SRG Reports Successful Processing of 200t at SGS Lakefield Pilot Plant

Research Agreement with McGill University for Graphite Processing Innovation

MONTREAL, April 9, 2019 -  SRG Graphite Inc. (TSXV: SRG) ("SRG" or the "Company") is pleased to report the results of its 200-tonne ("t") piloting project at SGS Canada. From the 200t processed, 12.8t of graphite flakes were produced at an average grade of 96.8% total carbon ("Ct"). With this graphite in hand, the Company will be better positioned to secure offtake agreements as it continues its sales efforts with its various clients in North America, Europe, and Asia.

The Company is also pleased to announce that a 3-year research agreement has been signed with McGill University to further develop its graphite processing techniques. Areas of study will include conventional mineral processing technologies and the application of new or existing hydrochemical processes to further purify graphite flakes.

Pilot plant results:

In 2018, the Company extracted 200t of surface mineralised material throughout the Lola Graphite deposit and sent it to SGS Canada for processing. The purpose of this piloting was to produce graphite flakes of various size fractions for business development as well as to validate the metallurgical response of surface mineralised material. Figure 1 provides a map of the pits sampled to collect the 200t of material. Achieved results are summarized below:

• 200t of material were processed at SGS Canada;
• 12.8t of graphite flakes were produced, excluding samples removed for tests;
• Graphite flakes are at an average grade of 96.8% Ct;
• Flake distribution of:
• • 13% +48mesh;
  • 26% +80mesh;
  • 12% +100mesh;
  • 49% <100mesh;
• Flotation recovery of 85%.

"The successful processing of 200t of material from our deposit was an important validation of the metallurgical response of the Lola Graphite mineralised material. In addition to our metallurgical laboratory on site at Lola, the resulting 12.8 tonnes of graphite flakes from the piloting will contribute to the marketing of our product. We are now in a position to provide large quantities of our product to clients interested qualifying our graphite flakes in their manufacturing process", said Raphaël Beaudoin, VP Operations.

Research agreement with McGill University

Given graphite is a key component of lithium-ion batteries and part of the fast-growing energy metals space, SRG is constantly evaluating how to be ahead of the industry on mineral processing in a sustainable way. By engaging with McGill University on a three-year research agreement, both conventional and new processing routes will be evaluated for further graphite purification.

"This partnership agreement with McGill will help ensure we approach our process development from every angle. As we are finalizing our mineral processing flowsheet for our feasibility study, research with McGill University will focus on future process innovations," said Raphaël Beaudoin, VP Operations.

"The department of Mining and Materials Engineering of McGill University is delighted to be collaborating with SRG on optimising the flotation process of the Lola graphite deposit," said Professor Waters. "With graphite becoming critical in many fields, not least in batteries for electric vehicles, it is imperative that high grade graphite can be produced in a sustainable manner, and it is excellent that SRG are of the same opinion when it comes to sustainable processing."

More information on the Mineral Processing Research Group at McGill University can be found at www.mcgill.ca/minpro

The technical information in this release has been reviewed and approved by Raphaël Beaudoin, P. Eng, VP Operation at SRG, and a "qualified person" as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects.

ABOUT SRG

SRG is a Canadian-based company focused on developing mineral deposits located in the Republic of Guinea, West Africa. SRG is committed to operating in a socially, environmentally, and ethically responsible manner.

For additional information, please visit SRG's website at www.srggraphite.com. 

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

This press release contains "forward-looking information" within the meaning of Canadian securities legislation. All information contained herein that is not clearly historical in nature may constitute forward-looking information. Generally, such forward-looking information can be identified by the use of forward-looking terminology such as "ensure", "secure", "positioned", "demonstrate", or variations of such words and phrases or state that certain actions, events or results "will", "may", "could", "would" or "might". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: (i) volatile stock price; (ii) the general global markets and economic conditions; (iii) the possibility of write-downs and impairments; (iv) the risk associated with exploration, development and operations of mineral deposits; (v) the risk associated with establishing title to mineral properties and assets; (vi) fluctuations in commodity prices and other risks and factors described or referred to in the section entitled "Risk Factors" in the MD&A of the Company and which is available at www.sedar.com, all of which should be reviewed in conjunction with the information found in this news release.

Forward-looking information is based on assumptions management believes to be reasonable at the time such statements are made, including but not limited to, continued exploration activities and no material adverse change in mineral prices. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such forward-looking information. Such forward-looking information has been provided for the purpose of assisting investors in understanding the Company's business, operations and exploration plans and may not be appropriate for other purposes. Accordingly, readers should not place undue reliance on forward-looking information. Forward-looking information is given as of the date of this press release, and the Company does not undertake to update such forward-looking information except in accordance with applicable securities laws.

SOURCE SRG Graphite