NextSource Materials Provides Molo Mine Update

Begins Transporting SuperFlake® Graphite Concentrate to Port for Export

TORONTO, August 7, 2024 - Nextsource Materials Inc. (TSX:NEXT)(OTCQB:NSRCF) ("NextSource" or "the Company") is pleased to announce the completion of the planned screening equipment upgrades at its Molo Graphite Mine (the "Molo mine") in southern Madagascar.

The Company has successfully upgraded equipment in the screening circuit to sort SuperFlake® graphite concentrate into individual size fractions to meet customer specifications. The Molo mine is now meeting or exceeding recovery and grade expectations and consistently producing SuperFlake® concentrate at a carbon content of between 95% and 97%.

During the screen installation, additional process plant upgrades were also carried out at the Molo mine that the Company believes will further enable sustainable and enhanced recoveries going forward. As a result, plant stability has been optimized and the operation is well positioned ahead of its planned Phase 2 future expansion.

The Company is now transporting saleable SuperFlake® concentrate from the Molo mine to the Port of Tulear in preparation for export.

President and CEO Craig Scherba commented,

"The team have delivered on the opportunity to capitalize on the quality of the Molo graphite deposit by improving recoveries and grades. Having previously shipped test material for qualification, we are now producing high quality, saleable graphite concentrate. This leaves NextSource well positioned to meet the specifications required by different customers and builds confidence in the resilience of our future production profile as we look towards Phase 2 expansion."

About NextSource Materials Inc.

NextSource Materials Inc. is a battery materials development company based in Toronto, Canada that is intent on becoming a vertically integrated global supplier of battery materials through the mining and value-added processing of graphite and other minerals.

The Company's Molo graphite project in Madagascar is one of the largest known and highest-quality graphite resources globally, and the only one with SuperFlake® graphite. The Molo mine has begun production, with Phase 1 mine operations currently being optimized to reach its nameplate production capacity of 17,000 tpa of graphite concentrate.

The Company is also developing a significant downstream graphite value-add business through the staged rollout of Battery Anode Facilities capable of large-scale production of coated, spheronized and purified graphite for direct delivery to battery and automotive customers, outside of existing Asian supply chains, in a fully transparent and traceable manner.

NextSource Materials is listed on the Toronto Stock Exchange (TSX) under the symbol "NEXT" and on the OTCQB under the symbol "NSRCF".

For further information about NextSource, please visit our website at nextsourcematerials.com or contact us:

Investors: Brent Nykoliation Executive Vice President +1.416.364.4911 brent@nextsourcematerials.com or Craig Scherba, President & CEO craig@nextsourcematerials.com

Media: Michael Oke/Andy Mills +44 207 321 0000 nextsource@aura-financial.com

Cautionary Note

This press release contains statements that may constitute "forward-looking information" or "forward-looking statements" within the meaning of applicable Canadian and United States securities legislation. Readers are cautioned not to place undue reliance on forward-looking information or statements. Forward looking statements and information are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "potential", "possible" and other similar words, or statements that certain events or conditions "may", "will", "could", or "should" occur. Forward-looking statements include any statements regarding, among others, timing of commissioning and achievement of nameplate capacity, including the processing plant, process improvements and mine plant adjustments as well as production estimates and timing thereof, the rollout of Battery Anode Facilities including the capabilities and the timing thereof. These statements are based on current expectations, estimates and assumptions that involve a number of risks, which could cause actual results to vary and, in some instances, to differ materially from those anticipated by the Company and described in the forward-looking statements contained in this press release. No assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur or, if any of them do so, what benefits the Company will derive there from. The forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the forward-looking statements, whether because of new information, future events or otherwise, except as may be required by applicable securities laws. Although the forward-looking statements contained in this news release are based on what management believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with them. These forward-looking statements are made as of the date of this news release and are expressly qualified in their entirety by this cautionary statement. Subject to applicable securities laws, the Company does not assume any obligation to update or revise the forward-looking statements contained herein to reflect events or circumstances occurring after the date of this news release.

SOURCE: NextSource Materials Inc.