Northern Graphite Reports Positive Pilot Plant Test Results

Northern Graphite Corporation (TSX VENTURE:NGC)(OTCQX:NGPHF) is pleased to
announce positive pilot plant test results from its Bissett Creek Graphite
Project. The pilot plant has confirmed the technical viability and operating
performance of the Company's process plant design for the production of high
purity, large flake graphite. Furthermore, results indicate that 50% of the
graphite concentrate produced will be jumbo size, +48 mesh flake with a very
high carbon content averaging 97.7% graphitic carbon ("Cg"). This is an
exceptional product that will attract a premium price. The pilot plant test was
designed, built and operated by SGS Minerals Services ("SGS") in Lakefield,
Ontario.


SGS processed a 130 tonne bulk sample of graphitic material from the Bissett
Creek deposit in the pilot plant and produced five final products which showed
consistent flake size distribution and an overall carbon grade averaging 95% Cg.
A 94% Cg concentrate with a flake size distribution of 80% greater than +80 mesh
is the industry standard premium product and current prices are $2,500 to $3,000
per tonne. Almost all Bissett Creek production will meet this specification as
the final concentrates averaged almost 80%, +80 mesh at 96.7% Cg. Significantly,
50% of the graphite concentrate produced was jumbo size, +48 mesh flake
averaging 97.7% Cg. 


Pilot plant recoveries ranged from 90.5% to 94.4 at concentrate grades of 94.5%
Cg or greater. The Company is confident of achieving recoveries of 94 to 95% in
the full scale plant for the following reasons: 




--  operation of a pilot plant does not allow enough time to optimize the
    process with respect to balancing grinding, retention time and reagents;
--  due to its small scale, the pilot plant used mechanical cells for
    rougher flotation. The full plant will use column flotation which is
    more efficient for the recovery of coarse graphite flotation products; 
--  the bulk sample showed some signs of surface oxidation that affected
    recovery. This will not be a factor in the full scale mining operation. 
--  a coarser final flake concentrate is also expected as a rod mill was
    used for primary grinding in laboratory and pilot plant testing whereas
    the full scale plant will utilize a SAG Mill which is the best method of
    grinding to preserve flake size.



"The pilot plant results have confirmed that the Bissett Creek deposit will
produce entirely large flake, high carbon concentrates from flotation alone,
without chemical or thermal treatment" said Gregory Bowes, Chief Executive
Officer. "As a result, we believe that Bissett Creek concentrates will have the
highest average value per tonne in the industry and that this will also result
in the highest margin in the industry. We will have the option of selling them
into current high value markets, or using them to produce spherical graphite for
Li ion batteries if it is financially advantageous to do so. Based on our review
of publicly available information, it appears that over 50% of the production
from most other graphite deposits will be very fine, -150 mesh lower carbon
material, and it is generally not suitable for Li ion batteries or other high
growth markets."


The pilot plant also confirmed results from the extensive historical testing,
bulk sampling and pilot plant work that was carried out in the past and has
validated the performance of the new flow sheet that will form the basis for the
bankable FS which is nearing completion. Due to a backlog at SGS Lakefield, the
pilot plant was two months late in starting and as a result the FS is now
expected to be completed before the end of the first quarter of 2012. The Mine
Closure Plan is expected to be completed and filed in the next 45 days. Upon
approval, the Company will be in a position to initiate construction subject to
positive results from the FS and the availability of financing. 


Don Baxter, P.Eng, President of the Company and a "Qualified Person" under
43-101, is responsible for and has reviewed and approved the technical content
of this press release. 


About SGS Metallurgical Services (Lakefield) 

SGS Metallurgical Services is recognized as the world leader in the development
of bankable flowsheets and pilot plant programs. SGS Metallurgical Services was
founded over half a century ago. Its metallurgists, hydrometallurgists and
chemical engineers are experienced in all the major physical and chemical
separation processes utilized in the recovery of metals and minerals contained
in orebodies around the world.


About Northern Graphite Corporation 

Northern Graphite Corporation is a Canadian company that has a 100% interest in
the Bissett Creek graphite project, located 17kms from the Trans Canada highway
between Ottawa and North Bay, Ontario. 


Graphite prices have increased substantially due to the ongoing modernization of
China and other emerging economies which has resulted in strong demand from
traditional steel and automotive markets. In addition, new applications such as
lithium ion batteries, fuel cells, vanadium redox batteries and nuclear and
solar power have the potential to create significant incremental demand growth.
It takes 20 to 30 times as much graphite as lithium to make a Li ion battery and
their use in the growing EV/HEV market is expected to require significant
increases in graphite production. However, graphite production and exports from
China, which produces 70% of the world's supply, are expected to decline and an
export tax and a licensing system have been instituted. Both the European Union
and the United States have declared graphite a supply critical mineral.  


Northern Graphite is well positioned to benefit from this compelling
supply/demand dynamic with a near term development project located in Canada and
close to infrastructure. Additional information on Northern Graphite Corporation
can be found under the Company's profile on SEDAR at www.sedar.com and on the
Company's website at www.northerngraphite.com. 


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.