GMG Reaches Major Commercial Milestone with On-Time Startup of Second Generation Technology Graphene Production Plant

Brisbane, Queensland--(Newsfile Corp. - July 6, 2026) - Graphene Manufacturing Group Ltd. (TSXV: GMG) ("GMG" or the "Company") is pleased to announce that it has completed the construction and started up the Company's Generation 2.0 Graphene Manufacturing Technology Plant (the "Gen 2.0 Plant") which is expected to produce 10 tonnes of graphene per annum once remaining works are completed and the Gen 2.0 Plant is optimised. It was started up on schedule before the end June 2026. The total capital cost for the Gen 2.0 Plant is expected to be at or below the estimated cost of AU$2.3 million by the end of the project completion at the end of 2026, as the project costs are under budget to date. Figure 1 shows the plasma system during the commissioning of the Gen 2.0 Plant.

Figure 1: Plasma system during commissioning of the Gen 2.0 Plant

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The remaining works for this project, which are expected to be completed by end of September 2026, are:

• Complete graphene quality optimisation,
• Complete production volume optimisation,
• Complete graphene powder pack filling optimisation.

Following which, the following activity is expected to be completed by the of December 2026:

• Complete self-power generation supply installation.

Once fully complete and optimised the Gen 2.0 Plant is expected to be largely self-powered from standalone energy generation that utilizes renewable sources, an energy storage system and hydrogen enriched natural gas provided by tail gas power generation.

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GMG's Managing Director and CEO, Craig Nicol, commented: "Bringing our second-generation graphene production plant online on time and within our expected capital cost to date is a major milestone for GMG and a testament to the skill and commitment of our team and partners. The Gen 2.0 Plant is expected to deliver up to 10 tonnes of graphene per year once remaining works are completed and optimised, significantly increasing our production capacity to support customer demand across our battery, coatings, lubricant additives and other graphene products. We are now focused on completing the optimisation of graphene quality and production volumes, as well as commissioning our self-powered energy systems and powder packing capabilities. With this plant, we are not only scaling output but also advancing our vision of highly efficient graphene manufacturing that can be replicated and deployed globally."

GMG's Chairman and Director, Jack Perkowski, commented: "The successful start-up of the Gen 2.0 Plant marks an important step in GMG's growth and validates our strategy of investing in scalable, efficient, and increasingly self-powered graphene production technology. Delivering this project on schedule and at or below the planned capital cost to date reflects strong project discipline and reinforces GMG's capability to execute complex technology developments. As we complete the remaining optimisation work and bring the plant's renewable and hydrogen-enriched energy systems fully online, we expect this facility to demonstrate both the commercial and environmental benefits of GMG's proprietary plasma-based graphene manufacturing process. We believe this strengthens our platform for long-term value creation for shareholders, customers, and partners."

About GMG:

GMG is an Australian based clean-technology company which develops, makes and sells energy saving and energy storage solutions, enabled by graphene manufactured via in house production process. GMG uses its own proprietary production process to decompose natural gas (i.e. methane) into its natural elements, carbon (as graphene), hydrogen and some residual hydrocarbon gases. This process produces high quality, low cost, scalable, 'tuneable' and low/no contaminant graphene suitable for use in clean-technology and other applications.

The Company's present focus is to de-risk and develop commercial scale-up capabilities, and secure market applications. In the energy savings segment, GMG has initially focused on graphene enhanced heating, ventilation and air conditioning ("HVAC-R") coating (or energy-saving coating) which is now being marketed into other applications including electronic heat sinks, industrial process plants and data centres. Another product GMG has developed is the graphene lubricant additive focused on saving liquid fuels initially for diesel engines.

In the energy storage segment, GMG and the University of Queensland are working collaboratively with financial support from the Australian Government to progress R&D and commercialization of graphene aluminium-ion batteries ("G+AI Batteries"). GMG has also developed a graphene additive slurry that is aimed at improving the performance of lithium-ion batteries.

GMG's 4 critical business objectives are:

1. Produce Graphene and improve/scale cell production processes
2. Build Revenue from Energy Savings Products
3. Develop Next-Generation Battery
4. Develop Supply Chain, Partners & Project Execution Capability

For further information, please contact:

• Craig Nicol, Chief Executive Officer & Managing Director of the Company at [email protected], +61 415 445 223
• Leo Karabelas at Focus Communications Investor Relations, [email protected], +1 647 689 6041

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

Cautionary Note Regarding Forward-Looking Statements

This news release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements relate to future events or future performance and reflect the expectations or beliefs of management of the Company regarding future events. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends", "expects" or "anticipates", or variations of such words and phrases, or statements that certain actions, events or results "may", "could", "should", "would" or will "potentially" or "likely" occur. These statements, referred to herein as "forward-looking statements", are not historical facts, are made as of the date of this news release and include, without limitation, statements regarding, expected capital requirements to complete the Gen 2.0 Plant, expected graphene production capacity of the Gen 2.0 Plant and the timing of its construction and commissioning, the extent to which the plant will be largely self-powered from standalone energy generation, the implications of the Gen 2.0 Plant on future expansion plans, GMG's intentions to develop commercial scale-up capabilities, GMG's focus in the energy savings segment, GMG's intentions for the use of graphene lubricant additive on saving liquid fuels, expectations for R&D and commercialisation of G+AI Batteries, GMG's ability to improve the performance of lithium-ion batteries and the Company's four critical business objectives.

Such forward-looking statements are based on a number of assumptions of management, including, without limitation, assumptions that the Company's operational and strategic progress will continue, that the Gen 2.0 Plant will be constructed, commissioned and ramped up broadly on time and on budget, that the technology deployed at the Gen 2.0 Plant will perform as expected, that sufficient customer demand will develop for products produced at the Gen 2.0 Plant, that the warrant liability will decrease as warrants are exercised or expire, that the Company's cash position and business fundamentals remain strong, that future financial performance will improve, and that the accounting treatment of warrants under IFRS will remain unchanged.

Additionally, forward-looking information involves a variety of known and unknown risks, uncertainties and other factors which may cause the actual plans, intentions, activities, results, performance or achievements of GMG to be materially different from any future plans, intentions, activities, results, performance or achievements expressed or implied by such forward-looking statements. Such risks include, without limitation, fluctuations in the Company's share price that may increase the warrant liability, failure to complete or commission the Gen 2.0 Plant as currently planned, construction, cost-overrun, technology and ramp-up risks associated with the Gen 2.0 Plant, failure to achieve operational milestones, inability to commercialize products, changes in accounting standards, adverse market conditions, foreign exchange volatility, and the risk factors set out under the heading "Risk Factors" in the Company's annual information form dated November 4, 2025 available for review on the Company's profile at www.sedarplus.ca.

Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or 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 statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial outlook that are incorporated by reference herein, except in accordance with applicable securities laws.

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