Zentek's Albany graphite clears nuclear-grade tests

Mr. Mohammed Jiwan reports ZENTEK'S ALBANY GRAPHITE HAS DEMONSTRATED NUCLEAR GRADE PERFORMANCE IN INDEPENDENT TESTING, OPENING PATHWAYS INTO A RANGE OF HIGH-RETURN COMMERCIAL MARKETS Zentek Ltd.'s wholly owned subsidiary, Albany Graphite Corp. (AGC), has received final, positive results indicating that its ultrahigh-purity Albany graphite meets the threshold for applications in a range of high-return markets, including: nuclear energy; defence and national security infrastructure; advanced aerospace and hypersonics; and premium lithium-ion batteries. This follows on previous press releases (dated Sept. 22, 2025, and Oct. 6, 2025) which confirmed that Albany graphite achieved five-nines (99.9992-per-cent) purity with an equivalent boron concentration of 2.60 parts per million, meeting the less-than-three-parts-per-million threshold generally referenced for nuclear applications. The latest independent testing of Albany graphite bricks represents the culmination of the current stage of AGC's nuclear suitability program and further validate Albany's broader ultrahigh-purity performance. In practical terms, these results reaffirm that the unique Albany graphite material can perform to the same demanding standards as the specialized graphite blocks used in advanced nuclear reactors and other critical systems, a capability historically possessed by synthetic graphite supplied almost entirely from foreign states. Independent market research estimates that the global ultrahigh-purity graphite market is expected to grow at a compound annual growth rate of about 10.5 per cent through 2030, driven by lithium-ion batteries, semiconductors, advanced nuclear reactors and high-temperature aerospace components. Independent market and policy work further indicates that purified natural graphite is the fastest-growing part of the natural graphite segment, as advances in purification and processing now routinely bring impurities down into the tens of milligram/kilogram range and enable natural graphite to compete in applications that historically depended on synthetic graphite, while policymakers increasingly favour lower-carbon, non-foreign supply in response to ESG (environmental, social and governance) and critical-minerals initiatives in North America and Europe. Management of the company believes that the unique Albany material has the potential to target high-value specialized niches where purified natural material can substitute for synthetic graphite, particularly in nuclear-grade applications, premium lithium-ion battery anodes and specialty high-temperature components, markets which together are expected to require on the order of 100,000 to 200,000 tonnes per year of purified natural high-purity graphite over the next 15 to 20 years. Management believes this positions Albany to become a premier Canadian supplier of purified natural ultrahigh-purity graphite into these specialty markets. This will decrease Canada's reliance on foreign sources and enhance Canada's security of supply in areas critical to our national defence as well as key strategic sectors. Independent testing outcome: AGC commissioned independent laboratory testing to characterize three near-net-shaped graphite bricks produced using a blend that included up to three wt.% of Zentek's ultrahigh-purity Albany graphite, together with standard graphite industry inputs. Independent testing confirmed that graphite bricks made with Albany material met the key benchmarks currently used for nuclear-grade graphite blocks, including strength, density, electrical performance and extremely low impurity levels, demonstrating that Albany graphite can perform at nuclear specifications in finished components. Strategic implications and next steps: These results further reinforce the potential of Albany graphite across a range of high-value specialty markets that demand ultrahigh-purity, secure graphite supply. This includes applications in nuclear energy (large reactors and small modular reactors), defence and national security infrastructure, advanced aerospace and hypersonics, and premium battery and high-temperature industrial components, where long-term performance, reliability and traceable supply are increasingly critical. As global demand grows from AI-driven data centres, electrification and reshoring of critical supply chains, management believes that purified natural ultrahigh-purity graphite such as Albany's can play an important role as a differentiated feedstock into these key markets. "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. "Combined with our proven ability to reach five-nines purity and our North American resource base, these results support our strategy of positioning Albany as a premier Canadian potential supplier of purified natural graphite to high-value markets such as nuclear, advanced batteries and other mission-critical applications. 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." Peter Wood, PEng, PGeo, vice-president, development of AGC, a qualified person under National Instrument 43-101, has approved the technical information contained in this news release. About the Albany graphite project The Albany graphite project is a unique igneous-hosted, fluid-derived graphite deposit located in Ontario and advanced to an exploration stage. The project lies northwest of the communities of Constance Lake First Nation and Hearst, Ont., within approximately 30 kilometres of the Trans-Canada Highway and near existing infrastructure including roads, rail, power transmission lines and a natural gas pipeline. Albany is being advanced as a potential source of ultrahigh-purity graphite to potentially support secure North American supply chains for nuclear, energy storage and other advanced material applications. About Zentek Ltd. Zentek is a Canadian intellectual property development and commercialization company advancing a portfolio of graphene-enabled and advanced material technologies across health care, clean air and next-generation materials. We seek Safe Harbor.