Eagle Graphite Incorporated has entered into a binding Letter of Intent ("LOI") restructuring the terms of approximately USD 2.4 mln of secured debt associated with a supply agreement that has remained unfulfilled since 2013. The LOI, signed on May 5, 2022, provides for Eagle to: Make three payments of USD 75,000 by July 31, 2022, September 30, 2022, and March 31, 2023, respectively. Make available for pick up, from inventory, 30 tonnes of graphite by June 30, 2022.

(The agreed value of the shipped graphite will be deducted from the total amount due.) Repay the balance of the outstanding principal of USD 1,532,000 by September 30, 2023. Upon satisfaction of a. through c. above the debt would be considered fully paid. Furthermore, providing payments are made as scheduled: The purchaser has agreed to forbear from enforcing its security, and Accumulated interest of more than USD 870,000 would effectively be forgiven.