Graphene Leaders Canada Inc. (“GLC”) and Eagle Graphite (TSX VENTURE:EGA) (“Eagle”) are pleased to announce the signing of a non-binding Letter of Intent between the companies. The Letter of Intent is the culmination of a series of successful trials of Eagle’s flake graphite for purposes of producing GLC’s highly advanced graphene formulations.
GLC and Eagle have agreed to immediately commence preparation of a Definitive Supply Agreement, with key aspects reflecting the following objectives:
- The Supply Agreement will span a term of at least five years;
- Eagle shall make all reasonable efforts to ensure an uninterrupted supply of graphite of exceptional quality to meet GLC’s stringent requirements;
- GLC shall purchase graphite exclusively from Eagle, subject to cost and availability of material, for as long as Eagle continues to supply the quantities required meeting GLC specifications;
- The quantity and quality specifications and cost will be established, and subsequently reviewed on an ongoing basis.
Eagle and GLC intend to enter into the Definitive Supply Agreement no later than December 1, 2019.
Eagle Graphite advises that a decision to enter into production would not be based on a feasibility study of minerals reserves demonstrating economic and technical viability. Readers are cautioned that production may not be economically feasible and historically these projects have a much higher risk of economic or technical failure.
Jamie Deith, President & CEO of Eagle Graphite, added, “We are thrilled to see GLC’s commercial success to date, and delighted to be considered as the exclusive supplier of premium quality graphite to GLC. Graphene-related applications hold the potential to positively impact countless aspects of our daily lives, and we take pride in being able to include graphene among the leading-edge applications for which our graphite is suitable.”
Donna Mandau, President & CEO for Graphene Leaders Canada said, “As an international leader in graphene production and application solutions, GLC requires the highest quality graphite for use in its production processes. Eagle Graphite is the premier Western Canadian graphite producer and we are excited to partner with them as our supplier of this essential raw material.”
Upcoming material purchases will be used to support GLC’s numerous coatings projects, including its naval vessel anti-corrosion coating, as well as its GLC+ Protective Coating for Metal Surfaces which is being introduced to the market this fall.