strategically locate and liberate graphite in unison and provides much needed data for the completion of technical reports on the Aukam Graphite Project.
Arno Brand, President & CEO, states, "Achieving this goal is extremely satisfying as this is what we, at Gratomic, have collectively been working towards. The excitement over this milestone is tangible and we are very proud of our team at Aukam and grateful for the continued support of our valued shareholders."
"The corporate culture at Gratomic is unique; we work together to overcome obstacles and celebrate together when milestones are achieved. Our mining team has once again gone above and beyond what we expected. These are inspiring individuals and an inspiring team", says Armando Farhate, COO & Head of Graphite Marketing & Sales.
Gratomic wishes to emphasize that no Preliminary Economic Analysis, Preliminary Feasibility Study or Feasibility Study has been completed to support any level of production. In fact, no mineral resources let alone mineral reserves demonstrating economic viability and technical feasibility, have been delineated on the Aukam property.
The Company is working towards completing a Feasibility Study (FS) on the Aukam Processing plant. The study, its recommendations, and their subsequent implementation, will provide conclusions and recommendation at a FS level of comfort relating to the scale up of the existing processing plant to a commercial scale processing facility capable of producing the desired concentrate grades and production rates.
Gratomic wishes to emphasize that the supply of graphite is conditional on Gratomic being able to bring the Aukam project into a production phase, and for any graphite being produced to meet certain technical and mineralization requirements.
No mineral resources, let alone mineral reserves demonstrating economic viability and technical feasibility, have been delineated on the Aukam Property. The Company is not in a position to demonstrate or disclose any capital and/or operating costs that may be associated with the processing plant until the FS (Feasibility Study) is completed.
The Company advises that it has not based its production decision on even the existence of mineral resources let alone on a Preliminary Feasibility Study or FS of mineral reserves, demonstrating economic and technical viability, and, as a result, there may be an increased uncertainty of achieving any particular level of recovery of minerals or the cost of such recovery, including increased risks associated with developing a commercially mineable deposit.
Historically, such projects have a much higher risk of economic and technical failure. There is no guarantee that production will begin as anticipated or at all or that anticipated production costs will be achieved.
Failure to commence production would have a material adverse impact on the Company's ability to generate revenue and cash flow to fund operations. Failure to achieve the anticipated production costs would have a material adverse impact on the Company's cash flow and future profitability.