DNI discovers graphite mineralization zone at Vohitsara

Mar 9, 2016

DNI METALS IDENTIFIES AN ADDITIONAL MINERALISED ZONE ON ITS VOHISTARA GRAPHITE PROJECT, MADAGASCAR

DNI Metals Inc. has discovered an additional zone of graphite mineralization on the company’s 100-per-cent-owned Vohitsara graphite project in Madagascar.

With only a small portion of DNI’s 43-square-kilometre graphite property explored, substantial future exploration is planned for the property. The potential for additional zones is considered very high.

A 3,000-metre drill program is planned for the main mineralized trend that averages 300 metres width over a strike length of approximately 900 metres. This program is scheduled to begin in the spring of 2016. Compared with the majority of graphite projects in North America, which are generally hosted in hard rock, the weathered saprolitic material characteristic of DNI’s Vohitsara project is comparatively easier to drill and extract.

Outside of China, major graphite-producing countries like Brazil and Madagascar produce from saprolitic ores. The capital and operating expenses for these type of deposits are materially cheaper than for their hard rock counterparts.

DNI’s Vohitsara graphite property is fully permitted as explained in a press release dated July 22, 2015.

Assaying for graphitic carbon was performed at Agat Laboratories located in Ontario, Canada, using a modified infrared assay method. This method is preferable to other industry-accepted assay methods including varying forms of loss-on-ignition testing.

All representative samples were prepared and collected by or under supervision of DNI’s country manager, Steven Goertz. Mr. Goertz is a geologist and is a qualified person under National Instrument 43-101 regulations. Mr. Goertz has approved this press release.