Mr. Craig Nicol reports

GMG ANNOUNCES 48% INCREASE IN ENERGY DENSITY, DOUBLING OF CYCLE LIFE AND 94% ENERGY EFFICIENCY FOR 6 MINUTE FAST CHARGE

Graphene Manufacturing Group Ltd. has provided the latest progress update on the next-generation graphene battery technology being developed by Graphene Manufacturing under a joint development agreement with Rio Tinto, one of the world's largest metal and mining groups, and with the support of the Battery Innovation Center of Indiana in the United States.

Graphene Manufacturing is pleased to share the following cycling data of Graphene Manufacturing's fast-charging GCELLS (1.5-ampere-hour cells with six-minute charging), with energy density and energy efficiency graphs. These data were collected by the BIC on cells that were made by the BIC with materials that were developed, manufactured and supplied by Graphene Manufacturing in its Brisbane battery development centre.

The GCELLS also show a 94-per-cent energy efficiency, which is high especially at such a high charge and discharge rate -- when compared with the 64-per-cent energy efficiency of the tested LTO.

Bob Galyen, Graphene Manufacturing director and former chief technology officer of CATL, commented: "The cycling stability we are seeing from these GCELLS is genuinely exceptional. Reaching 1,000 cycles with no performance reduction, while every cycle is charged and discharged in six minutes, stands in stark contrast to the LTO benchmark cell. LTO is regarded as one of the most robust fast-charging chemistries on the market today, yet it degraded to 80 per cent of its original capacity within 82 cycles under the same six-minute charge and discharge time. Just as important is the 94-per-cent energy efficiency at these high rates, compared with 64 per cent for the LTO cell. Energy that is not lost as heat is what makes fast charging practical at the system level. Having built and scaled battery manufacturing for the world's largest lithium-ion producer, I know how rare it is to see fast-charge durability, high efficiency and rising energy density together this early in a cell's development. There is further work ahead on extending cycle life at 10 C and scaling the cell size, but the fundamentals being demonstrated here are the right ones to be solving first."

Craig Nicol, chief executive officer and managing director of Graphene Manufacturing, commented: "This data set from BIC is an important proof point for our graphene battery program. Since our last update, we have doubled cycle life to 1,000 cycles with no performance reduction and lifted energy density by 48 per cent to 58 watt-hours per kilogram at a 10 C charge rate. We have also achieved 94-per-cent energy efficiency, all while charging and discharging in six minutes. Fast charging is one of the biggest barriers to broader electric vehicle and energy storage adoption. These results show GCELLS lasting around 10 times longer than a comparable LTO cell charged and discharged in the same time. Our focus now is on continuing to improve energy density and 10 C cycle life and on scaling to larger cell formats. I want to thank the team at BIC and our partners at Rio Tinto for their continued collaboration as we progress this technology along the road map."

Jack Perkowski, chairman of Graphene Manufacturing, commented: "Battery development of this kind requires patient capital, disciplined engineering and world-class partners, and this update reflects progress on all three fronts. Since our last update, cycle life has doubled and energy density has risen by 48 per cent. This data was generated by BIC, an organization with over 10 years of experience and more than 500 battery development projects behind it, on cells built with GMG's graphene materials. That gives the board real confidence in the direction of this program. Combined with the ongoing support of Rio Tinto, I believe GMG is building the right foundations to advance this technology toward commercial relevance. The board will continue to support management as they work through the optimization and scale-up steps ahead."

About Graphene Manufacturing Group Ltd.

Graphene Manufacturing is an Australian-based clean-technology company which develops, makes and sells energy saving and energy storage solutions, enabled by graphene manufactured through in-house production process. Graphene Manufacturing uses its own proprietary production process to decompose natural gas (that is, methane) into its natural elements, carbon (as graphene), hydrogen and some residual hydrocarbon gases. This process produces high-quality, low-cost, scalable, tunable and low/no-contaminant graphene suitable for use in clean-technology and other applications.

The company's present focus is to derisk and develop commercial scale-up capabilities and secure market applications. In the energy savings segment, Graphene Manufacturing has initially focused on graphene enhanced heating, ventilation and air conditioning coating (or energy saving coating), which is being marketed into other applications, including electronic heat sinks, industrial process plants and data centres. Another product Graphene Manufacturing has developed is the graphene lubricant additive focused on saving liquid fuels initially for diesel engines. Graphene Manufacturing has also developed a graphene water-based coolant additive focused on increasing heat transfer and reducing bacterial growth in cooling water circuits.

In the energy storage segment, Graphene Manufacturing is working collaboratively with financial support from the Australian government to progress research and development and commercialization of Graphene Manufacturing graphene batteries. Graphene Manufacturing has also developed a graphene additive slurry that is aimed to improve the performance of lithium-ion batteries.

Graphene Manufacturing's four critical business objectives are:

1. Produce graphene and improve/scale cell production processes;
2. Build revenue from energy savings products;
3. Develop next-generation battery;
4. Develop supply chain, partner and project execution capability.

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