BATTERY-READY NATURAL GRAPHITENational Alliance for Advanced Technology Batteries

2015 Annual Meeting & ConferenceFebruary 19, 2015

DISCLAIMERThis presentation 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 “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. 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)the risks associated with entering into joint ventures; (vii) fluctuations in commodity prices; (viii) the risks associated with uninsurable risks arising during the course of exploration, development and production; (ix) competition faced by the resulting issuer in securing experienced personnel and financing; (x) access to adequate infrastructure to support mining, processing, development and exploration activities; (xi) the risks associated with changes in the mining regulatory regime governing the resulting issuer; (xii) the risks associated with the various environmental regulations the resulting issuer is subject to; (xiii) risks related to regulatory and permitting delays; (xiv) risks related to potential conflicts of interest; (xv) the reliance on key personnel; (xvi) liquidity risks; (xvii) the risk of potential dilution through the issue of common shares; (xviii) the Company does not anticipate declaring dividends in the near term; (xix) the risk of litigation; and (xx) risk management.

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, no material adverse change in metal prices, exploration and development plans proceeding in accordance with plans and such plans achieving their stated expected outcomes, receipt of required regulatory approvals, and such other assumptions and factors as set out herein. 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 made 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.

ELECTROCHEMICAL PERFORMANCE TESTS

Highlights

• LacKnifeSPGbatterytestsevaluatedthreeproprietaryformulationsthatrespondedvery well to CR2016 coin cell performance testing

• Large,mediumandfinemicronsizeproducedoutstandingperformancemetrics

• Testingresultsonthepremiummediumandfinegradesexceededtheperformanceof benchmark commercially available grades by significant percentages

TestsconfirmFocusGraphite’scapabilitytotailorLi-ionbatteryanodegradegraphiteandvalue-added products to meet the most stringent customer specifications

“Focus Graphite Succeeds in Producing Extremely High-Performing Coated Spherical Graphite for Lithium-ion Batteries”Independent Test Results announced May 27, 2014

of Lac Knife Flake Spherical Graphite in Lithium-ion Batteries

LAC KNIFE PROJECT LOCATION

WLac Knife

WLac Knife

Québec

Lac Knife, Québec, Canada

WHAT IS NATURAL GRAPHITE?

• Oneofthemostversatile non-metallic minerals

• Oneoftwonaturalformsofcarbon; the other is diamond

• Superiorelectrical and thermal conductivity

• Highestnaturalstrength and stiffness of any material

• Oneofthelightest of all reinforcing agents

• Chemicallyinertwithahighresistance to corrosion

• Highnaturallubricity

• Meltingpoint: 3,650ºC

• Graphiteisacritical mineral in continual demand

Graphite Occurs in 3 Natural Forms

Amorphous: 60 -85%C(Lowpurity,lowprice,lowgrowth)

Flake: > 85% C (Most desirable, greatest demand)

Vein: > 90%C(Verynicheapplications,smallmarket,flatgrowth)

Graphite is predominantly used in refractory applications when refining steel; also used in automotive brakes, clutches, gaskets, and lubricants

GLOBAL GRAPHITE CONSUMPTION

• Flakegraphiteisthemostsought-afterformofgraphite;vitaltotopdemandmarketstodayand tomorrow

• FuturedemandisbeingdrivenbygreentechnologiesincludingLi-ion Batteries, Fuel Cells,Electronics,ConstructionMaterials,Nuclear,andtheGrapheneRevolution

• Traditionalindustrialdemanddriversarerefractories,foilsandbatteries

• Thereis11 timesmoregraphitethanLithiuminatypicalLi-ionbattery

• 20% annual growthintheLi-ionBatteryIndustry

• 10%-30% annual growthintheElectricVehicleMarket

2020 Annual Demand

• +1 million tonnes of additional graphite needed or 25 New 40,000t Mines

Source:IndustrialMineralsData (2014)

Flake Graphite Demand in Tonnes (2013)

Total: 375,000 tpa

Other 10,000

Industrials 80,000

Batteries 82,000

Refractories, Foundries, Crucibles 185,000

6,500+ tonnes of graphite was used by these 5 companies in 2013ELECTRIC VEHICLE GRAPHITE CONSUMPTION

Brand Battery GraphiteUsed

16.5 VoltkWh 18kg

19 i3kWh 21kg

24 LeafkWh 27kg

4.4 PriuskWh 5kg

41.8 RAV4kWh 48kg

85 ModelSkWh 96kg

Gigafactory 96kgLaunch perunit2017

70,000 CARS SOLD

11,000 CARS SOLD

94,500 CARS SOLD

48,600 CARS SOLD

1,107 CARS SOLD

25,000 CARS SOLD

500,000 UNITS ESTIMATED

40,000 ORDERS (2014)

1,260 TONNES

231 TONNES

2,552 TONNES

243 TONNES

2,600 ORDERS (2014)53 TONNES 125 TONNES

48,000 TONNES PROJECTED

2,400 TONNES 3,800 TONNES (PROJECTED 2014)

Source:IndustrialMineralsData(2014)

$20

$18

$16

$14

$12

$10

$8

$6

$4

$2

02014 2015 2016 2017 2018 2019 2020 2021 2022 2023

by Region — World Markets: 2014-2023 ADVANCED BATTERIES STATIONARY STORAGE REVENUE

$ Bi

llion

s

GWh

60

50

40

30

20

10

0

Middle East and Africa Latin America Asia Europe North America Total GWh

200

180

160

140

120

100

80

60

40

20

02014 2015 2016 2017 2018 2019 2020 2021 2022 2023

by Application — World Markets: 2014-2023 ADVANCED BATTERIES REVENUE

$ Bi

llion

s

GWh

$60

$50

$40

$30

$20

$10

0

xEV Stationary Consumer Electronics Power Tools Other Applications Total GWh

SPHERICAL GRAPHITE (SPG)Battery-Ready Product

Battery-Ready Product SPHERICAL GRAPHITE (SPG)

• Decreasesthesurfacearea

• Allowsmore graphite into a smaller volume

• Createsasmaller, more efficient anode product for the battery

The three key categories of anode material:

Reversible Capacity (RC)

Energystorageinthebattery(rangesfrom345Ah/kg to355Ah/kg)

Irreversible Capacity Loss (ICL)

Amount of lithium permanently stuck in the graphite, the objective is to getICL%aslowaspossible(standardis6% to 10%loss)

Surface Area

Minimalsurfacearea(lessthan2m2/g)

Synthetic Graphite Facts

GraphitizinganOilbyproduct

• USD$20,000pertonne

• Devolatilization:VacuumGasOil480ºC

• NeedleCoke(GreenCokeUn-Calcined)

• Calcined:Removetracesofoil1,350ºC

• Micronized&Coated

• Graphitization@2,800ºCforweeks

• Oil-BasedFeedstock&EnergyIntensive

BATTERY-READY GRAPHITE

Natural Graphite SPG Facts

Performs10-20%betterthanSynthetic

• USD$8,000 per tonne

• MiningFlakeGraphiteOre—LacKnife, Québec

• Typicalprocessing(crush,grind,flotation)

• Micronized&Spheronized(onestep)

• Purificationatlowheatforminutes

• CarbonCoating

• Hydro-QuébecElectricityforwholeprocess

• Minimaltonilcarbonfootprint Synthetic Graphite Conclusion

1. LargerCarbonFootprint

2. ProductionCosts> Double

3. Energy Intensive

4. Time Consuming

5. NotalignedwithGreenEnergyapplications

Synthetic vs. Natural

Synthetic Spherical Graphite processes are very time consuming, energy intensive and require costly furnaces.

$2 million: the cost of a furnace to graphitize 1 tonne of synthetic graphite

98% Cg Graphite ConcentrateSCANNING ELECTRON MICROGRAPH (SEM)

• Althoughthe+65meshgraphiteconcentrateisveryhighincarbon content, there are still some impurities present,which can be seen as white specs on the graphiteflake surfaces and edges

SEMof98%Cg (+65 Mesh) Lac Knife Graphite Concentrate

99.98% Cg Purif ied Graphite SCANNING ELECTRON MICROGRAPH (SEM)

• ThisSEMshowsthatessentiallyallofthewhitespecs(impurities) were removed by thermal purification —low carbon footprint process — environmentallysustainable

SEMof99.98% CgPurifiedLac Knife Graphite

99.98% Cg Uncoated Medium-Grade Purif ied Spherical GraphiteSCANNING ELECTRON MICROGRAPH (SEM)

• SEMshowsflakegraphitehasbeensuccessfullyprocessedtoproducesphericalparticles(SPG)

• SPGwascoatedwithcarbontoreducetheSpecificSurface Area (SSA) to make it suitable for use inLithium-ionBatteries

• Coatingalsohastheeffectofreducingreactivity with the electrolyte furtherreducing the irreversible capacity loss

SEMof99.98% Cg Medium-GradeUncoatedSphericalLac Knife Graphite

All electrochemical tests were run on CR2016 coin cellsCROSS SECTION OF CR2016 COIN CELL

• Valuesofreversiblecapacity(RC)andirreversiblecapacity(ICL)atC/20cyclingweredetermined;thefirstcycleirreversiblecapacity loss was calculated by dividing the reversible capacityby the irreversible capacity

• Theelectrolyteis1.0MLiPF6inFEC/EMC(30:70vol%)for8mmthickelectrodeswithacompositionof90wt%graphiteand10wt%supportingadditives,includingaPVDF-basedbinders

+

–

ANODE CAP

LI FOIL

SEPARATOR

BOTTOM CAN

GRAPHITE

20mm

1.6mm

Electrochemical Tests on 3 Grades of Lithium-ion-Grade GraphiteSPG RESULTS OF CR2016 COIN CELLS

• SPGbatterytestresultshaveexcellentperformancemetricswhencomparedtocurrentbenchmarkcommercialSPGgrades

• StandardCarbonCoatedMediumandFineGradesofLithium-ion-GradeSphericalGraphiteareidentifiedbelow

• NotetheveryhighReversibleCapacities(RC) of363.7and365.1Ah/kg,andverylowIrreversibleCapacity Losses(ICL)of1.44and1.01%

• BenchmarkmaterialhasanICLrangeof6% to 10%;using8%asanaverage,thesetwotestsshowa82% to 87% decreaseinICL

Focus Graphite Coin Cell Test Results Reversible Capacity (Ah/kg) Irreversible Capacity Loss (%) Surface Area (m2/g)

LargeCarbonCoatedSPGGrade(D90=42μm) 362.1 6.80 0.64

MediumCarbonCoatedSPGGrade(D50=24μm) 363.7 1.44 0.48

FineCarbonCoatedSPGGrade(D50=17μm) 365.1 1.01 1.14

Comparing Focus Graphite’s Natural SPG vs. Commercial ly Available Synthetic Graphite

FOCUS GRAPHITE’S NATURAL SPG VS. SYNTHETIC SPG

Focus Graphite’s’ Natural SPG vs. Synthetic SPG Reversible Capacity (Ah/kg) Irreversible Capacity Loss (%) Surface Area (m2/g)

StandardCarbonCoatedSPGGrade(D50=24μm) 363.7 1.44 0.48

SyntheticCarbonCoatedSPGGrade(D50=22μm) 330 9.00 1.00

Focus Graphite’s Natural SPG vs. Synthetic SPG Reversible Capacity (Ah/kg) Irreversible Capacity Loss (%) Surface Area (m2/g)

FineCarbonCoatedSPG(D50=17μm) 365.1 1.01 1.14

FineSyntheticCarbonCoatedSPG(D50=16.5μm) 320 9.00 1.50

1.8

1.5

1.2

0.9

0.6

0.3

00 100 200 300 400 500

Coarse GradeINITIAL GALVANOSTATIC CHARGE – DISCHARGE CURVES

362.07

Volta

ge, V

388.51

Specific Capacity, Ah/kg

1stCycleLoss–6.81%

Cell #703. CR2016, counter: Li; Graphite: Coarse Grade Surface Coated SPG; Rate: C/20; Elotrolyte 1M LiPF6 in FEC/EMC (30:70 vol%)

1.8

1.5

1.2

0.9

0.6

0.3

00 100 200 300 400 500

Medium GradeINITIAL GALVANOSTATIC CHARGE – DISCHARGE CURVES

363.68

369.00

1stCycleLoss–1.44%

Volta

ge, V

Specific Capacity, Ah/kg

Cell #736. CR2016, counter: Li; Graphite: Medium Grade Surface Coated SPG; Rate: C/20; Elotrolyte 1M LiPF6 in FEC/EMC (30:70 vol%)

1.8

1.5

1.2

0.9

0.6

0.3

00 100 200 300 400 500

Fine GradeINITIAL GALVANOSTATIC CHARGE – DISCHARGE CURVES

365.08

368.79

1stCycleLoss–1.01%

Cell #705. CR2016, counter: Li; Graphite: Fine Grade Surface Coated SPG; Rate: C/20; Elotrolyte 1M LiPF6 in FEC/EMC (30:70 vol%)

Volta

ge, V

Specific Capacity, Ah/kg

98.99% Efficient

ADDRESSING OEM SUPPLIERS’ NEEDS Focus Graphite Competitive Advantages

• Low carbon footprint:LacKnifenaturalflakegraphiteconcentrateandsphericalgraphitewillhaveaverylowcarbonfootprintbecausebothuselow-costhydro-electricpowerfromHydro-Québec

• Low-costbenefitsalsoaresultofH-Qgridpower

• CR2016coin-cellperformancetests:2of3testsshowan85% reduction in Irreversible Capacity Lossvs.existingcommercialSPGbenchmarks

• 1tonneofLacKnifesphericalgraphite@~$8,000/tonnevs.syntheticgraphite@~$20,000/tonne

• Costsavings:$12,000/tx48,000t=$576M per yearfor500,000unitsor$1,152 per unit

• SyntheticGraphiteisproducedfrompetroleumcokeandgraphitizedinanenergy-intensiveprocess;notatall aligned with ‘Green Energy’ initiatives

• FocusGraphiteproductionplantswillbeISO 9000 Certified

MANAGEMENT & TECHNICAL TEAM

• Donald Baxter,P.Eng.,PresidentandChiefOperatingOfficer—Morethan20years of mining experience, including operational experience in graphite mining and metallurgicalflowsheetoptimization

• Judith Mazvihwa-MacLean,CMA,MBA,MSc,BSc,ChiefFinancialOfficer—Nearlytwo decades of experience in mineral exploration, mining, management, and corporatefinance

• Jeff Hussey,P.Geo.,BSc,Vice-President,ProjectDevelopment—30yearsminingoperation experience in open pit and underground mine operations, and more recently,as a mining project developer

• Dr. Ann Lamontagne,P.Eng.,EnvironmentalDirector—Morethan25yearsexperience in the environmental aspects of the mining industry including, mineclosures

• Dr. Benoit Lafrance,P.Geo,MSc,BSc,Vice President,ExplorationandQP—Morethan12 years of experience in mineral exploration, scientific research and geological survey

• Dr. Joseph Doninger,MSc,BSc,DirectorofManufacturingandTechnology—Developerandco-developerofanumberofU.S.,EuropeanandCanadianpatentsrelated to carbon processing methodologies and processing equipment

• George C. Hawley,BSc(Chemisty),SeniorTechnicalAdvisor—Internationalgraphiteexpert,specializinginthedevelopmentandmarketingofgraphiteandvalue-addedgraphite products

More than 100 years of combined Graphite Mining , Processing and Value-Added Product Experience

BOARD OF DIRECTORSJeffrey York Chairman of the Board

ChiefExecutiveOfficerofFarmBoyInc.AgraduateofPrincetonUniversity,Mr.YorkistheformerPresidentandChiefExecutiveOfficerofGiantTigerStoresLimited.

Gary Economo Chief Executive Officer and Director

Distinguishedbusinessleadershipcareer,servingasChiefExecutiveOfficerforanumberofpublicandprivatehigh technology companies during the last 30 years.

Chester Burtt Director

PresidentofChesterBurtt&AssociatesLtd.(CBAL),acorporateandpublicaffairsadvisoryfirm,specializinginconnecting private and public companies with domestic and international opportunities.

Francis Pomerleau Director

ServesasSeniorVicePresidentofOntario&WesternCanadaatPomerleauInc.aswellasPresidentofPomerleauOntario.HeservedasVicePresidentofConstructionofPomerleauInc.

Marc-André Bernier Director

Mr.Bernierspecializesinexplorationgeochemistryinsupportofregionalandinternationalmineraldevelopmentinitiatives.Mr.BernierhasdirectedormanagedminingdevelopmentprojectsinCanada,theCaribbean, Africa, and South America.

THANK YOU

Donald Baxter, P.Eng.

PresidentandChiefOperatingOfficer

T +1705-787-5942

E dbaxter@focusgraphite.com

Focus Graphite Inc.

130 Albert Street

Suite912

Ottawa,OntarioK1P5G4

CANADA

T +1613-241-4040

E info@focusgraphite.com

W focusgraphite.com

THE MOST ADVANCED BATTERY-GRADE GRAPHITE PROJECT IN NORTH AMERICA

focusgraphite.com