FCI.V · 2025-10-23 12:00:00

First Canadian Graphite well positioned to Capitalize on China’s Export Controls on Graphite

Corporate Updates

2200 – 1250 Rene Levesque Blvd. Montreal, QC, H3B 4W8

Phone: (438) 469-0705

#1100 - 1111 Melville Street, Vancouver, BC, V6E 3V6

Phone: (604) 343-7740

Email: [email protected]

Website: https://www.firstcanadiangraphite.com/

First Canadian Graphite well positioned to

Capitalize on China’s Export Controls on

Graphite

Montreal, QC, Oct 23rd 2025 — First Canadian Graphite Inc. (the “Company”) (TSX-V:

FCI | Frankfurt: BK2) provides a summary of China’s recent announcement of stricter

export controls on lithium-battery raw materials and graphite anode materials, effective

November 8, 2025, as a catalyst that strengthens the strategic importance and market

value of graphite produced outside China.

China’s Ministry of Commerce (MOFCOM) and General Administration of Customs have

unveiled a new regulatory regime that places certain lithium-battery raw materials,

associated equipment, and graphite anode materials under export licensing and control.

(Global Times) Under the new rules, many exports of artificial graphite anode materials,

processing equipment (such as graphitization furnaces, granulation reactors, coating /

modification systems), and related technologies will require government approval before

shipment. (Global Times)

What This Means for Graphite Markets

● These controls are expected to tighten the global supply of processed graphite and

related battery materials, particularly for overseas consumers reliant on the

Chinese supply.

● The bottleneck effect could cause upward pressure on graphite prices and margins,

benefiting producers outside of China with secure supply chains.

● Buyers and battery manufacturers are likely to seek alternative, more stable

sources of graphite and anode material, accelerating demand for non-Chinese

suppliers.

● The controls may also incentivize upstream investment in graphite mining,

processing, and value-added manufacturing in jurisdictions viewed as reliable,

● With these export control changes, First Canadian Graphite expects to benefit from

increased global focus on the secure supply of North American critical minerals.

First Canadian Graphite respectfully acknowledges that the Berkwood Project is located within

the traditional territory of the Pessamit Innu First Nation. The Company is committed to fostering

respectful, transparent, and collaborative relationships with local Indigenous communities

throughout the development process.

Forward-Looking Statements

This press release contains forward-looking statements, including statements about

demand, pricing trends, strategic positioning, and the expected benefits of China’s export

controls. These statements are based on assumptions and beliefs of management and

involve risks and uncertainties, which may cause actual results to differ materially from

those anticipated.

About the Berkwood Graphite Project

The Berkwood Graphite Project is located within the jurisdiction of Quebec, in the Manicouagan

Regional County Municipality, three hours driving time from the city of Baie -Comeau. Easy

access is provided via a major secondary road and numerous tertiary and forest roads that traverse

the property.

The Zone 1 resource lies 8 km southwest of Nouveau Monde’s deposit which has a $3.5 billion

NPV on it. The Companies Zone 1 resource, and that of Nouveau Monde, share many similar

geological characteristics, with the Zone 1 resource being of exceptionally high grade and coarse

flake size by global standards.

The current mineral resource at the Berkwood Graphite Project includes in -pit constrained

resource totalling 1,755,300 tonnes of indicated resources at 17.00 % Cgr and 1,526,400 tonnes in

inferred resources at 16.39 % Cgr.

Table 2: In-pit Resource at Lac Gueret South Project (rounded numbers)

Current Resources (as of June 17th, 2019)

Minerals Resources