First Canadian Graphite Inc. (TSX-V:FCI) ( OTCQB:GRAPF) has successfully completed its Phase I exploration program on the new Zone 13 discovery at the Lac Guéret South Project in Québec’s Côte-Nord region. It has also strategically expanded its mineral claims at the project.

Field crews have confirmed graphite mineralization over a strike length of 3.3 kilometres within the previously untested kilometre-scale electromagnetic conductor. Systematic mapping, prospecting, and grab sampling have successfully delineated promising graphite showings along the target.

The Company collected a total of 46 grab samples from Zone 13. These samples have been submitted to ALS Global for expedited assaying, with results expected in the coming weeks. Please see Figure 1 for a map of Zone 13 indicating the locations where the grab samples were collected.

“We are very encouraged by the results from our first pass on Zone 13,” said John LaGourgue, CEO of the Company. “We’re looking forward to getting the assay results back from the lab, and in the meantime we’ll be on the site again in the first week of August for Phase II of our summer exploration program, which will methodically follow up on Phase I and build strong momentum toward our planned late-fall drilling campaign.”

Property Expansion

To secure the full extent of the conductor, the Company has staked additional claims to the east and has entered into an option agreement to acquire additional claims to the north. Please see Figure 2 for a map illustrating the new claim locations.

Option Agreement Terms

The Company has entered into an option agreement dated July 15, 2026 with 2 local prospectors for the right to earn a 100% interest in 51 contiguous mining claims located in Northern Quebec. To earn a 100% interest, the Company has agreed to pay $30,000 cash, issue an aggregate of 1,200,000 common shares at a deemed price of $0.40 CAD per share, and incur or fund $500,000 in exploration expenditures, as follows:

• payment of $30,000 cash and issue 200,000 common shares on TSX approval;
• 250,000 common shares on or before the first anniversary ;
• 300,000 common shares on or before the second anniversary;
• 450,000 common shares on or before the third anniversary; and
• Incur a total of not less than $500,000 in exploration expenses by the third anniversary of the agreement

In addition, the Company has agreed to pay the following milestone bonus payments (payable in cash and/or share equivalent at the Company’s discretion):

The terms of the option agreement are subject to the approval of the TSX Venture Exchange. All securities to be issued will be issued with the required four month plus one day hold period.

Due Diligence

Prior to formalizing the option agreement, the Company conducted a due diligence (DD) site visit at the Esbec Occurrence, which is the centre of interest on the optioned ground. During the visit, the FC graphite exploration team successfully located the discovery outcrop, observed and recorded sample markers on the main outcrop area from previous exploration, and collected an additional sample from a high-grade graphite occurrence.

This option agreement, if fully exercised, will increase the Company’s land package to 2,707.21 ha representing 51 contiguous mining claims in Northern Quebec.

Figure 1: Geophysical anomaly map of Zone 13, showing the 3.3 km strike length and locations of the 46 grab samples.

 Figure 2: Map of the current claim block, with newly staked claims to the east and the optioned claims to the north.

 Figure 3: Photographs of graphite-bearing outcrops on the newly optioned northern property.

Photographs of the graphite outcrops on both Zone 13 and the new optioned northern ground accompany this release and are available on the Company’s website (www.FCgraphite.com) and social media channels.

Results from the current sampling program, together with ongoing mapping and structural analysis, will be used to refine and prioritize drill targets for the Phase III program (including mechanical stripping and channel sampling) and the planned diamond drilling campaign in late fall 2026.

Antoine Fournier, M.Sc., géo, Vice President Exploration for FC graphite and a Qualified Person (the “Qualified Person”) under National Instrument 43-101 – Standards of Disclosure for Mineral Projects has not verified the historical estimates noted herein.

The historical estimate is not considered a current mineral resource or mineral reserve, and sufficient work has not been completed by the Qualified Person to classify the historical estimate as a current mineral resource or mineral reserve, if such is the case under National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

Previous management filed a NI 43-101 Technical Report with a detailed Mineral Resource Estimate for the Lac Guéret South Project (formerly known as the Berkwood Project) completed by independent experts Edward Lyons (Tekhne Resources), Florent Baril (Bumigeme), and Claude Duplessis (Goldminds Geoservices). For the full report and updates visit https://FCGraphite.com or under the Company’s profile at the SEDAR website at https://SedarPlus.ca.

Qualified Person

The technical information in this news release has been reviewed and approved by Antoine Fournier, M.Sc., géo, Vice President Exploration for FC graphite and a Qualified Person under National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

About FC graphite

FC graphite is engaged in the exploration of critical minerals and is committed to advancing its Lac Guéret South high-grade graphite property to support applications in energy transition and advanced technologies.

The Lac Guéret South Project, formerly known as the Berkwood Project, borders Nouveau Monde Graphite’s Uatnan graphite project in the southwest Manicouagan reservoir area, 234 km north-northwest of Baie-Comeau, in the Côte-Nord administrative region of Québec on the Nitassinan (ancestral territory) of the Pessamit Innu. Lac Guéret South features surface-exposed graphite and a historical NI 43-101 compliant resource at Zone 1 containing: 1.76 million tonnes indicated at 17% Cg and 1.53 million tonnes inferred at 16.4% Cg (NI 43-101 Technical Report Mineral Resource Estimate). The property also features several other zones with surface graphite samples, offering strong exploration potential. In early 2026, the Company increased its land holdings to 167 km², establishing one of the most extensive claim portfolios within the Lac Guéret Graphite District. With substantial exploration opportunities remaining and total investments exceeding $10 million, FC graphite is actively engaged in expanding its resources and advancing toward the completion of its Preliminary Economic Assessment (PEA). The Company possesses sufficient funding to further advance this project throughout 2026.

Pessamit Innu First Nation Engagement

FC graphite formally acknowledges that the Lac Guéret South Project is situated within the Nitassinan (ancestral territory) of the Pessamit Innu First Nation. The Company remains dedicated to cultivating respectful, transparent, and cooperative relationships with local Indigenous communities at every stage of the project’s development.