Facility gives working-capital flexibility to bridge reimbursement timing underneath greater than C$15 million of beforehand introduced non-dilutive federal funding
Ottawa, Ontario – Newsfile Corp. – September 14, 2026 – Focus Graphite Inc. (TSXV: FMS) (OTCQB: FCSMF) (FSE: FKC0) (“Focus” or the “Firm“), a Canadian developer of high-grade flake graphite deposits and superior graphite supplies for battery, defence and industrial functions, is happy to announce that it has established a secured revolving line of credit score facility of as much as C$2.0 million (the “Facility“) with Canadian Imperial Financial institution of Commerce (“CIBC“). 
The Facility gives Focus with extra working-capital flexibility because the Firm advances work packages supported by beforehand introduced non-dilutive authorities funding agreements. Particularly, the Facility is meant to assist bridge the timing between Focus’s cost of eligible challenge expenditures, the following submission and overview of claims underneath relevant contribution agreements, and the receipt of corresponding authorities contributions.
Focus has secured greater than C$15 million in beforehand introduced non-dilutive federal funding to assist growth of its Lac Knife Graphite Mission and downstream graphite-processing initiatives. This contains as much as roughly C$14.1 million in non-repayable funding from Pure Sources Canada (“NRCan“) underneath the World Partnerships Initiative (“GPI“), introduced December 8, 2025, and as much as C$1,378,700 in non-repayable funding underneath NRCan’s First and Final Mile Fund (“FLMF“), introduced June 3, 2026.
The GPI funding helps Focus’s program to advance electrothermal purification of Canadian pure flake graphite and the event, piloting and demonstration of ultra-high-purity graphite manufacturing capabilities. The FLMF funding helps engineering, environmental, allowing, Indigenous engagement and feasibility actions related to deliberate highway and electrical infrastructure serving the Firm’s Lac Knife Graphite Mission in Quebec.
As these packages transfer additional into energetic execution, Focus expects the dimensions and frequency of eligible expenditures to extend. The Facility is meant to supply liquidity through the interval between the Firm’s cost of qualifying challenge prices and receipt of eligible authorities contributions, permitting capital to be recycled as reimbursements are acquired whereas sustaining continuity throughout funded work packages. All funding stays topic to the phrases, eligible expenditure necessities and reimbursement procedures of the relevant contribution agreements.
Importantly, no frequent shares, warrants or different securities of Focus have been issued in reference to the Facility. The Firm believes the addition of standard financial institution financing gives larger flexibility to handle short-term working-capital necessities whereas decreasing the necessity to entry the fairness markets solely to bridge reimbursement timing.
Dean Hanisch, Chief Govt Officer of Focus Graphite, commented, “The dimensions of non-dilutive authorities funding Focus has secured creates an essential alternative to advance Lac Knife, associated infrastructure and our downstream know-how packages whereas preserving shareholder capital. As a result of these contribution packages usually require eligible expenditures to be incurred earlier than reimbursement is acquired, this revolving facility offers us an environment friendly solution to bridge that timing distinction and preserve momentum throughout our funded work packages. Our intention is to make use of the Facility as a working-capital bridge, cut back borrowings as permitted authorities contributions are acquired and recycle that availability into subsequent phases of labor the place acceptable. Including standard financial institution credit score offers us larger monetary flexibility with out issuing fairness or warrants and helps our broader goal of minimizing pointless shareholder dilution as we execute on these packages.”
CIBC Revolving Credit score Facility
Underneath the Facility, Focus has entry to a revolving demand line of credit score of as much as C$2.0 million. Quantities drawn underneath the Facility bear curiosity at CIBC’s Prime Charge plus 2.00% each year. Principal quantities borrowed and subsequently repaid could also be re-borrowed, offering Focus with flexibility to handle recurring working-capital necessities as its funded packages progress.
Quantities excellent underneath the Facility are repayable on demand. The Facility is secured by a primary safety curiosity over the current and after-acquired private property of Focus Graphite Inc. and is supported by a vast assure from the Chairman of Focus Graphite.
The Facility could also be used for day-to-day money stream necessities, together with working capital related to the timing of expenditures and reimbursements underneath the Firm’s government-supported packages, in addition to for common company working-capital functions.
Whereas the Facility is meant to scale back the Firm’s reliance on fairness financing for these short-term necessities, it doesn’t preclude Focus from accessing the fairness markets or different sources of capital sooner or later the place the Firm determines such financing is suitable to advance its broader growth technique.
About Focus Graphite Superior Supplies Inc.
Focus Graphite is constructing an built-in graphite platform to produce the industries shaping the longer term. Via the event of world-class graphite sources, superior processing applied sciences and higher-value superior supplies, the Firm is positioning itself to assist battery, defence, superior manufacturing and different strategic industries throughout North America and allied markets.
The platform is anchored by the Firm’s two 100%-owned graphite belongings in Quebec. Lac Knife is considered one of North America’s highest-grade feasibility-stage graphite deposits, whereas Lac Tetepisca is likely one of the largest recognized graphite sources globally. Along with strategic know-how partnerships and government-supported innovation initiatives, these belongings present the muse for a safe, scalable and more and more built-in graphite provide chain.
For extra info on Focus Graphite Inc., please go to http://www.focusgraphite.com
LinkedIn: https://www.linkedin.com/firm/focus-graphite/
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Traders Contact:
Dean Hanisch
CEO, Focus Graphite Inc.
dhanisch@focusgraphite.com
+1 (613) 612-6060
Jason Latkowcer
VP Company Growth
jlatkowcer@focusgraphite.com
Cautionary Observe Concerning Ahead-Trying Statements
Sure statements contained on this press launch represent forward-looking info. These statements relate to future occasions or future efficiency. Using any of the phrases “may,” “intend,” “anticipate,” “consider,” “will,” “projected,” “estimated,” and comparable expressions, in addition to statements referring to issues that aren’t historic info, are meant to determine forward-looking info and are based mostly on the Firm’s present beliefs or assumptions as to the end result and timing of such future occasions.
Particularly, this press launch comprises forward-looking info relating to, amongst different issues, the Firm’s meant use of the C$2.0 million revolving credit score facility with CIBC; the Firm’s skill to attract, repay and re-borrow quantities underneath the Facility in accordance with its phrases; using the Facility to assist working-capital necessities and to bridge the timing between the incurrence and cost of eligible challenge expenditures and the submission, overview and receipt of corresponding authorities contributions; the anticipated timing, availability and receipt of reimbursements underneath beforehand introduced funding agreements with Pure Sources Canada, together with the World Partnerships Initiative and First and Final Mile Fund; the Firm’s skill to fulfill relevant eligibility, reporting, reimbursement and different necessities underneath these funding agreements; the continued development and execution of labor packages supported by such non-dilutive authorities funding, together with actions associated to the Lac Knife Graphite Mission, related infrastructure and the Firm’s downstream graphite purification initiatives; the Firm’s expectations relating to the dimensions and timing of expenditures underneath these packages; the potential for the Facility to supply extra monetary and working-capital flexibility, preserve continuity throughout funded work packages and cut back the Firm’s must entry the fairness markets solely to bridge reimbursement timing; the Firm’s skill to scale back borrowings as authorities contributions are acquired and to recycle availability underneath the Facility into subsequent phases of labor the place acceptable; and the Firm’s future capital necessities and talent to entry fairness financing, debt financing or different sources of capital the place the Firm determines such financing is suitable to advance its broader growth technique.
Ahead-looking statements are topic to identified and unknown dangers, uncertainties, and different elements that will trigger precise outcomes, efficiency, or achievements to vary materially from these expressed or implied by such statements. These dangers and uncertainties embrace, however will not be restricted to, dangers associated to market circumstances, regulatory approvals, modifications in financial circumstances, the flexibility to lift enough funds on acceptable phrases or in any respect, operational dangers related to mineral exploration and growth, and different dangers detailed on occasion within the Firm’s public disclosure paperwork out there underneath its profile on SEDAR+.
The forward-looking info contained on this launch is made as of the date hereof, and the Firm just isn’t obligated to replace or revise any forward-looking info, whether or not because of new info, future occasions, or in any other case, besides as required by relevant securities legal guidelines. Due to the dangers, uncertainties, and assumptions contained herein, traders mustn’t place undue reliance on forward-looking info.
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The issuer is solely chargeable for the content material of this announcement.
