Focus Graphite resumes ESIA work for Lac Knife

Mr. Dean Hanisch reports FOCUS GRAPHITE ADVANCES ESIA REPORTING AT LAC KNIFE AND ACCELERATES MINERAL RESOURCE EXPANSION AT LAC TETEPISCA AND ANNOUNCES THE GRANT OF OPTIONS AND RSUS Focus Graphite Inc. has resumed work on the environmental and social impact assessment (ESIA) for its 100-per-cent-owned Lac Knife flake graphite project, located near Fermont, in the province's prolific iron ore mining district. The company has formally re-engaged IOS Geosciences Inc., a leading Quebec-based geological consulting firm and former general contractor on the ESIA, to complete a total of 16 technical reports required for submission to Quebec's environmental and natural resource authorities. These reports represent a major step in advancing the Lac Knife project toward permitting and the goal of mine construction. The ESIA program, initially launched in 2020, involves multidisciplinary technical evaluations and environmental baseline work conducted across 2020 and 2021. Finalization was delayed due to financing constraints but is now back on track. Report completion is estimated by early 2026, with submissions planned shortly thereafter to the Quebec Ministry of Sustainable Development, Environment and the Fight Against Climate Change (MDDELCC), as well as the Ministry of Natural Resources and Forests (MRNF). The 16 technical reports in progress cover critical permitting areas, including: Condemnation and pitwall drilling; Acid-generating potential analysis; Geotechnical drilling and soil mechanics; Soil geochemistry and chemistry baseline; Lake-bottom geochemical and surface water quality surveys; Groundwater habitat assessment and follow-up; Caribou habitat assessment and follow-up; Geometallurgical and graphite flake characterization. These comprehensive studies are essential for satisfying Quebec's rigorous environmental and social licensing requirements, and underscore Focus Graphite's commitment to environmental stewardship and indigenous engagement through project development. In parallel, Focus has also authorized IOS proceed with geochemical analysis of over 1,000 split and pulverized drill core samples collected from its 2022 exploration drilling program at the Lac Tetepisca graphite project. The samples, targeting the Southwest MOGC and West Limb geophysical (MAG-EM) conductors, will undergo carbon and sulfur determinations at certified laboratories. Upon receipt of assays, IOS will finalize and submit the corresponding technical reports covering 14,900.5 metres of core drilling from 74 holes to the MRNF. An updated Canadian Institute of Mining, Metallurgy and Petroleum- (CIM) and National Instrument 43-101-compliant mineral resource estimate (MRE) for the Manicouagan-Ouest Graphitic Corridor (MOGC) graphite deposit is anticipated in fall of 2025, which will further define Tetepisca's development potential alongside Lac Knife. "Resuming the ESIA is a pivotal milestone that moves us closer to full permitting and our goal of mine development at Lac Knife," said Dean Hanisch, chief executive officer of Focus Graphite. "With most fieldwork and laboratory studies already complete, we're in a strong position to finalize this critical stage efficiently. At the same time, initiating assay work at Tetepisca to support an upgraded mineral resource estimate reflects our commitment to building value across our entire Quebec asset base." The company also announced the grant of incentive stock options as compensation to its directors, officers, employees and consultants. Options to purchase up to 4,215,000 common shares of the company have been granted at an exercise price of 14 cents per share. The options expire on Aug. 13, 2030. Additionally, the company has granted 1.35 million restricted stock units (RSUs) to officers, directors and consultants of the company under the terms of the company's restricted share unit and equity incentive plan (EIP). Each RSU entitles the holder to acquire one common share of the company after the vesting period in accordance with the plan. Qualified person The technical content disclosed in this news release was reviewed and approved by Rejean Girard, PGeo (Quebec), president of IOS Geosciences, a consultant to the company and a qualified person as defined under National Instrument NI-43-101. About Focus Graphite Advanced Materials Inc. Focus Graphite is redefining the future of critical minerals with two 100-per-cent-owned world-class graphite projects and cutting-edge battery technology. The company's flagship Lac Knife project stands as one of the most advanced high-purity graphite deposits in North America, with a fully completed feasibility study. Lac Knife is set to become a key supplier for the battery, defence and advanced materials industries. The company's Lac Tetepisca project further strengthens its portfolio, with the potential to be one of the largest and highest-purity and grade graphite deposits in North America. Focus goes beyond mining -- it is pioneering environmentally sustainable processing solutions and innovative battery technologies, including its patent-pending silicon-enhanced spheroidized graphite, designed to enhance battery performance and efficiency. The company's commitment to innovation ensures a chemical-free, eco-friendly supply chain from mine to market. Collaboration is at the core of Focus's vision. The company actively partners with industry leaders, research institutions and government agencies to accelerate the commercialization of next-generation graphite materials. As a North American company, Focus is dedicated to securing a resilient, locally sourced supply of critical minerals -- reducing dependence on foreign-controlled markets and driving the transition to a sustainable future. We seek Safe Harbor.