• Letters of interest obtained thus far for a total of US$1 billion toward NMG’s Phase-2 project financing with ongoing solicitation of interest
• Targeted capital providers include Export Development Canada, Canada Infrastructure Bank, Export–Import Bank of the United States, and various governmental bodies, public institutions, and export credit agencies
• Related due diligence exercises well advanced in preparation for debt providers investment committee reviews with a view to reach FID
• NMG’s fully integrated Phase-2 graphite projects cater to current North American efforts to develop local and reliable supply chains for the battery and EV sector

Nouveau Monde Graphite Inc. (NYSE: NMG) (TSX: NOU) is firming up its project debt financing structure with the intended participation of syndicate institutional funds and export credit agencies for over US$1 billion toward the Company’s Phase-2 Matawinie Mine and Bécancour Battery Material Plant. NMG released earlier this year the NI 43-101 Updated Technical Feasibility Study Report for the Matawinie Mine and Bécancour Battery Material Plant Integrated Graphite Projects which confirmed the technical and economic viability of the Company’s projected integrated production of natural graphite and active anode material within a 150-km radius of Montréal, Québec, Canada, with an after-tax internal rate of return of 17.5% and net present value of US$1,053 million. NMG has since entered its project financing stage to bring its Phase 2 to a final investment decision.

Eric Desaulniers, Founder, President, and CEO of NMG, declared: “We have been extremely busy in the past weeks to present the results of our Updated Feasibility Study and engage with our financial stakeholders to advance our project financing. Feedback has been positive as demonstrated by the quality of lenders rallying behind our business plan. Economies around the world are seeking opportunities to relocate and secure critical minerals mining and processing to enable local manufacturing, economic resilience, energy autonomy, and national security.”

Financing Update

NMG has now received letters of interest from targeted capital providers totaling over US$1 billion in potential debt financing support. This milestone provides a foundation for NMG Phase-2 project financing and further solidifies the Company’s path toward FID. These letters of interest include:

• US$430 million from Export Development Canada, Canada’s export credit agency that specializes in providing financing solutions to support Canadian exporters in global markets with a special focus on sustainable, responsible and inclusive trade. EDC facilitated over US$7.6 billion in business activities supporting customers in the mining and metals sector in 2024, reinforcing its ongoing commitment to Canada’s critical minerals strategy and global resource leadership.
• US$172 million from Export–Import Bank of the United States (“EXIM”), the official export credit agency of the United States, who issued a letter of interest to NMG in support of securing access to critical minerals via a potential financing under EXIM’s Supply Chain Resiliency Initiative. The SCRI aims to diversify and strengthen U.S. supply chains, reduce dependency on the People’s Republic of China, and strengthen U.S. national and economic security, while protecting and creating American jobs.
• Over US$481 million from undisclosed parties. While specific terms remain confidential at this stage, these discussions reflect interest in the project’s strategic and economic significance.

The Company is advancing discussions with these various governmental bodies, public institutions, and export credit agencies to support the overall debt funding package.

The senior debt amount aligns with NMG’s financing projections, consistent with the anticipated debt-to-equity ratio for the project. Debt providers are contemplating long-term debt or guarantees with a maturity beyond 10 years, with no capital repayment during the construction period. The received letters of interest were provided to the Company by various parties and are non-binding; they express an interest and intent to work towards completing a final term sheet. Project financing also relies on the successful completion of equity financing with strategic investors as well as the completion of outstanding conditions precedent, including an updated project timeline, necessary to secure the purchase obligations under the offtake agreements with the anchor customers. While discussions between the various parties are ongoing, there is no guarantee or assurance that final agreements will be reached and/or funding will be provided to the Company.

Path to FID

The due diligence processes are progressing, supported by specialized advisory firms, which are proceeding concurrently to assess the corporate, technical, market, and ESG components of NMG’s planned Phase-2 operations and to guide financial stakeholders’ risk assessment. The due diligence outcomes will feed into the structuring of legal documentation and a project debt package ahead of investment committee reviews.

NMG is also advancing the project development of technical documentation in preparation for FID through engineering work, negotiation of contracts with key suppliers, preparation of call for tenders for construction, and value engineering, all with the objective of enabling an efficient execution upon financing close.

About Nouveau Monde Graphite

Nouveau Monde Graphite is an integrated company developing responsible mining and advanced processing operations to supply the global economy with carbon-neutral active anode material to power EV and renewable energy storage systems. The Company is developing a fully integrated ore-to-battery-material source of graphite-based active anode material in Québec, Canada. With recognized ESG standards and structuring partnerships with anchor customers, NMG is set to become a strategic supplier to the world’s leading lithium-ion battery and EV manufacturers, providing advanced materials while promoting sustainability and supply chain traceability.