Challenges and Ambitions in Northern Graphite's Baie-Comeau Hugues Jacquemin, CEO of Northern Graphite Corporation, and John DeMaio, former CEO of Graphex Technologies LLC, initially announced a non-binding Letter of Intent (LOI) to establish a mine-to-battery supply chain spanning North America and Europe. The collaboration aimed to leverage Northern Graphite's raw material supply capabilities with Graphex Technologies' downstream processing expertise, specifically targeting the production of up to 200,000 tonnes per annum (TPA) of battery anode material at a proposed joint venture facility in Baie-Comeau.
However, complications allegedly arose due to Graphex Technologies being designated a foreign entity under U.S. regulations, particularly impacting its eligibility under the Inflation Reduction Act (IRA) and complicating plans for a Special Purpose Acquisition Company (SPAC) separation in mid-2024. This designation, along with Graphex's contractual ties to the Chinese government, allegedly posed significant challenges for its operations in North America.
Furthermore, by June 2024, John DeMaio stepped down as CEO of Graphex Technologies, coinciding with the closure of Graphex Technologies' website.
These developments allegedly cast doubt on Northern Graphite's ambitious plans for Baie-Comeau to become a leading Battery Anode Material (BAM) facility in North America, particularly given the absence of BAM technology within Northern Graphite's portfolio. Investors and industry observers are left questioning whether Hugues Jacquemin allegedly oversold the project's potential and when clarity regarding Northern Graphite's actual capabilities and intentions will allegedly emerge.