Mr. Brian Bosse reports

ZENTEK ANNOUNCES TRANSFER OF THE ALBANY GRAPHITE PROJECT TO SUBSIDIARY

Zentek Ltd. has completed the transfer of the Albany graphite project to its wholly owned subsidiary, Albany Graphite Corp., pursuant to a property purchase agreement dated April 24, 2023.

The agreement

Pursuant to the terms of the agreement, Zentek transferred to Albany the ownership of the Albany graphite project, including the mining claims and all related chattel, drill core and applicable contracts, in consideration for the issuance by Albany to Zentek of 59,999,900 common shares of Albany.

Albany graphite project

Albany is now the owner of the igneous-hosted fluid-derived graphite deposit located in claim block 4F, comprising 521 mining claims (461 single-cell claims and 60 boundary-cell claims) located north of Lake Superior and southwest of James Bay in northeastern Ontario and all related, chattel, drill core and applicable contracts.

As described in the Zentek press release of May 3, 2023, Albany's graphite, due to its unique igneous origin, has several synthetic-like properties, including electrical resistivity, heat tolerance and corrosion resistance. These properties in a natural graphite source may allow Albany graphite to compete with synthetic graphite while offering a significantly lower carbon footprint, a desirable combination in today's ESG-focused (environmental, social and governance) economy.

Brian Bosse, chief executive officer of Albany Graphite, commented:

"I am excited to start moving this company forward now that this legal step has been completed. With graphite demand expected to grow substantially over the next decade, according to the International Energy Agency, especially North American sourced graphite due to EV battery demand and the Inflation Reduction Act in the United States, the timing to resume work on this unique graphite deposit is excellent."

About Zentek Ltd.

Zentek is an ISO 13485:2016 certified graphene technology company focused on the research, development and commercialization of graphene-based novel products seeking to give its commercial partners a competitive advantage by making their products better, safer and greener.

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