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Focus Graphite Highlights Strategic Alignment with White House Executive Order to Secure U.S. Defense Supply Chains Focus highlights integrated Canada-U.S. graphite value chain proposal submitted under U.S. Department of War critical

Mergers & Acquisitions

Focus Graphite Highlights Strategic Alignment

with White House Executive Order to Secure

U.S. Defense Supply Chains

Focus highlights integrated Canada-U.S. graphite value chain

proposal submitted under U.S. Department of War critical

minerals initiative

Ottawa, Ontario--(Newsfile Corp. - July 23, 2026) -

Focus Graphite Inc. (TSXV: FMS) (OTCQB:

FCSMF) (FSE: FKC0)

("

Focus

" or the "

Company

"), a Canadian advanced graphite materials

company, today highlighted the strategic alignment between its long-term strategy and the White House

Executive Order, "

Securing America's Defense Supply Chains and Ensuring Domestic Acquisition of

Critical Materials

"

(the "

Executive Order

").

Issued on July 20, 2026, the Executive Order establishes as U.S. policy that military equipment, together

with the critical materials required to manufacture, maintain and sustain it, should be sourced

domestically or from allied nations. It directs the U.S. Department of War ("

DoW

") to strengthen supply-

chain transparency, identify strategic vulnerabilities, reduce dependence on unreliable foreign suppliers

and accelerate the qualification of alternative sources. The Executive Order also calls for critical supply

chains to be traced from raw-material origin through end use and requires contractors to actively qualify

compliant domestic and allied sources where supply-chain vulnerabilities are identified.

The strategic urgency is particularly acute for graphite. According to the U.S. Geological Survey's

("

USGS

")

Mineral Commodity Summaries 2025

, the United States was 100% net import reliant for

natural graphite in 2024, with an estimated 43% of U.S. consumption met by imports from China on

average between 2020 and 2023. At the downstream level, the International Energy Agency's ("

IEA

")

Global Critical Minerals Outlook 2026

estimates that China accounts for more than 90% of global refined

graphite production, making processing one of the most significant bottlenecks to diversifying allied

supply chains. These overlapping dependencies have elevated graphite from a battery material to an

increasingly important strategic material supporting defence, advanced manufacturing, energy security

and emerging technologies.

Focus believes these priorities align directly with its strategy of combining premium North American

graphite resources, clean hydroelectric-powered processing, advanced purification and downstream

advanced materials development through strategic partnerships to build a resilient graphite supply chain

less dependent on concentrated foreign processing capacity.

"The White House has made the mission clear: know the source, secure the chain and qualify allied

supply," said Dean Hanisch, Chief Executive Officer of Focus Graphite. "The technologies defining

modern economic and national security-including drones, autonomous systems, AI infrastructure,

advanced nuclear energy and resilient energy storage-depend on materials that remain concentrated in

foreign supply chains. Focus is well positioned to help build more resilient supply chains that address

those vulnerabilities."

Proposal Submitted Under U.S. Department of War Critical Minerals Initiative

Earlier this year, Focus submitted a proposal for the Lac Knife Project under the DoW's Defense

Industrial Base Consortium ("DIBC") solicitation, "

RPP-CM-26-01 - Domestic Processing Capabilities

of Critical Minerals

," which seeks to strengthen domestic and allied critical mineral supply chains

supporting U.S. defence applications.

The Proposal presented Lac Knife as the foundation of a secure North American graphite supply chain,

supported by the Project's high-grade Canadian natural graphite resource, completed

2023 NI 43-101

Feasibility Study

, scalable development profile and established transportation infrastructure. It also

contemplated downstream upgrading with a proven U.S. project partner as part of an integrated cross-

border supply-chain strategy.

The Company believes the Proposal supports the objectives of the initiative and reflects the same

strategic priorities reinforced by the Executive Order. Focus will provide further updates, as appropriate,

regarding the U.S. Government's ongoing evaluation process.

An Integrated North American Graphite Platform

Focus's integrated North American graphite platform combines three core capabilities that support

secure allied supply chains:

Premium Graphite Resources

- Lac Knife, North America's highest-grade natural flake graphite

project with a completed Feasibility Study, and Lac Tetepisca, one of the largest graphite resources in

the Americas, provide a unique combination of near-term development readiness and long-term

resource scale, forming the foundation for a secure North American supply of natural graphite.

Advanced Purification

- Focus is advancing an electrothermal purification pathway designed to

produce ultra-high-purity graphite while eliminating the acids and halogen gases associated with

conventional chemical purification.

Advanced Materials Development

- Focus is advancing downstream qualification programs across

battery, defence, nuclear and other advanced industrial applications. Through strategic partnerships,

including collaborations with U.S.-based technology partners Charge CCCV LLC ("

C4V

") and Forge

Nano Inc. ("

Forge Nano

"), the Company is evaluating pathways to battery anode materials and other

high-value graphite products.

Recent testing demonstrated that Lac Knife graphite concentrate can be thermally purified to 99.9996

wt.% carbon purity (5N+)

,

highlighting its suitability as a premium feedstock for evaluation in demanding

defence, nuclear, energy storage and other advanced industrial applications.

"The opportunity begins with premium graphite concentrate but extends far beyond it," said Jason

Latkowcer, Vice President, Corporate Development. "Lac Knife's exceptional grade gives us the

flexibility to create value at multiple points across the supply chain, from premium concentrate to qualified

advanced materials. Our grade creates optionality. Our strategy creates value."

Focus's integrated North American graphite platform has also been supported by approximately C$15.4

million in non-dilutive funding commitments from the Government of Canada, including support for

electrothermal graphite purification technology and critical infrastructure planning for the Lac Knife

Project.

Looking Forward

Focus will continue advancing Lac Knife through permitting and toward its potential development as one

of North America's next producing graphite mines. The Company will also advance engineering of its

electrothermal purification technology, progress technical studies at Lac Tetepisca and expand

engagement with U.S. government stakeholders and defence, technology and industrial partners to

support customer qualification and strengthen secure North American and allied graphite supply chains.

Qualified Person

The technical content disclosed in this news release was reviewed and approved by Rejean Girard,

P.Geo. (QC), President of IOS Geosciences Inc., a consultant to the Company, and a qualified person

as defined under National Instrument NI-43-101.

About Focus Graphite Advanced Materials Inc.

Focus Graphite Advanced Materials is redefining the future of critical minerals with two 100% owned

world-class graphite projects and cutting-edge battery technology. Our flagship Lac Knife project stands

as one of the most advanced high-purity graphite deposits in North America, with a fully completed

feasibility study. Lac Knife is set to become a key supplier for the battery, defense, and advanced

materials industries.

Our Lac Tetepisca project further strengthens our portfolio, with the potential to be one of the largest and

highest-purity and grade graphite deposits in North America. At Focus, we go beyond mining - we are

pioneering environmentally sustainable processing solutions and innovative battery technologies,

including our patent-pending silicon-enhanced spheroidized graphite, designed to enhance battery

performance and efficiency.

Our commitment to innovation ensures an eco-friendly supply chain from mine to market. Collaboration is

at the core of our vision. We actively partner with industry leaders, research institutions, and government

agencies to accelerate the commercialization of next-generation graphite materials. As a North

American company, we are dedicated to securing a resilient, locally sourced supply of critical minerals -

reducing dependence on foreign-controlled markets and driving the transition to a sustainable future.

For more information on Focus Graphite Inc. please visit

http://www.focusgraphite.com

LinkedIn:

https://www.linkedin.com/company/focus-graphite/

Facebook:

https://www.facebook.com/focusgraphite

X:

https://x.com/focusgraphite

Investors Contact:

Dean Hanisch

CEO, Focus Graphite Inc.

[email protected]

+1 (613) 612-6060

Jason Latkowcer

VP Corporate Development

[email protected]

Cautionary Note Regarding Forward-Looking Statements

Certain statements contained in this press release constitute forward-looking information. These

statements relate to future events or future performance. The use of any of the words "could," "intend,"

"expect," "believe," "will," "projected," "estimated," and similar expressions, as well as statements

relating to matters that are not historical facts, are intended to identify forward-looking information and

are based on the Company's current beliefs or assumptions as to the outcome and timing of such

future events.

In particular, this press release contains forward-looking information regarding, among other things:

the anticipated implications of the White House Executive Order and related U.S. critical minerals

policies; the Company's proposal submitted under the U.S. Department of War's Defense Industrial

Base Consortium ("DIBC") solicitation and the ongoing evaluation thereof; the advancement of the

Lac Knife Graphite Project, including permitting, engineering, infrastructure development and

potential future construction and production; the advancement of the Lac Tetepisca Graphite Project

and related technical studies; the advancement, scale-up and commercialization of the Company's

electrothermal graphite purification technology; the production of high-purity and ultra-high-purity

graphite and other value-added graphite materials; the qualification, validation and commercialization

of the Company's graphite products for defence, nuclear, battery, energy storage, advanced

manufacturing and other industrial applications; the development of integrated Canada-U.S., North

American and allied graphite value chains; the receipt and utilization of government funding and

support programs; the Company's ability to establish and expand strategic partnerships, customer

relationships, qualification programs, supply agreements, offtake arrangements and other

commercial opportunities; and the timing, scope and results of future technical programs, engineering

activities, customer evaluations and commercial initiatives.

Forward-looking information is based on a number of assumptions that management believes are

reasonable as of the date of this press release, including assumptions regarding the continued

advancement of the Company's projects; the availability of financing and government support; the

successful development of strategic partnerships and customer relationships; the performance and

commercialization of the Company's technologies; continued demand for secure allied critical

mineral supply chains; the timely receipt of regulatory approvals and permits; and prevailing

economic, market and regulatory conditions.

Forward-looking statements are subject to known and unknown risks, uncertainties and other factors

that may cause actual results, performance or achievements to differ materially from those expressed

or implied by such statements. These risks include, but are not limited to: the possibility that the

Company's proposal submitted under the DIBC solicitation will not result in additional evaluation,

negotiations, funding, contract awards or other governmental support; changes in government

policies, priorities or procurement programs; changes in economic, financial or market conditions; the

availability of financing on acceptable terms or at all; risks associated with mineral exploration, project

development, permitting, engineering, commercialization and operations; the performance and

scalability of the Company's technologies; the ability to establish commercial relationships and

strategic partnerships; and the other risks described from time to time in the Company's public

disclosure documents available under its profile on SEDAR+.

Readers are cautioned not to place undue reliance on forward-looking information. The forward-

looking information contained in this press release is made as of the date hereof, and the Company

undertakes no obligation to update or revise any forward-looking information, whether as a result of

new information, future events or otherwise, except as required by applicable securities laws.

Neither TSX Venture Exchange nor its Regulation Services accepts responsibility for the adequacy or

accuracy of this release.

To view the source version of this press release, please visit

https://www.newsfilecorp.com/release/306223