Mr. Anthony Huston reports

GRAPHITE ONE APPOINTS RED CLOUD SECURITIES INC. TO PROVIDE FINANCIAL ADVISORY AND PROMOTIONAL SERVICES

Graphite One Inc. has appointed Red Cloud Securities Inc. and Red Cloud Financial Services Inc. to provide the company with a range of non-exclusive financial advisory and promotional services. Red Cloud is a Toronto-based financial services firm that provides assistance to mineral exploration and mining companies in accessing capital markets and enhancing their corporate profile.

Under the engagement, Red Cloud will be paid a fee of $10,000 per month for the services it will render starting on Dec. 4, 2023, for an initial six-month term and automatically renew month-to-month thereafter unless either party provides written notice of termination to the other party 30 days prior to the date of termination. More specifically, under the financial advisory services agreement, Red Cloud will identify and introduce third parties for potential equity and debt financings and alternative financing arrangements and other transactional opportunities, and under the promotional services agreement, Red Cloud will review and advise on road shows, review, draft and advise on traditional marketing documents, make introductions to, meet and communicate with corporate analysts, institutional and professional investors and retail brokers, provide traditional media support, and assist in creation of content for Red Cloud's exclusive RCTV platform and dissemination of content via RCTV, and other services as required by the company. There are no performance obligations contained in the agreement and Red Cloud will not receive common shares, stock options or any form of equity in the company as compensation.

Red Cloud and the company are arm's-length parties and Red Cloud and its principals do not currently own or have any interest, directly or indirectly, in the securities of the company; however, Red Cloud and its clients may acquire an interest in the securities of the company in the future. The engagement is principally for the purposes of maintaining market stability and liquidity for the company's common shares and is not a formal market making agreement. The engagement of Red Cloud is subject to approval by the TSX Venture Exchange.

Anthony Huston, president and chief executive officer of Graphite One, commented, "We look forward to having Red Cloud introducing us to a broader investor base, provide improved access to equity capital markets, and provide a range of corporate advisory and promotional services."

Recent Graphite One developments

The Red Cloud engagement follows the completion of the company's 2023 summer drilling program, marking the largest exploration program in the company's history and allowing the company to accelerate completion of its feasibility study, anticipated in Q4 2024. The 2023 drilling program was conducted with the support of up to a $37.5-million (U.S.) Department of Defense Technology Investment Agreement grant under Title III of the U.S. Defense Production Act (DPA), which is funded through the Inflation Reduction Act. The grant reimburses Graphite One on a dollar-for-dollar basis for qualified expenditures of up to $37.5-million (U.S.). As a result of the DPA grant and a strategic investment from Bering Straits Native Corp., Graphite One completed 57 holes for a total of 28,669 feet of drilling, including five geotechnical holes, for the primary purpose of evaluating construction sites and hydrology conditions. Preliminary assay results have been very encouraging and all 52 resource holes intersected visual graphite mineralization.

Graphite One's supply chain strategy

With the United States currently 100 per cent import dependent for natural graphite, Graphite One is planning to develop a complete U.S.-based, advanced graphite supply chain solution anchored by the Graphite Creek resource. The Graphite One project plan includes an advanced graphite material and battery anode manufacturing plant expected to be sited in Washington State integrated with the development of the Graphite Creek property. The plan includes a recycling facility to reclaim graphite and the other battery materials, to be co-located at the Washington State site, the third link in Graphite One's circular economy strategy.

About Graphite One Inc.

Graphite One continues to develop its Graphite One project to become an American producer of high-grade anode materials that is integrated with a domestic graphite resource. The project is proposed as a vertically integrated enterprise to mine, process and manufacture anode materials primarily for the lithium-ion electric vehicle battery market. As set forth in the company's 2022 prefeasibility study, graphite mineralization mined from the company's Graphite Creek property, situated on the Seward peninsula about 60 kilometres north of Nome, Alaska, would be processed into concentrate at an adjacent processing plant. Natural and artificial graphite anode materials and other value-added graphite products would be manufactured from the concentrate and other materials at the company's proposed advanced graphite materials manufacturing facility expected to be located in Washington State. The company intends to make a production decision on the project upon the completion of a feasibility study by December, 2024.

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