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SRG Graphite Amends its NI 43-101 Preliminary Economic Assessment Report for Lola Graphite Deposit MONTREAL

Economic Studies

SRG Graphite Amends its NI 43-101

Preliminary Economic Assessment Report for

Lola Graphite Deposit

MONTREAL

, Sept. 7, 2018 /CNW Telbec/ -

SRG Graphite Inc.

(TSXV: SRG) ("SRG" or the

"Company") reports that it is reissuing its National Instrument 43-101 ("NI 43-101") Preliminary

Economic Assessment study ("PEA") for the development of its Lola graphite project in the Republic

of

Guinea

,

West Africa

.

The cut-off grade for the base case at section 14 of the original NI 43-101 PEA has been modified

to 1.64% from 3%, to be consistent with the rest of the document's data. This change has no impact

whatsoever on any of the numbers or figures provided in the original PEA, including preliminary

economic figures or results.

Also, Mr.

Sivanesan (Desmond) Subramani

, Principal Consultant at Caracle Creek International

Consulting MINRES (Pty) Ltd (CCIC MinRes), an independent qualified person, has confirmed the

work of Dr.

Marc-Antoine Audet

, P.Geo. and SRG's Lead Geologist and taken responsibility for

those sections of the original NI 43-101 PEA for which Dr. Audet was responsible. Mr. Subramani

has rigorously verified the resource model and reapproved the resource estimate without material

changes.

Highlights of the Lola graphite PEA:

Production of 50,200 tonnes of graphite concentrate per year over a 16-year mine life;

Capital costs of

$105 million

("M") including contingency of

$15M

;

Operational costs of

$372

/tonne ("t") of concentrate and

$130

/t of transport;

Pre-tax NPV (8%) of

$204M

(post-tax NPV (8%) of

$121M

) at an average sales price of

$1,328

/t;

Finished grade of over 94% and up to 98% over all size fractions;

Strip ratio of 0.39.

The Amended NI-43-101 Technical Report is available on SRG's website at

www.srggraphite.com

and on SEDAR at

www.sedar.com

.

About Met-Chem/DRA

Met-Chem, a division of DRA Americas Inc., was originally established in 1969 as a consulting

engineering company, headquartered in

Montreal

, and provides a wide range of technical and

engineering services. Met-Chem is well recognized for its capabilities in mining, geology and mineral

processing and has a talented team of engineering, technical and project management personnel

with experience in

North America

,

Latin America

,

Europe

,

West Africa

and

India

. DRA is a

multidisciplinary global engineering group that originated in

South Africa

and delivers mining, mineral

processing, energy, water treatment and infrastructure services from concept to commissioning, as

well as comprehensive operations and maintenance services for the mineral resources, water,

agriculture and energy sectors. DRA has offices in

Africa

,

Australia

,

Canada

,

China

,

India

and

the

United States

.

ABOUT SRG

SRG is a Canadian-based company focused on developing the Lola graphite deposit and the

Gogota cobalt-nickel-scandium deposit located in the Republic of

Guinea

,

West Africa

. SRG is

committed to operating in a socially, environmentally and ethically responsible manner.

For additional information, please visit SRG's website at

www.srggraphite.com

.

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.

SOURCE

SRG Graphite

View original content:

http://www.newswire.ca/en/releases/archive/September2018/07/c5610.html

%SEDAR: 00008697E

For further information:

Ugo Landry-Tolszczuk, Tel: +1 (514) 679-4196, Email:

[email protected]; Benoit La Salle, FCPA FCA, Tel: +1 (514) 951-4411, Email:

[email protected]

CO: SRG Graphite

CNW 17:30e 07-SEP-18