NGC Northern Graphite Corp

Northern Graphite Corporation (TSX VENTURE:NGC)(OTCQB:NGPHF) announces that the
Company intends to update the Preliminary Economic Assessment (the "PEA") for
its 100% owned Bissett Creek graphite project to double the planned production
rate at the outset rather than after three years of operation as originally
contemplated. The current PEA is based on twinning the mill circuits and was
undertaken to show the project's ability to meet future growth in graphite
demand. However, building one large plant is much more efficient and should lead
to lower capital and operating costs. The Company has also been encouraged to
assess the economics of the larger plant by recent developments in the lithium
ion battery industry and by strong interest in the high purity concentrates that
will be produced using Northern's proprietary purification technology.


The PEA already indicates that the Bissett Creek project has very attractive
economics even at or below current depressed graphite price levels. The pre-tax
internal rate of return is 26.3% (22.0% after tax) and the pre-tax net present
value is $231.1 million ($150.0 million after tax) using an 8% discount rate and
a weighted average price of US$1,800/tonne of concentrate.


Gregory Bowes, CEO, commented that: "Bissett Creek is the only true large flake
deposit and the only one with a bankable Feasibility Study (the "FS") and its
major environmental permit. It also has the best infrastructure of any new
graphite project, the lowest capital costs and the highest operating margin."


Capital costs in the current PEA have been estimated at $146.8 million to
produce an average of 42,700 tonnes of graphite annually over the first 10 full
years of operation compared to capital costs of $101.6 million and annual
production of 20,800 tonnes in the FS. Almost 90% of graphite production will be
large and extra large flake and battery grade which is the highest ratio in the
industry. There are also 27.3 million tonnes of measured and indicated resources
and 24 million tonnes of inferred resources that are not part of the PEA mine
plan and the deposit has not yet been closed off by drilling, all of which
indicates that further expansions are possible. P&E Mining Consultants Inc. have
been engaged to complete a new mine plan for the PEA update and WorleyParsons
Canada will estimate the capital and operating costs of the larger mill.


Expandable Graphite

Expandable graphite is used for thermal management in consumer electronics as
well as in gaskets and fluid sealing solutions, fuel cells, redox flow
batteries, and fire retardants and other construction materials. It is one of
the fastest growing market segments along with li ion batteries. Expandable
graphite is made from extra large flake (+50 mesh) graphite which will make up
almost 50% of Bissett Creek production, by far the highest in the industry. The
Company has developed a proprietary purification process which will enable it to
produce and sell high purity expandable graphite at a significant premium.
Representative samples have been provided to a number of potential customers and
substantial interest has been generated.


Graphite Markets and Pricing

After more than tripling from 2005 to 2012, graphite prices have fallen back 50%
or more due to the slowdown in China and a lack of growth in the US, Europe and
Japan. Recently it has been reported that Chinese flake production has fallen
30% as uneconomic and polluting mines are closed. Current prices are at the
marginal cost of production for many producers which should limit further price
declines. The weighted average price that would be realized by Bissett Creek
concentrates in the current market is estimated at US$1,800/t which is the
highest in the industry as almost 90% of production will be large or extra large
flake. Current pricing is approximately $2,100/t for +50 mesh concentrates,
$1,300/t for +80 large mesh, $1,100/t and $900/t for -100 and -150 medium and
small flake respectively, and less than $500/t for -150 mesh fines.


Qualified Person

Mehmet F. Taner, Ph.D., P.Geo., a Consulting Geologist who is independent of the
Company, has reviewed and approved the technical content of this press release.


Northern Graphite Corporation

Northern Graphite Corporation is a Canadian company that has a 100% interest in
the Bissett Creek graphite deposit located in eastern Ontario. Graphite demand
is expected to rapidly increase in the future due to strengthening economies and
the growth in new technologies such as lithium ion batteries, particularly due
to their use in hybrid and all electric vehicles. Northern Graphite is the only
public graphite company with a true large flake deposit, a bankable Feasibility
Study and its major environmental permit and is well positioned to benefit.
Additional information on Northern can be found at www.sedar.com and
www.northerngraphite.com.


Due to market conditions, Northern no longer retains the services of Renmark
Financial Communications Inc. effective May 1, 2014.


This press release contains forward-looking statements, which can be identified
by the use of statements that include words such as "could", "potential",
"believe", "expect", "anticipate", "intend", "plan", "likely", "will" or other
similar words or phrases. These statements are only current predictions and are
subject to known and unknown risks, uncertainties and other factors that may
cause our or our industry's actual results, levels of activity, performance or
achievements to be materially different from those anticipated by the
forward-looking statements. The Company does not intend, and does not assume any
obligation, to update forward-looking statements, whether as a result of new
information, future events or otherwise, unless otherwise required by applicable
securities laws. Readers should not place undue reliance on forward-looking
statements.


Neither TSX Venture Exchange nor its Regulation Services Provider (as that term
is defined in the policies of the TSX Venture Exchange) accepts responsibility
for the adequacy or accuracy of this release.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Northern Graphite Corporation
Gregory Bowes, CEO
(613) 241-9959


Northern Graphite Corporation
Stephen Thompson, CFO
(613) 241-9959

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