Ceylon Graphite (“Ceylon Graphite”) (TSX-V:CYL) (OTC:CYLYF) (FSE:CCY) announces that Sarcon Development, a wholly owned subsidiary of Ceylon Graphite, has purchased a 2017 HY-2T type Core Drilling Rig from H.H. Drill-Tech Drilling Machinery, a arm’s length party, based in Lianyungang, Jiangsu Province, China. Thirty (30%) percent of the purchase price of the rig was payable on signing of the definitive purchase agreement, and the balance will be paid on delivery. Upon completion of the acquisition, Ceylon Graphite will own two drilling rigs in Sri Lanka.
Ceylon Graphite is expected to take delivery of the rig in late November 2017, with the view of having it operational by early December 2017.
Bharat Parashar, Chief Executive Officer, said:
“We are fortunate to be able to take delivery of the rig as the dry season approaches. This will allow us to make up for time lost during the very heavy monsoons this year.
Sri Lanka has had more than its average rainfall this year and this has slowed drilling, however, we hope to reverse this trend in the coming months. We expect the drilling program will confirm the attractiveness of our grids both in terms of quality and quantity of graphite mineralization.”