Northern Graphite Corporation announced the results of a new preliminary economic assessment ("PEA") that evaluated moving the processing plant for its Namibian operations located at Okorusu to the Okanjande mine rather than rehabilitating the mill in its current location. The PEA indicates that economics remain attractive under the new plan, with higher capital costs but lower operating costs. In addition, greenhouse gas (" GHG") emissions are reduced, sustainability is improved, and the expansion potential of the project is substantially enhanced.

The PEA, issued July 31, 2023, was prepared by CREO Engineering Solutions and confirms the viability of moving milling operations directly to the Okanjandande mine site, which eliminates the cost of trucking mineralized material 70km to Okorusu. This allows for a more sustainable operation that also includes the use of solar power and lower water consumption. Graphite from Okanjande will also supply traditional markets, from refractory bricks for steelmaking, to heat management in consumer electronics, to friction and lubrication products for the global automobile industry.

The Okanjande deposit hosts a weathered resource of 5.9Mt containing 248kt of graphite in the measured and indicated category and 0.5Mt of inferred resources containing 17kt graphite, a transitional resource of 1.2Mt containing 53kt of graphite in the measuring and indicated categories and 0.1Mt of inferred resources containing 2kt of graphite (@2.6% TCG cut-off grade and $1,250/t graphite price for weathered and transitional) and a fresh rock resource of 24.2Mt containing 1.3Mt of graphite in the measured & indicated categories and 7.2Mt of inferred resources with 0.4Mt of contained graphite (@3.1% TGC cut-off grade and $1,250/t graphite prices). The PEA is based on only processing 6.1MT of measured and indicated resources (34Mt of contained graphite), producing an average of 31,000 tonnes per year of concentrate over a 10-year mine life. Northern has filed a technical report relating to the PEA.