Nouveau Monde Graphite Inc. and Panasonic Energy Co. Ltd., have entered into a binding offtake agreement (the ?Offtake Agreement?) pursuant to which NMG will supply 18,000 tonnes per annum of its planned Phase-2 active anode material production to Panasonic Energy for an initial period of seven years. In addition to the Offtake Agreement, NMG and Panasonic also entered into a subscription agreement for Panasonic to make an initial USD 25 million equity investment in NMG to support the advancement of NMG?s Phase-2 operations ?

the Matawinie Mine and the Bécancour Battery Material Plant ? in line with Panasonic Energy?s specifications refined during the qualification process and technical collaboration. The binding Offtake Agreement covers the supply of a committed annual volume of 18,000 tonnes of active anode material by NMG to Panasonic Energy for an initial seven-year term from the commencement of the Company?s Phase-2 production.

The sales price will be based on an agreed upon price formula linked to future prevailing market prices as well as a pricing mechanism to satisfy project financing ratios and ensure stable procurement for Panasonic Energy. The Offtake Agreement is subject to conditions precedent which are standard for a project of this nature, including among others, the successful start of commercial operation and final product qualification. The Offtake Agreement contains standard termination rights for an agreement of this nature.

Through this Offtake Agreement, Panasonic Energy is set to leverage NMG?s fully integrated North American production, carbon neutrality profile, and proactive ESG practices for the establishment of a reliable, local, and responsible battery manufacturing value chain. The Company?s active anode material complies with the U.S. Government?s Inflation Reduction Act battery material sourcing requirements for EV subsidies.