Telix

Telix – Graphite

Ownership: Bendito Resources 100%

Project Overview:

• High quality, large flake graphite previously mined from Telix property
• Low cost, strategically important landholding located adjacent to and surrounding Mexico’s only commercial graphite mine, the El Tejon Graphite Mine and Mill
• Abundant infrastructure is present, providing significant support for exploration and mining operations
• Telix has low on-going holding costs and Bendito is evaluating potential synergies with the El Tejon redevelopment

Telix

The Telix Graphite Project contains 12.6km2 covering gneissic rocks that host significant graphite mineralisation throughout the district. Several historical graphite mines, including Curva 25, Zopilote and Temescal, are hosted within Azure’s concessions.

These deposits are reported to be high quality flake graphite similar to that mined at the adjacent La Cucharita Central deposit, which was the principal source of ore for the El Tejon Graphite Mine and Mill.

There is excellent local infrastructure with good roads including the Pan American Highway, a major railroad, and mains electrical power and water all passing through the project area.

Background

The El Tejon Graphite Mine and Mill were developed and constructed in 1980 by the Mexican Government, with twin process lines providing graphite production capacity of 7,000 tonnes per year. El Tejon produced high quality flake graphite at a ratio of 20% large flake and 80% medium and fine flake from open pit mining, mostly from La Cucharita Central.

While in operation, approximately 80% of El Tejon’s graphite production was sold into the United States market, which is 100% dependent on imported graphite.

After operating for 21 years, the project was closed in 2002 due to low graphite prices and, since then, the mine and processing plant have been on care and maintenance.