NEW YORK, NY and WINDHOEK, NAMIBIA / ACCESSWIRE / July 16, 2014 / Next Graphite, Inc. (OTCQB: GPNE) (“Next Graphite”, or the “Company”), a development stage company in Africa’s Republic of Namibia targeting the growing global graphite production industry and market demand, today announced the Company has successfully negotiated and signed a yearly, renewable land lease to begin exploration and mining throughout Aukam’s Farm 125,000 acre property.
The land lease was singed between Next Graphite, Inc. and Mr. Gerhard de Meyer, a Namibian national and owner of the Aukam Farm property since the properly was first mined for graphite in 1940. The land lease took effect on July 15, 2014 and is renewable on a yearly basis. GPNE successfully negotiated 12-hour operating shifts during each work day during the week and operation on the weekend. The newly negotiated land lease expanded the operations on the property to specifically include all of GPNE’s planned operations. These are; reclamation, mine development, necessary impact assessment, feasibility studies, engineering studies, geological studies, and contamination studies. The land owner has also agreed to provide required access to a well and solar pump for up to 25,000 liters of water use daily to support mining operations.
The agreement between the land owner and the Company included a nominal monthly cash compensation, however the land owner also secured two percent (2%) fee on all future revenue of Next Graphite’s graphite mining on the Aukam Farm territory.
"Our land lease agreement was the final piece of approval needed to fully begin our operations as a licensed mining company in Namibia," Cliff Bream, Next Graphite’s CEO began. "Our negotiations with Mr. de Meyer went very smooth and we were most pleased with his approach to help us keep monthly land lease costs low in favor of potentially greater revenues with his negotiated 2% share of our future cash flows. Mr. de Meyer also understood the need for us to access water on the property for our production and mining operations. This was a critical component of our negotiations due to the importance of water in graphite mining operations," Mr. Bream concluded.
About Next Graphite, Inc.:
Next Graphite, Inc. is a development stage company targeting the growing global graphite production industry with the Company's 125,000-acre Africa-based Aukam Graphite Site. The Aukam Graphite Mine was established in 1940 in the current Republic of Namibia, produced USD$30 million of graphite at today's prices, and is estimated to hold over 4 million tons of natural, high-grade, large-flake, hydrothermal-sourced graphite deposits. Global graphite demand is being driven by the development of new markets for clean and efficient energy alternatives, smart grid infrastructure and military capabilities. Next Graphite has an immediately-available, surface-visible, estimated 140,000-ton stockpile, along with competitive projected mining and processing costs. The completion of GPNE's Aukam Graphite Mine re-launch and development activities is expected to result in a multi-million dollar inward investment into Namibia in 2014-2015.
For more information, please visit: www.nextgraphite.com
Safe Harbor Statement
This press release contains forward-looking statements made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward looking statements are based upon the current plans, estimates and projections of Next Graphite Inc.’s management and are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. Such statements include, among others, those concerning market and industry segment growth and demand and acceptance of new and existing products; any projections of sales, earnings, revenue, margins or other financial items; any statements of the plans, strategies and objectives of management for future operations; any statements regarding future economic conditions or performance; uncertainties related to conducting business in Africa, as well as all assumptions, expectations, predictions, intentions or beliefs about future events. Therefore, you should not place undue reliance on these forward-looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements. Among others, could cause actual results to differ from those set forth in the forward-looking statements: business conditions in Africa, general economic conditions; geopolitical events and regulatory changes, availability of capital, the Company's ability to maintain its competitive position and dependence on key management. This press release does not constitute an offer to sell or the solicitation of an offer to buy any security and shall not constitute an offer, solicitation or sale of any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
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SOURCE: Next Graphite, Inc.