Graphite One Warrant Amendment

Graphite One Inc. is pleased to announce that the Company intends to amend the term of 10,429,981 warrants that were issued on August 12, 2021 and September 24, 2021.  Such amendment is subject to Exchange acceptance.  The amendment includes extending the expiry date of the warrants from August 12, 2022 to May 12, 2023 and adds a new acceleration provision whereby if the Company’s share price closes above $1.75 for 20 consecutive trading days, the Company can elect to accelerate the expiry date of the warrant by issuing a press release to notify the warrantholders the warrants will expire 45 days from the press release date.  The original exercise price of $1.50 per warrant and all other terms of the warrants will remain unchanged for the extended exercise period. 

The warrants were issued as part of the June 30, 2021 announcement of a brokered private placement of up to 12 million units at $1.00 per unit. Each unit consisted of one common share and one share-purchase warrant exercisable at $1.50 per warrant and expires 12 months from the date of closing.

No action is required by the warrant holders as a result of the extension of the warrant expiry date.  A warrant holder who wishes to exercise the warrants will be required to submit a warrant exercise form to Computershare, the Company’s agent for processing the warrant exercises.

GRAPHITE ONE INC. continues to develop its Graphite One Project (the “Project”), whereby the Company could potentially 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 high grade anode materials primarily for the lithium–ion electric vehicle battery market.  As set forth in the Company’s Preliminary Economic Assessment, potential graphite mineralization mined from the Company’s Graphite Creek Property, is expected to be processed into concentrate at a graphite processing plant. The proposed processing plant would be located on the Graphite Creek Property situated on the Seward Peninsula about 60 kilometers north of Nome, Alaska.  Graphite anodes 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, the location of which is the subject of further study and analysis.  The Company intends to make a production decision on the Project once a feasibility study is completed.

“Anthony Huston” (signed)