/ CORRECTION - USA Graphite, Inc.
LAS VEGAS, NV -- (Marketwire) -- 01/15/13 -- In the news release,
"USA Graphite, Inc. Acquires the Ruby Mountains Graphite Property"
issued yesterday by USA Graphite, Inc. (OTCQB: USGT), we are advised
by the company that the headline should read "USA Graphite, Inc. Is
Set to Acquire the Ruby Mountains Graphite Property" rather than as
originally published. The acquisition of Ruby Mountains Graphite
Property has not yet been completed. The full corrected text follows.
USA Graphite, Inc. Is Set to Acquire the Ruby Mountains Graphite
LAS VEGAS, NV -- January 14, 2013 -- USA Graphite, Inc. (OTCQB: USGT)
(or "the Company") is pleased to announce it has signed a letter of
intent to acquire the Ruby Mountains Graphite Property.
The Ruby Mountains Graphite Property has been identified by the
Company as a high priority area for flake graphite. The claim block
covers a large graphitic marble unit with flake graphite visible at
The financial terms of the transaction consist of approximately
$3,200,000 in cash and stock and a $500,000 work program commitment.
A production Net Smelter Royalty (the "NSR") will be retained by the
vendor equal to two percent (2%) of the net smelter returns, as per
the terms and conditions of the Letter of Intent. The Company shall
have a one-time right to purchase fifty percent (50%) of the NSR in
the Property for five hundred thousand dollars ($500,000).
The Ruby Mountains Graphite Property is located approximately 25
miles southeast of Elko, Nevada. It's accessible via the Great Basin
Highway (Highway 93) which intersects Interstate 80 via Lamoille
Canyon Road. Excellent access to infrastructure, such as paved
highways, electricity and clean water, are all readily available. The
Property covers approximately 785 acres over a Cordilleran
metamorphic core complex. This area of high-grade metamorphism has
both graphitic marble and graphitic gneiss.
The Ruby Mountains and adjoining East Humboldt Range form a North
American Cordilleran metamorphic core complex called the Lamoille
Quadrangle. In brief, the core complex in the quadrangle exposes
Neoproterozoic and lower Paleozoic miogeoclinal strata that were
thrust-faulted, deeply buried, metamorphosed, recumbently folded, and
intruded pervasively by Cretaceous to Oligocene granitoids. Cenozoic
unroofing accompanied footwall rise below an inclined
down-to-the-west extensional fault system. That fault system
imprinted a ductilely sheared mylonitic carapace on the now-exposed
deep footwall in Oligocene and Miocene time, and has continued into
Holocene time to move as a gently dipping near-surface brittle fault.
Mr. Wayne Y. Yamamoto, President and CEO of USA Graphite, said, "We
are very excited to include the Ruby Mountains Graphite Project
amongst our core group of world class Nevada graphite properties. The
quality of rock visible on-site exceeded our expectations and the
proximity to our other core projects is complementary and economic."
-- Graphite is used in refractories -- used to line high-temperature
equipment; pencils; lithium-ion batteries -- used in consumer
electronics and electric vehicles, including the Nissan Leaf, Tesla
Model S and others; fuel cells; and Pebble Bed nuclear reactors. It is
used in foundries, lubricants and brake linings.
-- Graphite is also used to produce graphene, a tightly packed single
layer of carbon atoms that can be used to make inexpensive solar
panels, powerful transistors, and even a wafer-thin tablet that could
be the next-generation iPad* or iPod*.
-- Graphene, extremely light and strong, has been called the world's next
-- The closure of graphite mines in China, which produces 75% of the
world's graphite, has resulted in a fall in global graphite production
to 1.3 million tonnes per annum in 2011. Like rare earths, China is
restricting the export of graphite to protect its own domestic
industries. The second largest producer is India, followed by Brazil,
North Korea, Austria and Canada.
*trademarks of Apple Inc.
About USA Graphite:
USA Graphite is a publicly traded US
exploration company focused on the acquisition, exploration and
development of world-class graphite properties in North America. USA
Graphite intends to become a domestic (US) graphite supplier. The
USGS has reported that the USA has been a 100% net importer of
graphite over the last 5 years, sending billions of dollars out of
America. USA Graphite has holdings in Nevada, offering considerable
potential for the discovery and development of large flake,
high-grade graphite, whereby mineralization is exposed at surface and
clearly evident at economic depths. For additional information please
"Safe Harbor" Statement:
Under The Private Securities Litigation
Reform Act of 1995: The statements in the press release that relate
to the Company's expectations with regard to the future impact on the
Company's results from new products in development are
forward-looking statements, within the meaning of the Private
Securities Litigation Reform Act of 1995. Notice Regarding Forward
Looking Statements -This press release includes forward-looking
statements that involve a number of risks and uncertainties,
including the success of the programs it is commercializing and
developing. Further, the risks involve the ability of the Company to
raise capital to fund its operations and the capital requirements for
the development and marketing of its products. Investors are
encouraged to review the risk factors listed or described from time
to time in the Company's filings (10K, 10Q's, S-1 and others) with
the Securities and Exchange Commission.
USA Graphite, Inc.
Toll Free 1(888)603-3330
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