Graphite One Announces Private Placement and PFS Update

Graphite One Inc. is pleased to announce a non-brokered private placement of up to 13.5 million units (the “Units”) of the Company at a price of CA$1.15 per Unit for aggregate gross proceeds of up to CA$15,525,000 (the “Offering”). 

Each Unit will consist of one common share of the Company and one transferable common share purchase warrant (the “Warrant”) entitling the holder to acquire, on payment of CA$1.50 per Warrant to the Company, one common share for a period of 24 months from the first date of closing of the Offering.  The Warrants include an acceleration provision whereby if the Company’s share price closes above CA$2.00 for 10 consecutive trading days, the Company may elect to accelerate the expiry date of the Warrants by issuing a press release and notice to the Warrant holders for the expiry of the Warrants that is 45 days from the press release date.  The Warrant holders may exercise the Warrants during this 45-day period but no later than the expiry date.

The Company may pay a finders’ fee to arm’s length parties in connection with the Offering.

The Offering will be subject to receipt of final applicable regulatory approvals including approval by the TSX Venture Exchange.  All securities issued in connection with this Offering will have a restricted period that expires four months and a day following the date of issuance.

The net proceeds from the Offering will be used to support the upcoming feasibility study, including the summer drilling programs, for business development activities and for general working capital.

Pre-Feasibility Study Update

The pre-feasibility study on the Graphite One Project is in the final stages of completion.  Results are expected to be released by August 31, 2022.

This media release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

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.

On Behalf of the Board of Directors
“Anthony Huston” (signed)

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