The program was intended at extending the oxide resource via step-out drilling to the northeast, southeast and southwest.

The company said all of the reported drill holes are on the northeast margin of the Coosa resource.

As the Coosa resource trends NE-SW, drill holes AGC-15-K18 and -K20 helped to define the southeastern margin of the graphitic mineralization.

The rest of the holes are either step-out or in-fill holes proximal to holes earlier drilled by Alabama Graphite.

3D Dycus Drilling carried out the drilling using a diamond core drill. ActLabs undertook the assay work.

A composite sample from trench TR-03a with an average grade of 3.10% Cg featured 33.9% of the graphite in the +80 mesh range.

A second composite sample from trench BT-4 with an average grade of 2.94% Cg featured 21.8% of the graphite in the +80 mesh range.

Alabama Graphite president and Co-CEO Ron Roda said: "We expect to issue more drill results over the next several weeks as the drill program progresses.

"Our goal is to have an updated resource estimate completed before the end of summer as we move toward completing a Preliminary Economic Assessment (PEA) on the Coosa Project by the fall of 2015."