Focus Graphite Completes Air Quality Assessment for the Lac Knife Project; Advancing Towards ESIA Completion

Executive Summary

• Focus Graphite completed an Air Quality Assessment (AQA) for its 100%-owned Lac Knife Graphite Project in northeastern Quebec, marking a key milestone in the project's environmental permitting pathway.
• The study, conducted by WSP Canada Inc., confirms that predicted emissions from all proposed mining and processing infrastructure comply with Quebec ambient air quality standards under maximum operating scenarios.
• Completion of the AQA advances the broader Environmental and Social Impact Assessment (ESIA) process, with remaining workstreams including hydrogeological assessments and dam breach analyses now underway to further de-risk the project for future development.

Key Details

• Project: 100%-owned Lac Knife Graphite Project, located in northeastern Quebec.
• Study Scope: Evaluated emissions from the proposed open pit mine, processing facility, tailings storage facility, stockpiles, haul roads, crushing operations, and supporting infrastructure under conservative maximum operating scenarios.
• Methodology & Compliance: Atmospheric dispersion modeling performed using Aeromod software, aligned with Quebec's Reglement sur l'assainissement de l'atmosphere (RAA) and guidance from the Ministère de l'Environnement, de la Lutte contre les changements climatiques, de la Faune et des Parcs (MELCCFP).
• Regulatory Findings: Predicted contaminant concentrations remain fully compliant with applicable Quebec ambient air quality standards and regulatory thresholds.
• Wind Direction & Receptors: Prevailing winds are predominantly south-southeast, directing emissions away from nearby public infrastructure, residences, and seasonal fishing cabins.
• Emissions Evaluated: Particulate matter, nitrogen oxides, sulphur dioxide, carbon monoxide, crystalline silica, and various metals.
• Data Basis: Detailed atmospheric dispersion model based on five years of regional meteorological data.
• Next Steps: Advancing remaining key environmental workstreams, specifically the hydrogeological assessment and dam breach analysis, to support completion of the broader Environmental and Social Impact Assessment (ESIA) process.
• Qualified Person: Technical content reviewed and approved by Rejean Girard, P.Geo. (QC), President of IOS Geosciences Inc., in accordance with National Instrument NI 43-101.

Notable Quotes

• Dean Hanisch, CEO: "Environmental permitting is one of the most important value-creation stages in the development of any critical mineral project... The completion of the Air Quality Assessment represents another key component of the broader environmental review process and brings us closer to completing the environmental studies required to support future permitting activities. As these workstreams are completed, Lac Knife continues to become increasingly de-risked from both a technical and environmental perspective while strengthening its position as a strategic North American graphite asset."