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FLCN.V ·

OR FOR Dissemination IN the United States Falcon Energy Materials Plc Signs Term Sheet FOR US$70 Million

Corporate Updates

Falcon Energy Materials plc

Level 7, Al Maryah Tower, Al Maryah Island, Abu Dhabi, United Arab Emirates

falconem.net

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR

DISSEMINATION IN THE UNITED STATES

FALCON ENERGY MATERIALS PLC SIGNS TERM SHEET FOR US$70 MILLION

CONSTRUCTION FINANCING FOR MOROCCO ANODE PLANT

PRESS RELEASE FOR IMMEDIATE RELEASE

Abu Dhabi, United Arab Emirates, April 9, 2026 – Falcon Energy Materials plc (TSX-V: FLCN)

(OTCQB: FLCNF) (“Falcon” or the “ Company”) is pleased to announce it has entered into a non-

binding term sheet (the “Term Sheet”) with a Tier One strategic and financial partner (the “Financial

Partner”) for a financing transaction (the “ Transaction”) directed toward the construction of the

Company’s anode material facility in the Kingdom of Morocco (“Morocco”).

The Term Sheet

Pursuant to the Term Sheet, the Financial Partner has agreed to provide Falcon with US$65 million

in non-dilutive financing as well as US$5 million in support in a future equity issuance. The Transaction

is subject to the satisfaction of customary condition s including an offtake agreement , completion of

definitive documentation, and receipt of all required regulatory and stock exchange approvals. The

proceeds from the Transaction are expected to be primarily directed toward advancement of the

Company’s natural graphite spheroidization, purification and coating plant (the “ Anode Plant”) in

Morocco.

“We are encouraged by the continued support of our financial partners, following the strong demand

for our recent private placement and recent block trade,” said Matthieu Bos, Chief Executive Officer

of Falcon. “This proposed financing represents a significant milestone and highlights the strong

interest in completing the broader financing package. We believe this Transaction, once completed,

will position Falcon to accelerate execution while limiting dilution and preserving meaningful upside

for our shareholders.”

The completion of the Transaction remains subject to the negotiation and execution of definitive

agreements, completion of due diligence, and receipt of all applicable approvals, including approval

of the TSX Venture Exchange. There can be no assurance that the Transaction will be completed on

the terms described herein or at all.

The Company will provide further updates as material developments occur.

About Falcon

Falcon Energy Materials (TSX -V: FLCN, OTCQB: FLCNF) is aiming to be the premier provider of

natural Coated Spheronized Purified Graphite, a critical component for energy storage solutions. As

a dedicated chemical refiner of natural graphite concentrate, Falcon is working diligently towards the

development of a state-of-the-art 25 ktpa CSPG production facility in Morocco.

Falcon Energy Materials plc

Level 7, Al Maryah Tower, Al Maryah Island, Abu Dhabi, United Arab Emirates

falconem.net

Strategically partnered with leading Chinese technology firms and Tier One Moroccan partners,

Falcon benefits from advanced technological expertise, access to high -quality raw materials and

chemicals, and a prime geographical location , factors that will enable it to deliver consistent, high -

quality supply to global markets.

With a clear focus on sustainable growth and innovation, Falcon aims to become the go-to producer

of natural CSPG, supporting widespread adoption in energy storage and other emerging industries.

For additional information, please visit Falcon’s website at www.falconem.net.

Contact:

Matthieu Bos Matt Johnston

President & CEO IR Advisor

Email: [email protected] Email: [email protected]

Telephone: +971 2307 4013

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the

TSXV) accepts responsibility for the adequacy or accuracy of this release.

FORWARD-LOOKING STATEMENTS

This press release contains "forward-looking information" within the meaning of Canadian securities

legislation and other statements that are not historical facts. Forward-looking statements are included

to provide information about management’s current expectations and plans that allows investors and

others to have a better understanding of the Company’s business plans and financial performance

and condition.

All information contained herein that is not clearly historical in nature may constitute forward -looking

information. Generally, such forward -looking information can be identified by the use of forward -

looking terminology such as “propose”, “expect”, “future”, “believe”, “advancement”, “subject to”, “once

completed”, “position”, “directed”, “continued”, “working”, “towards”, “development”, “enable” , “aims”

or variations of such words and phrases or state that certain actions, events or results "may", "could",

“will”, "would" or "might". In particular and without limitation, this news release contains forward -

looking statements pertaining to (i) a potential financial transaction with a Tier -One strategic and

financial partner pursuant to which the Company would receive non-dilutive financing and support in

a future equity issuance; (ii) the extent of financing that is expected to be received from the financial

partner according to the non -binding term sheet; (iii) the expected use of the proceeds of the

transaction for the construction of the Company’s anode material facility in the Kingdom of Morocco;

iv) the belief of the Company that, once completed , the transaction will position the Company to

accelerate execution of its plans while limiting dilution and preserving meaningful upside for its

shareholders; (v) the conclusion of a definitive agreement with the financial partner; (vi) the entering

into an offtake agreement and, (vii) the receipt of the approval of the TSX Venture Exchange. .

Forward-looking information is based upon certain assumptions and other important factors that, if

untrue, could cause the actual results, performance or achievements of the Company to be materially

different from future results, performance or achievements expressed or implied by such information

or statements. There can be no assurance that such information or statements will prove to be

accurate. Key assumptions upon which the Company’s forward-looking information is based include,

without limitation, that: (i) the due diligence process will not have for consequence of materially

altering the terms of the anticipated transaction, including the amount of financing to be received or

any other terms of the non -binding term sheet or, the willingness of either party to proceed with the

Falcon Energy Materials plc

Level 7, Al Maryah Tower, Al Maryah Island, Abu Dhabi, United Arab Emirates

falconem.net

transaction (ii) the Company will enter into a binding agreement with the financial partner, (iii) the

customary conditions related to the financial transaction will be satisfied, including entering into an

offtake agreement; (iv) all necessary documentation pertaining to the transaction will be completed;

(v) all required regulatory and stock exchange approvals will be received; and (vi) the completion of

the transaction, the receipt of the proceeds and their investment the construction of the Company’s

anode facility will not unduly dilute the holdings of the shareholders and will allow them to retain an

upside from their holdings.

Readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which

may have been used. Forward-looking information is subject to known and unknown risks,

uncertainties and other factors that may cause the actual results, l evel of activity, performance or

achievements of the Company to be materially different from those expressed or implied by such

forward-looking information, including but not limited to: (i) volatile stock price; (ii) the general global

markets and economi c conditions; (iii) the possibility of write -downs and impairments; (iv) the risk

associated with exploration, development and operations of mineral deposits and mine plans for the

Company’s mining operations; (v) the risk associated with establishing title to mineral properties and

assets including permitting, development, operations and production from the Company’s operations

being consistent with expectations and projections; (vi) fluctuations in commodity prices, finding

offtake takers and potential clients or enforcing such agreements against same, (vii) prices for diesel,

process reagents, fuel oil, electricity and other key supplies being approximately consistent with

current levels; (viii) production and cost of sales forecasts meeting expectations; (ix) the accuracy of

the mineral reserve and mineral resource estimates of the Company; (x) labour and materials costs

increasing on a basis consistent with the Company's current expectations; (xi) there being no

significant disruptions affecting the oper ations of the Company whether due to artisanal miners,

access to water, extreme weather events and other or related natural disasters, labour disruptions,

supply disruptions, power disruptions, damage to equipment or otherwise; (xii) asset impairment (or

reversal) potential, being consistent with the Company's current expectations; (xiii) risks associated

to the accuracy of projections provided in a preliminary economic study which are preliminary in nature

and which include significant of uncertainties; an d (xiv) other risks and uncertainties described or

referred to in the section entitled “Risk and Uncertainties” in the Company’s management’s discussion

and analysis for the year ended December 31, 2025, as updated from time to time in the Company’s

interim management’s discussion and analysis for its quarterly financial periods, each of which is filed

on SEDAR+ at www.sedarplus.ca.

Although the Company believes its expectations are based upon reasonable assumptions and has

attempted to identify important factors that could cause actual actions, events or results to differ

materially from those described in forward-looking statements, there may be other factors that cause

actions, events or results not to be as anticipated, estimated or intended. There can be no assurance

that such forward-looking information will prove to be accurate, as actual results and future events

could differ m aterially from those anticipated in such forward -looking information . Such forward -

looking information has been provided for the purpose of assisting investors in understanding the

Company's business, operations and exploration plans and may not be appropriate for other

purposes. Accordingly, readers should not place undue reliance on forward -looking information.

Forward-looking information is given as of the date of this press release, and the Company does not

undertake to update such forward-looking information except in accordance with applicable securities

laws. The Company qualifies all of its forward-looking statements by these cautionary statements.