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

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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.

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