Lac Carheil Drilling Yields 80m+ Intervals Averaging 15% Graphitic Carbon

Exceptional Drilling Results Expand Lac Carheil Resource

Metals Australia Ltd has announced outstanding new drilling results from its flagship Lac Carheil graphite project in Quebec, Canada. The recent campaign delivered 9,482 meters of diamond core drilling, revealing thick and consistently high-grade graphite intersections in a newly identified southeast extension zone. This discovery has extended the known graphite continuity on one trend from just 1 kilometer to over 2.3 kilometers, a significant leap that underscores the project's growing scale and potential.

The standout assay results include intervals such as 72.4 meters at 15% graphitic carbon (Cg) and 80.5 meters at 15.5% Cg, highlighting both the thickness and quality of the graphite mineralization. These grades notably exceed the average grade of the existing Mineral Resource, which currently stands at 13.3 million tonnes at 11.5% Cg. The new drilling has added more than 4,000 meters of logged graphitic carbon intersections, setting the stage for a material upgrade to the Mineral Resource Estimate anticipated in the third quarter of 2025.

Strategic Development and Market Positioning

CEO Paul Ferguson emphasized the significance of these results, noting that the expanded resource footprint and high-grade continuity reinforce Lac Carheil’s status as a world-class graphite project. The company plans to leverage this momentum by updating the resource model and advancing mining and environmental studies, which will feed into a prefeasibility study targeted for completion in the first half of 2026.

Beyond resource expansion, Metals Australia is progressing downstream processing initiatives aimed at producing battery anode material (BAM), a critical component for lithium-ion batteries. Collaborations with specialist laboratories and engineering firms are underway to optimize purification and spheronisation processes, positioning the project to supply premium battery-grade graphite to North American markets.

Supportive Geopolitical and Funding Environment

The Lac Carheil project benefits from a highly supportive geopolitical backdrop. The Canadian government’s renewed focus on critical minerals and clean energy infrastructure, alongside potential grant funding through programs like the Critical Minerals Infrastructure Fund, enhances the project's development prospects. Metals Australia has also engaged with the US Department of Defence and Department of Commerce, aligning its supply chain ambitions with North American strategic priorities, especially in light of recent tariffs on imported Chinese graphite anode materials.

These policy tailwinds, combined with the project's robust technical foundation, position Metals Australia to become a key domestic supplier of high-grade graphite for the burgeoning electric vehicle and battery sectors in North America.

Looking Ahead

With drilling ongoing and assay results continuing to flow, Metals Australia is poised to further delineate the resource and refine its development pathway. The company’s methodical approach to resource expansion, coupled with strategic downstream processing and government engagement, signals a promising trajectory for Lac Carheil as a cornerstone asset in the critical minerals landscape.