(via Thenewswire.ca)
Vancouver, B.C., February 25, 2013 - BIG NORTH GRAPHITE CORP. (TSX-V: NRT) (the "Company" or "Big North"), is pleased to provide additional details on the anticipated commencement of production at its Nuevo San Pedro Mine ("Nuevo San Pedro") located in Sonora, Mexico, at the request of the British Columbia Securities Commission.
As disclosed in the Company's press releases of September 10, 2012, November 20, 2012 and December 3, 2012, the Company acquired a 50% interest in Nuevo San Pedro, a past producing amorphous graphite mine located in the San Jose de Moradillas region, a region that has produced graphite for more than 100 years. The Company has stated that it intends to re-start the Nuevo San Pedro amorphous graphite mine and on December 3, 2012, the Company reported that the first phase of development in preparation for the re-start of Nuevo San Pedro had been completed, including the delivery of heavy equipment and repair and construction of haul ways and existing access roads to the mine site. On February 12, 2013, the Company reported grab samples from Nuevo San Pedro that analyzed 40.23% to 66.98% graphite. These results are from selected grab samples, which may not be representative of the grade of the target graphite zones on the property. Development continues and announcements regarding that work will be reported as completed.
While Big North intends to re-start the Nuevo San Pedro mine, the Company wishes to clarify that the Company has not established mineral resources and has not completed a valid mining study (as defined by NI 43-101) to support its production decision. Historically, a production decision under these circumstances results in much higher economic or technical risk. This is due to geological, mining, engineering, metallurgical engineering, environmental, socio-economic, taxation, political, infrastructure, legal and other issues that may impact such projects. Furthermore, without a pre-feasibility or feasibility study and a graphite reserve, there can be no assurance that operations at Nuevo San Pedro will be profitable.
The re-commissioning of the past producing Nuevo San Pedro Mine without a feasibility study, relies on the technical expertise of the Company's management, board of directors, advisors and consultants. Management's decision to proceed to production without a feasibility study was based on an internal evaluation of the Nuevo San Pedro mine and its potential. As reported in the Company's press release of February 4, 2013, the Company retained Fernando Durazo as site manager at Nuevo San Pedro. Mr. Durazo has more than seventeen years experience working in the graphite mines of Sonora, including at the previously active Nuevo San Pedro Mine.
As per the Company's press release of January 10, 2013, it has retained R. Tim Henneberry, P.Geo. (British Columbia) of Mammoth Geological Ltd. to complete a National Instrument 43-101 compliant technical report on Nuevo San Pedro. It is currently anticipated that the report should be completed in March, 2013.
Erik Ostensoe, P.Geo., a director of Big North, is the Qualified Person as defined in National Instrument 43-101 who has reviewed and approved the technical content of this news release.
For further information please contact Spiro Kletas at (604) 629-8220.
ON BEHALF OF THE BOARD
(signed) "Spiro Kletas"
Spiro Kletas
President and Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Except as required pursuant to applicable securities laws, the Company will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by the Company.
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