- Northern Graphite (TSXV:NGC) has resumed processing ore at Lac des Iles mine in Quebec, the only producing graphite mine in North America
- Sales volumes at the mine rose each month in the third quarter, totaling 2,587 metric tons
- The mine was previously placed on care and maintenance during the second and third quarters of 2023 amid challenging markets
- Shares of Northern Graphite are unchanged at C$0.24
Northern Graphite (TSXV:NGC) is back to processing ore at its Lac de Iles mine in Quebec, the only producing graphite mine in North America.
In a news release, the Ottawa-based company stated the mine was previously placed on care and maintenance during the second quarters of 2023 amid challenging markets, as well as lower prices for its products.
During the third quarter, Northern Graphite said sales volumes at the mine were 2,587 metric tons, an increase of 25 per cent compared to the 2,016 tons sold in Q2.
“What we saw starting in the third quarter was that customers were really coming off the sidelines to secure supply for the year after a hiatus in the first half,” Hugues Jacquemin, CEO of Northern Graphite, said in a statement. “With sales volumes up more than 25 percent in the third quarter, together with what we are forecasting into the fourth quarter and next year, we believe there will be continuing strong demand for our product, and we have resumed processing at LDI to make sure we have continuous supply.”
The mine has been supplying to the graphite market for more than three decades, including refractory bricks for steelmaking, heat management for mobile phones and friction and lubrication products for the automobile industry.
The mine and Northern Graphite’s other facilities in Quebec, ss well as its Okanjande mine and facilities in Namibia, are fully permitted.
“As the only producer of graphite in North America, we are in a critical position, more than ever, to service graphite demand from North American battery makers,” Jacquemin added.
The importance of a North American production increased recently when China, the world’s largest producer, announced restrictions on exporting the element that is a key material in electric vehicle batteries.
Northern Graphite will become the third-largest graphite producer outside of China when its Namibian operations come back online.
Shares of Northern Graphite are unchanged at C$0.24.
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