CCIR

Berkwood has high quality graphite that will be cheap to mine, in one of the best jurisdictions in the world. “The best place to find a mine is in the shadow of headframes,” says Tom Yingling of Berkwood Resources Ltd.

And the shadow that we are in is Mason Graphite Inc, a company which has one of the largest graphite deposit in the world with 56.134mln tonnes of resource at 16.30% graphite that contains 9.478mln tonnes of graphite and a reserve of 4.714mln tonnes of ore that contains 1.317mln tonnes of contained graphite.”

True enough a standout success story in the Canadian market in that it has a premium-quality large-flake deposit at the Lac Guéret project in Quebec, they have advanced the asset through feasibility study and secured a significant chunk of the funding required to build it. Berkwood’s zones are around it and right next door!

The area has very good infrastructure and the First Nations and the various relevant government agencies are on side.

The premise of our whole play is that they didn’t get all the graphite and it goes onto our ground,” says Yingling. And he has plenty of evidence to bring to the table in support of this claim.

First off there is the contiguity itself. Berkwood’s Lac Guéret Extensions project consists of 64 claims with 3464.3 ha., with 12 known graphite outcrops. The geological environment is the same as our neighbours, hence the same stratigraphic units and structures.

To back up its contention that the ground is rich in graphite, Berkwood has undertaken four drill programmes, and thus far identified a NI 43-101 resource of 550,000 tonnes of contained graphite, with 70% to 80% showing up as premium quality large-size flakes that sells for $1,500 a ton on average.

Simple math of 550,000 contained tonnes times US$1500 per tonne a conservative 25% profit margin gives you a potential profit of more than C$200 million as a rough indicator.