Zentek's Albany graphite clears nuclear-grade tests

Executive Summary

• Zentek Ltd.'s subsidiary, Albany Graphite Corp. (AGC), has received final positive results from independent testing confirming that its ultrahigh-purity Albany graphite meets nuclear-grade performance thresholds.
• The graphite demonstrated compliance with stringent benchmarks for strength, density, electrical performance, and impurity levels, validating its suitability for high-return commercial markets including nuclear energy, defense, aerospace, and premium lithium-ion batteries.
• Management positions Albany as a potential premier Canadian supplier of purified natural graphite, aiming to reduce reliance on foreign synthetic graphite sources in critical North American supply chains.

Key Details

• Purity Metrics: Previous releases confirmed Albany graphite achieved five-nines (99.9992%) purity with an equivalent boron concentration of 2.60 parts per million (ppm), meeting the <3 ppm threshold for nuclear applications.
• Testing Methodology: Independent laboratory testing characterized three near-net-shaped graphite bricks produced using a blend including up to 3 wt.% of Zentek's ultrahigh-purity Albany graphite mixed with standard industry inputs.
• Performance Benchmarks: The tested bricks met key benchmarks for nuclear-grade graphite blocks, specifically regarding:
  • Strength
  • Density
  • Electrical performance
  • Extremely low impurity levels
• Market Opportunity: Independent estimates project the global ultrahigh-purity graphite market to grow at a CAGR of ~10.5% through 2030.
• Demand Projections: Management estimates a potential annual demand of 100,000 to 200,000 tonnes of purified natural high-purity graphite over the next 15–20 years for nuclear, battery, and aerospace applications.
• Strategic Goal: To substitute synthetic graphite with purified natural graphite in specialized niches, leveraging ESG benefits and North American supply chain security.
• Project Location: The Albany graphite project is an exploration-stage, igneous-hosted deposit located in Ontario, near Constance Lake First Nation and Hearst, with proximity to the Trans-Canada Highway, rail, power lines, and natural gas pipelines.
• Technical Approval: Peter Wood, PEng, PGeo, Vice-President of Development at AGC, approved the technical information as a Qualified Person under National Instrument 43-101.

Notable Quotes

• "We continue to be encouraged by these nuclear suitability testing results, which demonstrate that our unique ultrahigh-purity Albany graphite meets and, in some cases, surpasses the stringent requirements for highly specialized applications such as nuclear-grade graphite," said Mohammed (Moe) Jiwan, chief executive officer of Zentek.
• "This performance could help support secure North American supply chains for nuclear energy, national defence and high performance aerospace systems, reducing reliance on foreign, high-emissions synthetic graphite." — Mohammed (Moe) Jiwan