Focus Graphite Inc V.FMS.WT

Primary Symbol: V.FMS Alternate Symbol(s): FCSMF

Focus Graphite Inc. is a Canada-based advanced exploration company, which is focused on developing high grade flake graphite deposits to supply battery grade graphite. The Company's projects include Lac Knife and Lac Tetepisca. Its flagship Lac Knife Project is a 100% owned, high-grade crystalline flake graphite deposit located in northeastern Quebec, about 27 kilometers (kms) south of Fermont. The Lac Knife project is comprised of the Lac Knife property plus an isolated block of 12 CDC claims located 11 kms to the north of the Lac Knife property on NTS sheet 23B-11 (Montagne-aux-Bouleaux property). Its 100%-owned Lac Tetepisca Graphite Project is located in the Southwest Manicouagan reservoir area of the Cote-Nord region of Quebec, one of North America's leading emerging flake graphite districts. It comprises two contiguous properties, Lac Tetepisca and Lac Tetepisca Nord. Together, the two properties form a block of approximately 126 map-designated claims (total area: 6,785.14 ha).

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Focus Graphite Inc

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Post by Tengrion Oct 14, 2015 12:47pm

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Post# 24190578

Graphene Production Beyond The Hype

Focus Graphite and Grafoid

Focus Graphite (OTCQX:FCSMF) is listed on the TSX and owns 18% of Grafoid. The future of these two companies is deeply intertwined and share Gary Economo as CEO.

Grafoid

Grafoid is a private company and its trademarked product Mesograf is made directly from the high grade ore of Focus Graphite's Lac Knife deposit. The process they use to make this high quality few layer exfoliated graphene is purportedly scalable, does not involve the crushing or treatment of the graphite ore with harsh chemicals.

On February 20, 2015, Grafoid received C$8.1 million dollars from the Government of Canada, through Sustainable Development Technology Canada to help with the development of an automated Mesograf production system.

Grafoid CEO Gary Economo was also quoted in August 2015 as saying that he expected the company to earn C$100 million in revenue by the end of the year.

Focus Graphite

Focus Graphite's main project is its Lac Knife deposit in Quebec. It is one of the highest grade graphite deposits in the world with a mineral reserve of 7.9Mt @ 15% Cg with a proven mineral reserve of 429kt @ 23.61% Cg.

Focus Graphite also owns 7,800,000 shares of Grafoid which it values at $5 dollars a share or $39 million based on the value per share Grafoid acquired Alcereco a testing company. This measures favourably with Focus Graphite's market capitalisation of $10 million.

Figure 2. Feasibility results for Focus Graphite's Lac Knife project . Focus Graphite Presentation.

(click to enlarge)

Negatives for an investment in Focus Graphite.

The price of graphite has decreased since the release of Focus Graphite's feasibility study.
At June 30, 2015 the company had only $367,871 cash at bank with a decrease in cash of $1,658,348 for the 3 months to June 30, 2015.
Declining share price and low market capitalisation $10million.
It does not seem feasible that Focus Graphite could finance the Lac Knife project in its current form.
Lack of revenue despite success of Grafoid.

Positives for an investment in Focus Graphite include.

An offtake agreement has been signed with Grafoid covering over half of anticipated production.
18% stake in Grafoid it has valued at $39 million.

https://seekingalpha.com/article/3550426-graphene-production-beyond-the-hype-electrochemical-exfoliation