South Star Battery Metals Announces Positive Production of Battery Grade Coated Spherical Purified Graphite

"We are pleased to continue announcing robust battery testing results," commented Richard Pearce, President and CEO of South Star. "The thermal purification process resulted in 99.9993 wt % C without any of the environmental, health and worker safety issues associated with application of hydrofluoric and hydrochloric acids, which are the standard chemicals used in conventional processing of battery grade graphite. Excellent quality uncoated and coated SPG suitable for LiB anodes was produced. Our spherical graphite testing resulted in yields of approximately 74%, which is twice the standard industry yield. The results indicate we would be very cost competitive with a less costly micronization process and exceptional spherical graphite yields. The latest testing highlights the high-quality, high-purity and low-contaminate nature of South Star's concentrates for value-add and purified graphite products. We will now be constructing battery cells and performing long-term cycle testing and optimizations."

Micronization Test Results

Purified graphite was successfully micronized using advanced pilot scale mechanical milling system outfitted with two air classification circuits. The latter technology was found to be preferable over micronization in cascading air jet mills. Specifically, Santa Cruz flake has demonstrated nearly twice higher throughput rate during the mechanical grinding and sizing, as compared to sizing rate in an air-mill of the same nominal size. During sizing step, the size of flakes was reduced to a range of 25 to 30 microns prior to spheroidization. Geometries and shape factors are adjusted based on the battery cell manufacturer's requirements and the inherent physical characteristics of the graphite.

Mechanical milling was effective in sizing of its flake and resulted in higher throughput, which translates into lower cost for the same energy input. It should be noted that a reference sample of flake graphite from Madagascar was milled on the same mill concurrently. Santa Cruz flake material ground at 23% faster than the reference material processed on the same mill to similar particle size distribution.

Figure 1: Scanning Electron Microscopy Image of Micronized South Star Flake

Uncoated SPG Test Results

Once the target sizing geometries have been achieved, uncoated SPG was produced, the micronized graphite was rolled and rounded into elliptical spheres in a specialized mill. The elliptical shapes are a preferred morphology for higher active loading densities in batteries. They are also preferred due to better rate capacities, safer and generally longer-life LiBs.

The safety aspect of LiBs deserves a standalone comment. Passing criteria for spherical uncoated graphite is defined by the BET (Brunauer, Emmett and Teller) surface area value. The latter has to be less than 10 m²/g for graphite to be considered promising in anode applications. Many uncoated graphites struggle to deliver such a BET surface area and that requires the application of thick exterior coatings as a way to mitigate this issue. By contrast, Santa Cruz spheroidal flake was determined to have BET values of 6.7 m²/g, which is indicative of the fact that this material will require rather thin surface coatings to make a successful anode for LiBs. Moreover, as much as 47.11 wt % of spheronized Santa Cruz graphite was measured to have tap density in the range from 1.02 to 1.16 g/cm³. An additional 26.9 wt % of spheroidal particles was harvested with the tap density of 0.9 g/cm3, which is a passing criterion for LiBs. Therefore, a combined total of 74.01 wt% of useable uncoated spheroidal purified graphite was harvested in the process of spheroidization of Santa Cruz natural flake. In contrast, typical yields of spheroidal product synthesized in the cascade milling circuits by Asian manufacturers of spherical graphite are 35-40 wt % spheres. It is worth noting that higher yield is a prerequisite to the cost leadership position of Santa Cruz natural graphite on the worldwide markets of advanced graphite products.

Figure 2: Scanning Electron Micrograph of Spherical Graphite (Intermediate Product)

Coated SPG Test Results

Finally, uncoated SPG was coated with a nanolayer of soft carbon and heat treated under a blanket of inert gas. The hardened coating provides a layer of protection from exfoliation and general degradation during the normal expansion and contraction cycles associated with charging and discharging. The coating also reduces ongoing reactions of electrolytes with the graphitic carbon, which results in a reduced battery life. Coated SPG is the basic raw material used to generate battery anodes by casting the coated SPG onto copper foils.

For this round of testing a D50 of 18 microns of purified graphite was produced. Future testing will include optimization of particle size and determining the electrochemical performance of Santa Cruz graphite in the battery cell environment. The results of the Coated SPG testing indicate excellent physiochemical properties for high-quality LiB anode materials. A summary is presented in Table 1 and Figures 2 and 3, below:

Table 1: Coated SPG Summary Characteristics (D50 = 18 microns)

Figure 3: Coated SPG (D50 = 18 microns) Particle Size Distribution

Figure 4: Scanning Electron Micrographs of Coated SPG

Figure 4: Scanning Electron Micrographs of Coated SPG

About South Star Battery Metals Corp.

South Star Battery Metals Corp. is Canadian Graphite developer focused on the selective acquisition and development of near-term production graphite projects in Brazil. South Star's Santa Cruz Graphite Project, located in Southern Bahia, and is the first of a series of industrial and battery metals projects that will be put into production. Brazil is the second-largest graphite-producing region in the world with more than 80 years of continuous mining. Santa Cruz has at-surface mineralization in friable materials, and successful large-scale pilot-plant testing (>30t) has been completed. The results of the testing show that approximately 65% of Cg concentrate is +80 mesh with good recoveries and 95-99% Cg. With excellent infrastructure and logistics, South Star is carrying its development plan towards Phase 1 production projected in Q4 2022, pending financing. South Star trades on the TSX Venture Exchange under the symbol STS, and on the OTCQB under the symbol STSBF.

South Star is committed to a corporate culture, project execution plan and safe operations that embrace the highest standards of ESG principles based on transparency, stakeholder engagement, ongoing education and stewardship.

To learn more, please visit the Company website at www.southstarbatterymetals.com.

This news release has been reviewed and approved by Richard Pearce, P.E., a "Qualified Person" under National Instrument 43-101 and President and CEO of South Star Battery Metals.

On behalf of the Board,

Mr. Richard Pearce
Chief Executive Officer

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CAUTIONARY STATEMENT

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

This news release and the Updated Technical Report contain references to inferred resources. The Report is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves.

Forward-Looking Information

The information contained herein contains "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements relate to information that is based on assumptions of management, forecasts of future results, and estimates of amounts not yet determinable. Any statements that express predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may be "forward-looking statements".

Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation: risks related to failure to obtain adequate financing on a timely basis and on acceptable terms; risks related to the outcome of legal proceedings; political and regulatory risks associated with mining and exploration; risks related to the maintenance of stock exchange listings; risks related to environmental regulation and liability; the potential for delays in exploration or development activities or the completion of feasibility studies; the uncertainty of profitability; risks and uncertainties relating to the interpretation of drill results, the geology, grade and continuity of mineral deposits; risks related to the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses; results of prefeasibility and feasibility studies, and the possibility that future exploration, development or mining results will not be consistent with the Company's expectations; risks related to commodity price fluctuations; and other risks and uncertainties related to the Company's prospects, properties and business detailed elsewhere in the Company's disclosure record. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Investors are cautioned against attributing undue certainty to forward-looking statements. These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the Company's expectations or projections.

SOURCE South Star Mining Corp.



Contact
CHF Capital Markets (IR Canada): Iryna Zheliasko, Manager, Phone: +1 416-868-1079 x229, Email: iryna@chfir.com; RBMG - RB Milestone Group LLC (IR US): Trevor Brucato, Managing Director, Email: southstar@rbmilestone.com; Mr. Dave McMillan, Chairman, Email: davemc@telus.net