SoyuznoyeGraphite Project
Graphite – mineral of a changing worldTraditionalindustriesHi-tech
Polymers
Graphene
Batteries
Fuel Cells
2 out of 12
Metallurgy
Lubricants
Friction
Foundry
Dalgraphite. 2015
Natural graphite market
World production - 1 mln tpa
Flake Amorphous Vein
55% 45% < 0.5%
— high growth;
— can be used in a wide
range of applications
(incl. high-tech).
— used mainly in
traditional industries;
— low growth.
— limited market;
— stable demand.
3 out of 12Dalgraphite. 2015
— non-toxic;
— chemically inert, high resistance to corrosion;
— high thermal and electrical conductivity;
— high thermo-shock resistance, low thermal
expansion/shrinkage;
— ability to store (intercalate) alien molecules and
atoms in-between the carbon layers;
— excellent lubricant;
— high melting point;
— thermal stable above 3000°C (5400°F) in reducing
atmosphere;
50%
13%
7%
7%
5%
4%
14%
Refractory
Recarburiser
Batteries
Lubricants
Friction
products
Other
Foundries
Natural graphite market
4 out of 12
Natural graphite, an allotrope form of carbon, has a broad range of applications due to
its unique properties:
Applications of natural graphite
Dalgraphite. 2015
 Flake and amorphous graphite are used for different applications, non-
overlapping with each other. During 2004-2011, production of flake
graphite grew by 7.5% p.a. (CAGR), amorphous one by -5.2% p.a;
 Due to its unique properties, there is no economic substitute for flake
graphite.
 Flake and synthetic graphite markets do not intersect, except for
some graphite powders and special batteries; usually synthetic and
natural graphite are complementary;
 Synthetic graphite is 2-5 times more expensive than flake one.
 Existing production facilities are quite often out of age;
 Limited supply: from mid 1990ies no new mine (outside China) was
introduced;
 In China, the main graphite producing country, 20% of the mines
were closed due to ecological reasons.
 Stable demand growth in traditional industries;
 Additional growth due to new markets: batteries, solar panels, etc.;
 With additional demand coming from batteries the total market is
expected to double by 2020 – 2 mln tpa.
Natural graphite market outlook
Demand
Supply
No economic substitutes
for flake graphite
Complementary with
synthetic graphite
5 out of 12Dalgraphite. 2015
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Flake, 94-97% C, +80 Mesh, FCL, CIF, Europe
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Flake, 94-97% C, -100 Mesh, FCL, CIF, Europe
The price of graphite
doubled compared to
the minimum of 2004.
Graphite prices
6 out of 12
The price peak in 2011-
2012 was due to high
demand and supply
shortages after the
global crisis in 2008.
Dalgraphite. 2015
– Location – Russia, Jewish Autonomous Region (JAR), settlement Soyuznoye;
– Resources in the license area – 116 mln tons of ore, low strip ratio – 0.5:1;
– Average carbon grade – 12.5%, initial annual production - 40 000 tpa;
– Flake size is sufficient for usage in refractory, batteries;
– Proximity to key markets (Asia and USA) – immediate shipments.
Soyuznoye Flake Graphite Project
7 out of 12
s. Soyuznoye, JAREU
Dalgraphite. 2015
Core Drilling
7 554 meters
Mining
48 440 m3
Sampling
8 581 samples
3D model of the license area
8 out of 12Dalgraphite. 2015
# Project name
Ore
Resources,
mln tons
Grade,
% Cg
Contained
graphite, mln
tons
Location
1 Syrah Resources 1150.0 10.2% 117.30 Mozambique
2 Dalgraphite 116.0 12.5% 14.50 Russia
3 Graphite One 284.7 4.5% 12.81 USA, Alaska
4 Mason Graphite 50.0 15.6% 7.80 Canada
5 Energizer Resources 123.0 6.3% 7.75 Madagascar
6 Triton Minerals 103.0 5.5% 5.69 Mozambique
7 Magnezita 57.0 7.0% 3.99 Brazil
8 Talga Resources 11.9 18.2% 2.17 Sweden
9 Focus Graphite 12.7 14.4% 1.83 Canada
10 Northern Graphite 98.3 1.8% 1.81 Canada
11 Alabama Graphite Corp 65.2 2.7% 1.76 USA, Alabama
12 Kibaran 14.9 10.5% 1.56 Tanzania
13 Flinders Resources 9.9 7.5% 0.74 Sweden
14 Lamboo Resources 9.2 5.1% 0.47 Australia
15 Valence Uley 6.4 7.1% 0.45 Australia
16 Archer Exploration 5.7 7.6% 0.43 Australia
17 Stratmin Global Resources 5.7 4.1% 0.23 Madagascar
Soyuznoye graphite deposit is one of the
richest and the biggest deposits in the world
9 out of 12Dalgraphite. 2015
Project schedule
Construction + Infrastructure
— Geological exploration was finished
— Resources were officially registered
— Enrichment technologies were developed
— Pilot plant tests were accomplished
— Road to production site and a site office were built
— Pre-construction works of open pit and plant were started
10 out of 12
— Tests for deep purification and mechanical transformation are initiated
— Suitability for usage in batteries and other hi-tech applications is currently
being tested
Exploration
Processing R&D
Construction
Dalgraphite. 2015
2011 2012 2013 2014 2015 2016 2017 2019
PROJECT START START OF PRODUCTION
High-tech applications R&D
2018
Technological partners
Strategic partner
Main partners
Enrichment technologies Production of graphite for high-tech applications
11 out of 12
– Uralmekhanobr
– Irgiredmet
– SGS
– MBE Coal & Minerals Technology
– AKW Apparate + Verfahren
– Magnezit Group
– Niigrafit
– Hosokawa Alpine
Dalgraphite. 2015
Contacts:
Vitali Misyutinski , CEO
mvv@dalgraphite.com
info@dalgraphite.com
+7(42-6-22)2-23-40

Soyuznoye Graphite Project

  • 1.
  • 2.
    Graphite – mineralof a changing worldTraditionalindustriesHi-tech Polymers Graphene Batteries Fuel Cells 2 out of 12 Metallurgy Lubricants Friction Foundry Dalgraphite. 2015
  • 3.
    Natural graphite market Worldproduction - 1 mln tpa Flake Amorphous Vein 55% 45% < 0.5% — high growth; — can be used in a wide range of applications (incl. high-tech). — used mainly in traditional industries; — low growth. — limited market; — stable demand. 3 out of 12Dalgraphite. 2015
  • 4.
    — non-toxic; — chemicallyinert, high resistance to corrosion; — high thermal and electrical conductivity; — high thermo-shock resistance, low thermal expansion/shrinkage; — ability to store (intercalate) alien molecules and atoms in-between the carbon layers; — excellent lubricant; — high melting point; — thermal stable above 3000°C (5400°F) in reducing atmosphere; 50% 13% 7% 7% 5% 4% 14% Refractory Recarburiser Batteries Lubricants Friction products Other Foundries Natural graphite market 4 out of 12 Natural graphite, an allotrope form of carbon, has a broad range of applications due to its unique properties: Applications of natural graphite Dalgraphite. 2015
  • 5.
     Flake andamorphous graphite are used for different applications, non- overlapping with each other. During 2004-2011, production of flake graphite grew by 7.5% p.a. (CAGR), amorphous one by -5.2% p.a;  Due to its unique properties, there is no economic substitute for flake graphite.  Flake and synthetic graphite markets do not intersect, except for some graphite powders and special batteries; usually synthetic and natural graphite are complementary;  Synthetic graphite is 2-5 times more expensive than flake one.  Existing production facilities are quite often out of age;  Limited supply: from mid 1990ies no new mine (outside China) was introduced;  In China, the main graphite producing country, 20% of the mines were closed due to ecological reasons.  Stable demand growth in traditional industries;  Additional growth due to new markets: batteries, solar panels, etc.;  With additional demand coming from batteries the total market is expected to double by 2020 – 2 mln tpa. Natural graphite market outlook Demand Supply No economic substitutes for flake graphite Complementary with synthetic graphite 5 out of 12Dalgraphite. 2015
  • 6.
    0 500 1000 1500 2000 2500 3000 09May2014 14Mar2014 10Jan2014 15Nov2013 20Sep2013 26Jul2013 31May2013 05Apr2013 08Feb2013 14Dec2012 12Oct2012 17Aug2012 22Jun2012 27Apr2012 02Mar2012 06Jan2012 04Nov2011 09Sep2011 15Jul2011 20May2011 25Mar2011 28Jan2011 19Nov2010 24Sep2010 30Jul2010 04Jun2010 09Apr2010 12Feb2010 04Dec2009 09Oct2009 14Aug2009 05Jun2009 10Apr2009 17Oct2008 15Feb2008 15Jun2007 20Oct2006 17Feb2006 17Jun2005 15Oct2004 20Feb2004 Flake, 94-97% C,+80 Mesh, FCL, CIF, Europe 0 500 1000 1500 2000 2500 09May2014 14Mar2014 10Jan2014 15Nov2013 20Sep2013 26Jul2013 31May2013 05Apr2013 08Feb2013 14Dec2012 12Oct2012 17Aug2012 22Jun2012 27Apr2012 02Mar2012 06Jan2012 04Nov2011 09Sep2011 15Jul2011 20May2011 25Mar2011 28Jan2011 19Nov2010 24Sep2010 30Jul2010 04Jun2010 09Apr2010 12Feb2010 04Dec2009 09Oct2009 14Aug2009 05Jun2009 10Apr2009 17Oct2008 15Feb2008 15Jun2007 20Oct2006 17Feb2006 17Jun2005 15Oct2004 20Feb2004 Flake, 94-97% C, -100 Mesh, FCL, CIF, Europe The price of graphite doubled compared to the minimum of 2004. Graphite prices 6 out of 12 The price peak in 2011- 2012 was due to high demand and supply shortages after the global crisis in 2008. Dalgraphite. 2015
  • 7.
    – Location –Russia, Jewish Autonomous Region (JAR), settlement Soyuznoye; – Resources in the license area – 116 mln tons of ore, low strip ratio – 0.5:1; – Average carbon grade – 12.5%, initial annual production - 40 000 tpa; – Flake size is sufficient for usage in refractory, batteries; – Proximity to key markets (Asia and USA) – immediate shipments. Soyuznoye Flake Graphite Project 7 out of 12 s. Soyuznoye, JAREU Dalgraphite. 2015
  • 8.
    Core Drilling 7 554meters Mining 48 440 m3 Sampling 8 581 samples 3D model of the license area 8 out of 12Dalgraphite. 2015
  • 9.
    # Project name Ore Resources, mlntons Grade, % Cg Contained graphite, mln tons Location 1 Syrah Resources 1150.0 10.2% 117.30 Mozambique 2 Dalgraphite 116.0 12.5% 14.50 Russia 3 Graphite One 284.7 4.5% 12.81 USA, Alaska 4 Mason Graphite 50.0 15.6% 7.80 Canada 5 Energizer Resources 123.0 6.3% 7.75 Madagascar 6 Triton Minerals 103.0 5.5% 5.69 Mozambique 7 Magnezita 57.0 7.0% 3.99 Brazil 8 Talga Resources 11.9 18.2% 2.17 Sweden 9 Focus Graphite 12.7 14.4% 1.83 Canada 10 Northern Graphite 98.3 1.8% 1.81 Canada 11 Alabama Graphite Corp 65.2 2.7% 1.76 USA, Alabama 12 Kibaran 14.9 10.5% 1.56 Tanzania 13 Flinders Resources 9.9 7.5% 0.74 Sweden 14 Lamboo Resources 9.2 5.1% 0.47 Australia 15 Valence Uley 6.4 7.1% 0.45 Australia 16 Archer Exploration 5.7 7.6% 0.43 Australia 17 Stratmin Global Resources 5.7 4.1% 0.23 Madagascar Soyuznoye graphite deposit is one of the richest and the biggest deposits in the world 9 out of 12Dalgraphite. 2015
  • 10.
    Project schedule Construction +Infrastructure — Geological exploration was finished — Resources were officially registered — Enrichment technologies were developed — Pilot plant tests were accomplished — Road to production site and a site office were built — Pre-construction works of open pit and plant were started 10 out of 12 — Tests for deep purification and mechanical transformation are initiated — Suitability for usage in batteries and other hi-tech applications is currently being tested Exploration Processing R&D Construction Dalgraphite. 2015 2011 2012 2013 2014 2015 2016 2017 2019 PROJECT START START OF PRODUCTION High-tech applications R&D 2018
  • 11.
    Technological partners Strategic partner Mainpartners Enrichment technologies Production of graphite for high-tech applications 11 out of 12 – Uralmekhanobr – Irgiredmet – SGS – MBE Coal & Minerals Technology – AKW Apparate + Verfahren – Magnezit Group – Niigrafit – Hosokawa Alpine Dalgraphite. 2015
  • 12.
    Contacts: Vitali Misyutinski ,CEO mvv@dalgraphite.com info@dalgraphite.com +7(42-6-22)2-23-40