Zentek announces updated MRE for Albany Graphite Project

Zentek announced an updated Mineral Resource estimate for the Albany Graphite Project located north of Lake Superior and southwest of James Bay in Northeastern Ontario, which is owned by Zentek’s wholly-owned subsidiary Albany Graphite Corp. AGC engaged SLR Consulting to update the Mineral Resource estimate that was previously disclosed in the Technical Report on The Preliminary Economic Assessment of the Albany Graphite Project, Northern Ontario, Canada prepared for the Company by Roscoe Postle Associates Inc. dated July 9, 2015. An updated Mineral Resource estimate is a requirement for AGC to list on a Canadian exchange. Mineral Resources of graphite are contained within two vertical pipes spaced approximately 250 m apart. The East Pipe is approximately 300 m long in the NW-SE direction by 50 m wide by 600 m deep. A halo of lower grade mineralization occurs around the East Pipe for a collective width of 150 m in the NE-SW direction. The West Pipe is approximately 300 m long in the NE-SW direction by 175 m wide by 500 m deep. Both pipes are cut by 10 m to 60 m thick barren sills located approximately 200 m to 300 m below topographic surface. SLR estimated Mineral Resources for the Albany Graphite Project using drill hole data available as of April 30, 2023. The Mineral Resource estimate is based on a potential combined Open Pit and Underground mining scenario using a price per tonne of purified graphite of US$8,000. The Mineral Resource estimate is based on a potential combined open pit and underground mining scenario, split by the barren sills. SLR estimates Indicated Mineral Resources to total 22.9 million tonnes (“Mt”) at an average grade of 4.1% graphitic carbon, containing 933,000 tonnes of Cg. In addition, Inferred Mineral Resources are estimated to total 13.1 Mt at an average grade of 2.9% Cg, containing 375,000 tonnes of Cg. Inferred Mineral Resources include 3.4 Mt OP resources at an average grade of 2.5% Cg, containing 87,000 tonnes of Cg constrained by a Whittle pit shell, and 9.7 Mt of UG resources below the pit shell at an average grade of 3.0% Cg, containing 288,000 tonnes of Cg. In order to demonstrate Reasonable Prospects of Eventual Economic Extraction, OP Mineral Resources were reported within an optimized Whittle pit shell at a cut-off grade of 1.22% Cg and UG Mineral Resources were reported within underground resource reporting shapes, satisfying the minimum mining size and continuity criteria, and using a cut-off grade of 1.76% Cg.