Graphite One Resources (GPH.V) announced their maiden resource estimate on their Graphite Creek Project in Alaska.
They easily surpassed our estimate of 75M tonnes we were talking about in our previous blog post, as they outlined a resource estimate of 107M tonnes at an average grade of almost 5.8%Cg based on a cut-off grade of 3% Cg. If we apply a higher cut-off grade of 7% Cg, Graphite Creek contains in excess of 25M tonnes at an average grade of 9.7%Cg.
This resource estimate is much better than expected, and we are looking forward to their future drill campaigns as we now have an official exploration target of up to almost half a billion tonnes.
Graphite One expects to update the market with a PEA in the summer of 2013, and then we will be able to compare their economics to other graphite projects. 2013 should be a very exciting year for Graphite One.
Disclosure: The author holds no position yet. Please see our disclaimer for current positions.
