THERMAL-XR | Graphene Manufacturing Group

BRISBANE, QUEENSLAND, AUSTRALIA – Graphene Manufacturing Group Ltd. (TSX-V: GMG) (“GMG” or the “Company”) is pleased to release further results of Energy Savings Tests on a 4.3kw refrigeration system and Heat Transfer demonstrations on Aluminium and Copper. The results provide additional confidence in the potential benefits of THERMAL-XR® (TXR) in a range of applications.

ENERGY SAVINGS WHEN THERMAL-XR® APPLIED TO A NEW CONDENSER COIL

In their ISO-approved facilities, GMG’s testing partner Supercool Asia Pacific Pty Ltd undertook two comparison tests to assess the impact of TXR in enhancing the operating efficiency of a cooling system. The equipment used in the tests was a new customised 4.3kW Refrigeration Unit with an electronic expansion valve with variability disabled (Figure 1 outlines the test room layout). The pre-TXR-treated condenser coil had an existing industry standard coating (as seen in Figure 2), on which tests were run. This condenser coil was then coated with TXR (as seen in Figure 2) and the same tests were run again.

Figure 1: Test room for both comparison tests

Figure 2: Condenser Coil Prior to THERMAL-XR® Coating (left) and
Condenser Coil Post THERMAL-XR® Coating (right)

The first comparison test conducted was a Pull Down Test which assessed the time and energy required to reach a set temperature of 2⁰C in the heat controlled room with an initial set temperature of 30⁰C, controlled constant humidity level, and an outdoor temperature of 35⁰C. This simulates a typical cold storage room with traffic subject to heat losses and required to cool down on multiple occasions to the set temperature. The quicker time to reach the set point cooling temperature, under the same conditions, highlights a reduction in energy consumption for the THERMAL-XR® coated condenser coil.

As seen in Table 1 the THERMAL-XR® coated coil resulted in 15.7% Energy Savings and a 16.1% time savings for the Pull Down test.

Table 1: Pull Downtime and energy consumed prior to and post TXR coating.

The second comparison test was an uninterrupted 48-hour Temperature Cycle test. This tests the impact of TXR on maintaining a constant set point temperature (for example where there is no periodic access to a cool room). The test measured the energy required over a 48-hour period to keep a cooling set temperature of 2⁰C in a heat-controlled room with an outside temperature of 35⁰C and controlled constant humidity level. The lower amount of energy required by the THERMAL-XR® coated unit, under the same conditions, highlights the energy savings.

Table 2 shows the THERMAL-XR® coated coil delivered 4.69% Energy Savings for the 48-hour Temperature Cycle test.

Table 2: 48 Hour Cycle Energy Test Prior to vs Post TXR Coating

Full test results will be available on GMG’s website.

Craig Nicol, GMG’s CEO summarised as follows “The Energy Savings results of THERMAL-XR® in an independent, third party, ISO-accredited testing laboratory with two testing methodologies is very exciting. The graphene-enhanced heat transfer properties of THERMAL-XR® have demonstrated that the performance of a new coil can be enhanced. This has significant potential for our targeted market of new air conditioners or Original Equipment Manufacturers (OEMs), as well as our existing target market of installed air conditioners. It also helps put into context those GMG projects where results on old equipment have achieved even higher energy savings.”

HEAT TRANSFER VERIFICATION

GMG has also been working with potential industrial customers to demonstrate the potential for improved heat management through the application of TXR. As part of this demonstration programme, GMG has commissioned the University of Queensland Materials Performance Consultancy to verify a number of heat transfer demonstrations.

GMG is pleased to report that the University of Queensland Materials Performance Consultancy (“UQMP”) verified that GMG’s THERMAL-XR®, demonstrations and results, when applied to Copper and Aluminium, changed the surface temperature when operating between 70⁰C and 90⁰C.

Copper Top Side Coating: Surface Temperature Reduction ~16%

As seen in Figure 3 GMG’s THERMAL-XR®, when applied to a Copper plate, reduces the surface temperature by ~16% when operating between 70⁰C and 90⁰C compared with an uncoated plate. The chart below shows the temperature differences due to GMG’s THERMAL-XR® when applied on a Copper plate with the same heat load.

As seen in Figure 4, when the THERMAL-XR® coating was applied to the top side copper plate, greater heat transfer was observed away from the common heat source (compared to the panel with no coating). Furthermore, the non-coated underside of the coated panel – being the side directly exposed to the heat source – remained approximately 16% cooler than the heat-exposed side of the uncoated panel, within the temperature range of 70°C to 90°C.

Figure 3: Temperature Reduction of TXR coating vs Uncoated

Figure 4: GMG’s demonstration of THERMAL-XR® coating increases
heat transfer when applied to Copper.

Aluminium top side Coating: Surface Temperature Reduction ~15%

GMG previously reported the UQ had verified a ~ 15% reduction when TXR was applied to the top side of aluminium, compared to un-TXR coated material (please refer to press release of 20th December 2022).

Underside Coating | Aluminium and Copper: Surface Temperature Increase

In addition to these two ‘top side’ coating tests, GMG is also pleased to release the results of testing of GMG’s THERMAL-XR® applied on the underside of both Aluminium and Copper (see Table 4), where the result was to see the underside of the plates increase in temperature, again following the same testing methodology.

Table 3: Temperature Increase from TXR Coating Underside.

Summary of All Results to Date for TXR coating of Aluminium and Copper, either top side or underside

These results, shown in Figure 5, are very encouraging in outlining the application of TXR for various heat management applications creating the potential for operating efficiency and / or energy savings.

Figure 5: Temperature Increases and Decreases with TXR on Copper and Aluminium

Relevance to Heat Exchangers in Air Conditioners and Industrial Applications

Copper and Aluminium are key metals used in HVAC-R equipment. This demonstration highlights that the external (top side) coating of the metal with THERMAL-XR® can improve heat transfer, potentially leading to Energy Savings because of reduced compressor and fan utilisation.

Relevance to Other Potential Applications

The coating of metal with THERMAL-XR® exposed to a heat source (Under side coating) can potentially act as a heat sink to keep heat within a requirement.

“GMG’s THERMAL-XR®’s ability to increase and reduce heat transfer is clear in this simple demonstration with operating temperatures between 70°C to 90°C. The graphene-enhanced heat transfer properties of THERMAL-XR® seemingly outweigh the traditional insulating effect of coatings when cooling. GMG believes the ability to increase or reduce temperature with a simple application of the technically advanced THERMAL-XR® can significantly contribute to improved performance and efficiency while reducing energy demand in a wide range of applications,” stated by Managing Director and CEO, Craig Nicol.

THERMAL-XR® powered by the GMG Graphene coating system is a unique method of improving the conductivity of heat exchange surfaces, resulting in an efficiency improvement and a potential power reduction when applied to air conditioning condenser coils or other industrial processes needing heat transfer.

The performance of existing air conditioners can also be increased with THERMAL-XR® process fluids (PREP and ACTIVATE) which clean and remove corrosion on the coil before applying the THERMAL-XR® RESTORE.
GMG is undertaking further assessments on other metals used in heat transfer applications and at various temperature settings and will publish market updates from time to time on these.

GMG is working with a number of companies globally including four recently signed distributors in Asia (announced 24th May 2023) and direct sales for the HVAC-R maintenance market. Furthermore, GMG is engaging with various companies for direct selling of THERMAL-XR® for industrial applications with high energy requirements, and high emissions – including oil and gas production, power generation, liquified natural gas production, mining, and mineral processing.

In addition, a number of customers are interested in the protective features of TXR graphene-enhanced coating, especially in harsh environmental conditions.

GMG’s 4 critical business objectives are:
1. Produce Graphene and improve/scale the production process
2. Build Revenue from Energy Savings Products
3. Develop Next-Generation Battery
4. Develop Supply Chain, Partners & Project Execution Capability

About The University of Queensland Materials Performance (UQMP)

UQ Materials Performance was founded in 1998 and has since grown to become one of Australia’s leading materials engineering consultancies. Our mission statement:

UQ Materials Performance serves the needs of society by applying research methodologies to answer technical questions. UQMP strengthens UQ research by building relationships of trust with industry partners, systematising knowledge gained in short‐term projects, generating seed funding, and by direct involvement in structured research. UQMP inspires student learning by generating professional case studies which show their discipline in action.

UQMP has a dedicated team of engineers and industrial chemists with a wide range of experience and specialty skills. Our diverse and cross-disciplinary problem-solving approach also brings fresh perspectives to projects. Our team works closely together with our clients to clearly understand, define and tackle problems in a systematic yet direct manner. Our access to the world-class facilities of The University of Queensland puts us at the forefront of analytical science and engineering.

UQ Materials Performance operates out of The University of Queensland Advanced Engineering Building. We share the building with the Centre for Advanced Materials Processing and Manufacturing (AMPAM) and the School of Civil Engineering, allowing close collaboration on consulting and research projects.

About GMG
GMG is a disruptive Australian-based clean-tech company listed on the TSXV (TSXV: GMG) that produces graphene and hydrogen by cracking methane (natural gas) instead of mining graphite. By using the company’s proprietary process, GMG can produce high quality, low cost, scalable, ‘tuneable’ and no/low contaminant graphene – enabling demonstrated cost and environmental improvements in a number of world-scale planet-friendly/clean-tech applications. Using this low input cost source of graphene, the Company is developing value-added products that target the massive energy efficiency and energy storage markets. The Company is pursuing additional opportunities for GMG Graphene, including developing next-generation batteries, collaborating with world-leading universities in Australia, and investigating the opportunity to enhance the performance of lubricant oil and performance-enhanced HVAC-R coating system.

For further information please contact:
• Craig Nicol, Chief Executive Officer and Managing Director of the Company at craig.nicol@graphenemg.com, +61 415 445 223
• Leo Karabelas at Focus Communications Investor Relations, leo@fcir.ca, +1 647 689 6041

www.graphenemg.com

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. This information and 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, the impact of THERMAL-XR® on heat transfer and its potential applications and expected performance, management’s expectations of the effects of Thermal-XR®, the intention of the Company to research, develop and produce certain products, and the Company’s intention to engage third parties to assist in the distribution and sale of its products and statements.

Such forward-looking statements are based on a number of assumptions of management, including, without limitation, assumptions regarding the ability of the Company to achieve the expected results of its THERMAL-XR®, that the Company will be able to research, develop and produce certain products as anticipated, and that the Company will be able to engage third parties and develop relationships to assist in the development, distribution and sale of its products. Additionally, forward-looking information involve 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: the Company will not be able to use THERMAL-XR® as expected or the performance, safety profile and production and maintenance requirements of the THERMAL-XR® coating system will not be consistent with management’s expectations, the impact of Thermal-XR® will not be consistent with management’s expectations, the Company will not be able to research, develop and produce certain products, the Company will not be successful in engaging third parties and developing relationships to assist in the development, distribution and sale its products, public health crises such as the COVID-19 pandemic may adversely impact the Company’s business and the ability of the Company to develop its products, risks relating to the extent and duration of the conflict in Eastern Europe and its impact on global markets, the volatility of global capital markets, political instability, the failure of the Company to attract and retain skilled personnel, unexpected development and production challenges, unanticipated costs and the risk factors set out under the heading “Risk Factors” in the Company’s annual information form dated October 18, 2022 available for review on the Company’s profile at www.sedar.com.

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 out-look that are incorporated by reference herein, except in accordance with applicable securities laws. We seek safe harbor.

BRISBANE, QUEENSLAND, AUSTRALIA – Graphene Manufacturing Group Ltd. (TSX-V:GMG) (“GMG” or the “Company”) is pleased to provide an update as to relevant changes following the recent Battery Joint Development Agreement (JDA) with Rio Tinto (17th May 2023) and the growing sales of Energy Saving products. These changes are designed to further align development activities and support the progression of the Battery JDA and the ongoing expansion of Thermal-XR sales following the recently announced distribution agreements (24th May 2023).

The Company had been working in parallel to progress its Graphene Aluminium Ion Battery technically while also seeking feedback from customers as to the highest priority applications. It became clear that pouch cell, rather than coin cell, batteries were of greatest interest to potential key customers. It is also clear that the progression of the battery from the current Battery Technology Readiness Level (BTRL) Level 2-3, (Scientific Proof of Concept into Electrochemical Development) could be accelerated by having key potential customer partners help define operating and design characteristics.

The JDA with Rio Tinto crystalises both elements of obtaining feedback from customers and progressing the battery’s technical development. It further provides a clear development roadmap including use specifications, development targets. In the battery industry it typically takes 3 years or more to move from Phase 1 to Phase 3 when using existing battery production manufacturing systems, materials and equipment as GMG expects to utilise.

GMG is currently making single layer pouch cells to proceed to a 5 layer pouch cell testing and expects to have a >25 Layer Pouch Cell Prototype by H1 2024.

In the context of this strategic move, the Company is aligning its organisation by having all scientific, product development and operations teams combined under the Chief Operating Officer. The mandate for the sale of all products is now the responsibility of the General Manager Sales. This will provide a stronger battery deep science to product performance linkage, prioritise activities and leverage learning across all product performance and also a streamlined engagement with customers with a single point of call for all products.

In addition, the Chief Financial Officer, Frederick Kotzee, after leading a successful raise last year and supporting the company’s strategic steps of establishing sales and selecting a battery development focus, has decided to leave the company and resign as a Director due to a desire to move back to the resources sector and/or more flexible work arrangements effective on 31 July 2023 and hence the company has commenced an executive search for his replacement. We thank Frederick for all his work to get us into our current position over the previous year and we wish him well in his future endeavours.

The Company has also recently secured an additional 1,200 square metres of laboratory, storage and office space adjacent to the existing factory, to support the increasing analysis and development work needed for ongoing battery development. The additional facilities will also improve logistics for production, storage and dispatch of anticipated TXR and Lubricants sales, and support the technical development of potential new applications for energy saving TXR and Lubricants.

The previously announced upgraded, expanded and relocated Phase 1 graphene manufacturing project is underway, although completion is expected to be delayed until the second half of 2023. Costs have also increased to around A$2m, as a result of inflation and some scope changes. The Company is also considering further upgrade to its Battery Development Centre (BDC) and related equipment, including any relevant needs arising from the Rio Tinto JDA.

GMG’s 4 critical business objectives remain to:
1. Produce Graphene and improve/scale the production process
2. Build Revenue from Energy Savings Products
3. Develop Next-Generation Battery
4. Develop Supply Chain, Partners & Project Execution Capability

About GMG
GMG is a disruptive Australian-based clean-tech company listed on the TSXV (TSXV: GMG) that produces graphene and hydrogen by cracking methane (natural gas) instead of mining graphite. By using the company’s proprietary process, GMG can produce high quality, scalable, ‘tuneable’ and no/low contaminant graphene – enabling demonstrated cost and environmental improvements in a number of world-scale planet-friendly/clean-tech applications. Using this low input cost source of graphene, the Company is developing value-added products that target the massive energy efficiency and energy storage markets. The Company is pursuing additional opportunities for GMG Graphene, including developing next-generation batteries, collaborating with world-leading universities in Australia, and investigating the opportunity to enhance the performance of lubricant oil and performance enhanced HVAC-R coating system.

For further information please contact:
• Craig Nicol, Chief Executive Officer & Managing Director of the Company at craig.nicol@graphenemg.com, +61 415 445 223
• Leo Karabelas at Focus Communications Investor Relations, leo@fcir.ca, +1 647 689 6041

www.graphenemg.com

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. This information and 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 sales growth in the Company’s energy saving products including Thermal-XR, market demand for the Company’s products, the Company’s focus on developing certain products, the value of the JDA including its impact on progressing the battery’s technical development generally and along the BTRL, the advantages of the strategic realignment of the organisation, and the expected benefits of the additional facilities on battery development and the production and sales of TXR and lubricants.

These forward‐looking statements involve numerous risks and uncertainties and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things that the JDA will not result in the benefits management expects, that the Company’s products will not develop as expected, that the impact of the JDA and the partnership with Rio Tinto will differ from management’s expectations, that the strategic realignment of the organisation will not result in the advantages management expects, that the additional facilities will not enable improved production and sales of TXR and lubricants, changes to regional and global market trends, that the Company will be unable to research, develop and produce certain products and technologies, and risks related to the deployment of the Company’s resources.

In making the forward looking statements in this news release, the Company has applied several material assumptions, including without limitation, assumptions regarding the Company’s development of certain products, the market demand for the Company’s products, the JDA and the expected benefits thereof, the advantages that will be derived from the strategic realignment of the organisation, the impact of the additional facilities acquired and its role in developing the Company’s products and enabling production and sale of said products, and the Company’s ability to research, develop and test its products within anticipated timelines.

BRISBANE, QUEENSLAND, AUSTRALIA – Graphene Manufacturing Group Ltd. (TSX-V:GMG) (“GMG” or the “Company”) is pleased to announce that GMG has signed distribution agreements with four separate distributors (“Distributors”) to buy GMG’s THERMAL-XR® and resell in their respective countries in the Heating Ventilation Air Conditioning and Refrigeration (HVAC-R) markets. The Distributors are focused on the following geographical markets: Thailand, Singapore, Indonesia and South Korea.

GMG and certain of the Distributors have successfully completed several THERMAL-XR® HVAC-R projects in South East Asia to provide case studies that illustrate the product’s local benefits and customer value proposition in these countries.

GMG’s Managing Director and CEO, Craig Nicol, commented: “We are excited to be signing up our initial distributors in Asia to build revenue in Energy Savings – one of our key objectives for 2023. We look forward to continuing to work with the Distributors – each a valuable partner for the sale of THERMAL-XR® going forward.”

Guy Outen, GMG’s Chair, commented: “I am very pleased to see these first distributor agreements in Asia – they display confidence in the potential benefit of TXR to existing and new customers of our new distributor partners. I commend the GMG team led by Mark Lock the General Manager of Energy Savings and Senior Business Development Manager Arthur Yen for their leadership.”

GMG’s 4 critical business objectives are:
1. Produce Graphene and improve/scale production process
2. Build Revenue from Energy Savings Products
3. Develop Next-Generation Battery
4. Develop Supply Chain, Partners & Project Execution Capability
About GMG

GMG is a clean-technology company which seeks to offer energy saving and energy storage solutions, enabled by graphene, including that manufactured in-house via a proprietary production process.

GMG has developed a proprietary production process to decompose natural gas (i.e. methane) into its 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 focused on graphene enhanced heating, ventilation and air conditioning (“HVAC-R”) coating (or energy-saving paint), lubricants and fluids. 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”).

For further information, please contact:

• Craig Nicol, Chief Executive Officer and Managing Director of the Company at craig.nicol@graphenemg.com, +61 415 445 223
• Leo Karabelas at Focus Communications, info@fcir.ca , +1 647 689 6041

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. This information and 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 the viability of completed THERMAL-XR® HVAC-R projects in South East Asia to serve as case studies which demonstrate the value of GMG’s products, that additional distributors in Asia will enter into Distribution Agreements , the impact of the Distributor Agreements on revenue in Energy Savings, the influence of the partnerships with the Distributors on the sale of THERMAL-XR®, and the business objectives of the Company in 2023 and beyond.

These forward‐looking statements involve numerous risks and uncertainties and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things, risks related to the deployment of the Company’s resources, that the case studies will not convey the benefits of the Company’s products in South East Asia, that the effect of the Distributor Agreements on revenue in Energy Savings with differ from management’s current expectations, that GMG’s objectives in 2023 and beyond will diverge from its current objective, that no additional Distribution Agreements will be reached, and that the value of the partnerships with the Distributions will not align with management’s expectations.

In making the forward looking statements in this news release, the Company has applied several material assumptions, including without limitation, assumptions regarding the market demand for the Company’s products, that case studies will demonstrate the benefits of the Company’s products, that additional Distributors will enter into Distributor Agreements, that Distributors will have a direct impact on the Company’s revenue in Energy Savings, and that the partnerships with the Distributors will impact the sale of THERMAL-XR® going forward.

BRISBANE, QUEENSLAND, AUSTRALIA – Graphene Manufacturing Group Ltd. (TSX-V:GMG) (“GMG” or the “Company”) is pleased to announce that GMG and Rio Tinto have signed a binding Joint Development Agreement (“JDA”) with the goal of accelerating the development and application of GMG’s Graphene Aluminium-Ion batteries in the mining and minerals industry. Rio Tinto will contribute technical and operational performance criteria and A$6 million, in exchange for preferential access rights.

Rio Tinto has put the net zero transition at the heart of its business strategy: combining investments in commodities that enable the energy transition with actions to decarbonise their operations and value chains. The JDA seeks to support the accelerated development of GMG’s Graphene Aluminium-Ion Batteries for use in heavy mobile equipment and grid energy storage applications in the mining and mineral industry.

The JDA builds on the existing collaboration for Rio Tinto to explore the use of GMG’s Energy Saving and Energy Storage solutions (see Company announcement on 18 May 2022). This JDA is effective immediately and is expected to last 2 years with payments spread over the term of the agreement. The JDA aims to co-develop GMG’s Graphene Aluminium-Ion battery pouch cell into an initial battery pack/module proof of concept.

Rio Tinto will seek to involve Original Equipment Manufacturers (OEM), including Heavy Mobile Equipment OEMs, to work with GMG and Rio Tinto to align the battery pack development with end use requirements.

Success could see performance enhancements for Rio Tinto, including faster charging and longer-life batteries for heavy mobile equipment and grid energy storage, as well as supporting Rio Tinto’s decarbonisation ambitions.

GMG will retain ownership of the intellectual property of the GMG Graphene Aluminium Ion Battery Pouch Cell and Battery Pack. On successful completion of the joint project, Rio Tinto would have the right to procure and use the batteries in their operations.

Rio Tinto Chief Scientist, Nigel Steward, said, “We are excited to expand and deepen our partnership with GMG. We both share a vision of a low-carbon future and for Rio Tinto it’s a crucial time to partner with companies like GMG to accelerate battery technology and innovation. We are looking forward to continuing our collaboration and leveraging our combined expertise and resources to develop a truly green battery that has the potential to improve the way we supply and store energy.”

GMG’s Managing Director and CEO, Craig Nicol, commented: “We are excited to be collaborating with Rio Tinto, one of the world’s largest mining companies who are committed to leveraging leading technologies for efficient and low carbon operations. The collaboration with Rio Tinto on the applications of Graphene Aluminium-Ion batteries is a key step for GMG. Together, with the existing technical and supply chain partnerships already established, this is another important step towards GMG’s goal to become a major global supplier of next generation batteries as we continue to de-risk the commercial scale up of this technology.”

Guy Outen, GMG’s Chair, commented: “I am very pleased to further deepen our partnership with Rio Tinto. I believe the opportunity to work closely with them given their capability and drive as a large potential customer to access leading new technologies will greatly assist the potential development of our next generation Graphene Aluminium-Ion batteries. More broadly, significant customer feedback to GMG has reinforced the opportunity of the pouch cell battery format and this JDA with Rio Tinto is another example. We’ll now re-prioritise our energies to developing this form of battery which should further support progress towards our aim of a commercial, large scale, highly competitive battery.”

About Rio Tinto

Rio Tinto is a leading global mining and materials company. Rio Tinto operates in 35 countries and produces iron ore, copper, aluminium, critical minerals and other materials needed for the global energy transition and for people, communities, and nations to thrive. They have been mining for almost 150 years and operate with knowledge built up across generations and continents. Rio Tinto’s purpose is finding better ways to provide the materials the world needs – striving for innovation and continuous improvement to produce materials with low emissions and to the right environmental, social and governance standards.

About GMG

GMG is a clean-technology company which seeks to offer energy saving and energy storage solutions, enabled by graphene, including that manufactured in-house via a proprietary production process.

For further information, please contact:
– Craig Nicol, Chief Executive Officer and Managing Director of the Company at craig.nicol@graphenemg.com, +61 415 445 223
– Leo Karabelas at Focus Communications, info@fcir.ca , +1 647 689 6041

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. This information and 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 Rio Tinto’s contribution to the JDA and the expected benefit thereof, the impact of the JDA on the development of the Company’s Graphene Aluminium-Ion Batteries, the development of GMG’s pouch cell, the potential involvement of OEM, the duration of the JDA, and the benefits derived from the JDA and the partnership with Rio Tinto more generally.

These forward‐looking statements involve numerous risks and uncertainties and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things, risks related to the deployment of the Company’s resources, including that the JDA will not result in the benefits management expects, that the Company’s products will not develop as expect, that the impact of the JDA and the partnership with Rio Tinto will differ from management’s expectations, that OEM will not assist in aligning the battery pack development with equipment requirements, changes to regional and global market trends, and that the Company will be unable to research, develop and produce certain products and technologies.

In making the forward looking statements in this news release, the Company has applied several material assumptions, including without limitation, assumptions regarding the Company’s development of certain products, the market demand for the Company’s products, that the JDA will benefit both the Company and Rio Tinto, that the partnership with the Company and Rio Tinto will proceed and produce the benefits expected, that OEM will assist in aligning battery pack development with equipment requirements, the duration of the JDA, the Company’s ability to research, develop and test its products within anticipated timelines, and market demand for the Company’s products.

BRISBANE, QUEENSLAND, AUSTRALIA – Graphene Manufacturing Group Ltd. (TSX-V:GMG) (“GMG” or the “Company”) is pleased to announce the following business update of its ENERGY SAVINGS portfolio product – THERMAL-XR® (TXR) powered by GMG Graphene.

THERMAL-XR® is the Company’s proprietary graphene enhanced heat transfer product that provides potential ENERGY SAVING benefits in a wide range of applications. Since the recent Australian Government approval for GMG to produce and sell THERMAL-XR® at scale, the Company has driven sales activities and bolstered related production capacity. Important first sales at scale have recently been secured and the Company’s efforts to widen potential market segments is finding positive reception providing strong encouragement for continued sales focus targeting near term notable revenues.

GMG sales of THERMAL-XR® in the Heating, Venting and Air-Conditioning-Refrigeration (HVAC-R) market is growing in various countries in direct sales to HVAC-R Contractors, with efforts to identify and strike arrangements with local HVAC-R distributors ongoing.

The Company has identified a number of markets outside the HVAC-R segment, where it sees expanded opportunities for TXR applications. For example, there is growing interest in THERMAL-XR® in the Data Centre and Energy Production markets.

The total available market for THERMAL-XR® is now estimated to be in excess of US$28.4 billion, which has the potential to grow as more heat exchangers are needed for cooling space and in other industrial and energy production applications.

HVAC-R Direct Sales
The Company has received a sales order for over AU$130,000 (including GST) for THERMAL-XR® sales and service for a large Australian eco-friendly resort for the coating of nearly 200 air conditioners. This is the largest single order for THERMAL-XR® which the Company believes shows increased market acceptance of the graphene-enhanced coating system. This is on the back of other local Australian projects converting into revenue. The Company has also run a direct business to business marketing campaign in Australia for the HVAC-R market with the goal of strengthening brand awareness.

The Company estimates the total potential value of THERMAL-XR® into the HVAC-R Market is over US$26 billion based on the potential energy saving available of the near 2000 Terra Watt hour (TWh) of energy consumed by air conditioners globally annually as detailed by the International Energy Agency (IEA). Per the IEA, the air-conditioning market is also expected to grow by 150% (over 2016 levels) by 2050.

International HVAC-R Distributor Development
GMG continues to progress and negotiate Distributor Agreements for the purchase and resale of THERMAL-XR® for the HVAC-R market in the major demand centres of North America and Asia Pacific. In particular, distributor discussions with a prominent nationwide American distributor are advanced with the aim to move to significant sales soon.

A major wholesale store chain in Thailand with approximately 200 stores has requested a number of sites be further demonstrated with Thermal-XR® by a potential distributor before subsequent roll out across the country.

Following the growing market success of TXR for HVAC purposes the Company is increasing efforts to demonstrate heat management benefits into other applications. Recent examples include data centres and energy producers.

Data Centre Direct Sales
Additional THERMAL-XR® sales and third-party service projects in Southeast Asia have also occurred – with applications in the data centre cooling sector represents a significant opportunity as according to the IEA it represents up to 1.3% of global electricity demand which the Company estimates could represent an addressable market of approximately US$2 Billion of potential THERMAL-XR® sales globally. Accordingly, the Company has commenced first discussions regarding projects with a number of data centre operators.

Energy Producer Sector Development
The Company is also in discussions with various mining, energy and gas producers in Australia, North America and Asia about the potential for application of THERMAL-XR® to provide increased heat transfer and corrosion resistance for operations, including gas processing heat exchangers, notably liquefied natural gas (LNG) plants. GMG made an initial sale of THERMAL-XR® and coating by GMG for a micro-LNG plant in Australia in late 2022. GMG’s confidence in the success of THERMAL-XR® to shift heat faster than would generally be expected is reinforced by the tests published by the Company in the December 2022, outlining the THERMAL-XR® heat transfer outcomes verified by University of Queensland.

Taking into account the LNG market opportunity alone, which the International Gas Union noted a total production of 372 million tonnes of LNG in 2022, the Company estimates the total addressable market to be approximately US$400 Million of potential THERMAL-XR® sales.

GMG’s Managing Director and CEO, Craig Nicol, commented: “We are very excited to see the reception we are seeing with THERMAL-XR® in various channels and applications, including HVAC-R direct for larger business customers, HVAC-R distributors in various countries, data centres and various energy producers. The opportunity for THERMAL-XR ® in the HVAC-R, data centre and energy producer market is significant.”

THERMAL-XR ® Coating Blending Project Update

To support the targeted success of TXR as a major business, the Company purchased the TXR blending in September 2022 and subsequently designed and purchased enhanced coating blending plant equipment. It is working towards commissioning the plant in the second quarter of 2023. This blending plant is expected to have the capacity to produce up to two thousand litres of THERMAL-XR RESTORE® coating per eight-hour shift, providing the ability to service growth well into the future. GMG has also procured new laboratory equipment for quality assurance requirements, and to carry-on research and development of extensions and enhancements to the THERMAL-XR® portfolio into an even wider range of applications.

GMG’s Managing Director and CEO, Craig Nicol, commented: “We are pleased to be able to begin producing our coatings for HVAC-R and other heat transfer applications in-house, as a significant step to becoming a globally recognised brand leader in Energy Saving products.”

About THERMAL-XR® powered by GMG Graphene:

THERMAL-XR® COATING SYSTEM is a unique method of improving the conductivity of corroded heat exchange surfaces and maintaining the performance of new units at peak levels. The process coats and protects heat exchange surfaces while improving and rebuilding the lost corroded thermal conductivity and increasing the heat transfer rate by leveraging the physics of GMG Graphene, resulting in an efficiency improvement and a potential power reduction.

THERMAL-XR RESTORE® is powered by GMG Graphene. PATENT PENDING

About Thermal XR® Coating Blending Project

As announced in September 2022, GMG has completed the acquisition of the manufacturing intellectual property and brand rights of OzKem Pty Ltd.’s (“OzKem”) THERMAL-XR® coating products. Since September, good progress has been made in establishing the in-house blending capability to manufacture THERMAL-XR®. The Project involves building a blending plant, including the required equipment to develop and manufacture THERMAL-XR® in-house. The Project is located adjacent to the graphene manufacturing expansion project and Company headquarters in Richlands, Brisbane, Queensland, Australia.

About GMG
GMG is a disruptive Australian-based clean-tech company listed on the TSXV (TSXV: GMG) that produces graphene and hydrogen by cracking methane (natural gas) instead of mining graphite. By using the company’s proprietary process, GMG can produce high quality, scalable, ‘tuneable’ and no/low contaminant graphene – enabling demonstrated cost and environmental improvements in a number of world-scale planet-friendly/clean-tech applications. Using this low input cost source of graphene, the Company is developing value-added products that target the massive energy efficiency and energy storage markets. The Company is pursuing additional opportunities for GMG Graphene, including developing next-generation batteries, collaborating with world-leading universities in Australia, and investigating the opportunity to enhance the performance of lubricant oil and performance enhanced HVAC-R coating system.

www.graphenemg.com

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. This information and 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, the impact of THERMAL-XR® on heat transfer and its potential applications and expected performance, management’s expectations of the effects of Thermal-XR®, the commercial maturation of THERMAL-XR®, the brand awareness and market acceptance of the THERMAL-XR® system, the support for distributors to buy and resale THERMAL-XR®, the growing HVAC-R markets, the expected focus on the data centre cooling, HVAC-R and energy producer sectors, the timing of the completion of the pilot blending plant and the expected benefits and capabilities thereof, and the future development of the THERMAL-XR® portfolio.

Such forward-looking statements are based on a number of assumptions of management, including, without limitation, assumptions regarding the ability of the Company to achieve the expected results of its THERMAL-XR®, that THERMAL-XR® will commercially mature as expected by management, that the company will expand the THERMAL-XR® portfolio, that there will be demand by distributors to buy and resell THERMAL-XR® in the HVAC-R market, that the market for THERMAL-XR® will grow and develop as expected, that the recent order for THERMAL-XR® sales and service to an Australian eco-friendly resort is representative of broader market acceptance, the Company will focus on the expected markets and sectors currently contemplated, and the pilot blending plant will be completed on the expected timeline and provide the benefits as management expects. Additionally, forward-looking information involve 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: the Company will not be able to use THERMAL-XR® as expected or the performance, safety profile and production and maintenance requirements of the THERMAL-XR® coating system will not be consistent with management’s expectations, the impact of Thermal-XR® will not be consistent with management’s expectations, the recent order of THERMAL-XR® sales and service is not indicative of broader market acceptance, the commercial maturation of THERMAL-XR® will not occur as expected, there will not be demand from distributors to buy and resell THERMAL-XR® in the HVAC-R market, that demand for THERMAL-XR® in the expected markets will not match managements expectations, that the Company will focus on different sectors and markets than currently contemplated, that the pilot blending will not be completed on the expected timeline, or not derive the benefits currently expected by management, the Company will not be able to research, develop and produce certain products, the Company will not be successful in engaging third parties and developing relationships to assist in the development, distribution and sale its products, public health crises such as the COVID-19 pandemic may adversely impact the Company’s business and the ability of the Company to develop its products, risks relating to the extent and duration of the conflict in Eastern Europe and its impact on global markets, the volatility of global capital markets, political instability, the failure of the Company to attract and retain skilled personnel, unexpected development and production challenges, unanticipated costs and the risk factors set out under the heading “Risk Factors” in the Company’s annual information form dated October 18, 2022 available for review on the Company’s profile at www.sedar.com.

THERMAL-XR® PROJECT UPDATE: INTERNATIONAL FOOD BRAND MANUFACTURING SITE IN SINGAPORE, DAIKIN CHILLER HE 402C, 11.6% ENERGY REDUCTION UTILISING THERMAL-XR®

In tropical climatic conditions, THERMAL-XR® powered by GMG Graphene continues to perform.

Total Energy	11.6% Improvement
Measurement	Pre & Post Energy Calculation
Unit	Daikin Chiller HE402 C
Date	April 2022
Calculation Method	Pre & Post GMG Management Energy Calculation Estimate

THERMAL-XR® powered by GMG Graphene is a coating application for restoring and improving energy efficiency to refrigeration and air conditioning coils on both building and transport cooling systems (HVAC-R). The process coats and rebuilds lost thermal conductivity to the coil by leveraging GMG’s Graphene to increase the heat transfer rate, resulting in efficiency improvement, and reductions in both energy and CO₂ emissions for customers.

Contact GMG for further information and/or partnership pricing. Starter Kits are available.

www.graphenemg.com | TSXV: GMG

DISCLAIMER

All information provided in this update represents management’s best judgment based on information available to GMG. Unless otherwise indicated, the information in this update is current only as of the date of the document that contains the information or the date on which the document is posted. No such information can be guaranteed and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on such information.

You hereby assume all risk and responsibility for the reliance on the information in this update. To the full extent permissible by applicable law, GMG disclaims any representation, warranty, or condition of any kind, express or implied. GMG assumes no responsibility to you or any third party for any errors or omissions and will not be liable for any damages of any kind arising from the reliance of the information in this update (including indirect, direct, incidental, special, punitive, or consequential damages and loss of profits, opportunities or information).

GMG may at any time change or update the information in this update without prior notice. The information and materials contained therein could include technical, typographical, or photographic errors. Although GMG believes the information to be correct at the time it is posted, GMG does not warrant the accuracy, completeness, or currency of this information at all times.

Exclusion of Liability. GMG shall not be liable for any claims, expenses, damages (including direct, indirect, special, or consequential damages), loss of profits, opportunities, or information arising from: the use of or reliance on information contained in this update; any inaccuracy or omission in such information or failure to keep the information current; use of any third party websites linked to our website; and any other matter connected with this update; even if GMG is made aware of the possibility of such claims, expenses, damages, or losses.

Business Update is Provided as a Service Only. This update is not intended as a solicitation or offering of securities in any jurisdiction and the information contained herein in no way should be construed or interpreted as such. No securities commission or other regulatory authority in Australia or Canada or any other country or jurisdiction has in any way passed upon this information and no representation or warranty is made by GMG to that effect. The information on/in this update is not intended to modify, qualify, supplement or amend information disclosed under corporate and securities legislation of any jurisdiction applicable to GMG and should not be used for the purpose of making investment decisions concerning GMG securities.

After coating with THERMAL-XR® on a public library air conditioner, a 52% ENERGY SAVINGS was measured and verified by an independent third-party certified verification and measurement professional (CVMP). It confirmed that the THERMAL- XR® treatment yielded an estimated savings of 52% or 348 kWh ± 91kWH with a relative uncertainty of 26% at a confidence level of 90%.

BUILDING AIR CONDITIONING ENERGY SAVINGS:

The 53.2kW (Model OPA55RKTBG01-P) ducted system was studied over a 4 month period with energy and weather data obtained via remote wifi-connected energy sensors and third-party weather stations. Calculations for the regression model were carried out by an independent Certified Measurement & Verification Professional (CVMP) with reference to International Performance Measurement and Verification Protocol (IPMVP). Annualised calculations are projected over a full 12 months without any seasonality variance included and emissions reductions were based on the Queensland specific electricity grid greenhouse gas emission factors of 0.82 kg of CO₂ / kW-hr. The above energy and emission calculation are based on 348 kWh ± 91kWH with a relative uncertainty of 26% at a confidence level of 90% over 18 days of regression modeling. The library has 4 operational days per week.

GMG CEO/MD/Founder Craig Nicol said, “According to the Australian Energy Regulator, Australia alone consumes nearly 200 TWh every year on the electricity grid with an estimated value of AU$60 billion. We believe approximately 20% is attributed to cooling costs which is AU$12 billion per annum which is obviously a significant opportunity for GMG”.

Cautionary Note Regarding Forward-Looking Statements.

This document contains “forward-looking information” and “forward-looking statements” within the meaning of applicable securities legislation, including statements relating to: (a) the demand for THERMAL-XR® and cooling; and (b) management’s expectations of the effects of Thermal-XR® and cooling as a result of the Company’s air conditioning energy savings project and CVMP’s verification. Such forward-looking statements are based on a number of assumptions of management, including, without limitation, assumptions that the expected results of cooling and the THERMAL-XR® will be consistent with the Company’s expectations as a result of the Company’s air conditioning energy savings project and CVMP’s verification, and that the market demand for the Company’s THERMAL-XR® will be consistent with the Company’s expectations. 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: (a) the expected results of cooling and the THERMAL-XR® will not be consistent with the Company’s expectations as a result of the Company’s air conditioning energy savings project and CVMP’s verification, and (b) there will be not a global market trend or demand for THERMAL-XR® or cooling; and (c) public health crises such as the COVID-19 pandemic may adversely impact the Company’s business.

There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

THERMAL-XR® PROJECT UPDATE: HEALTH & FITNESS CLUB #3, 22% ENERGY REDUCTION

After coating with THERMAL-XR® on a Brisbane Health & Fitness Club 85 kW Air Conditioner, a 22% Energy Reduction was measured by management regression analysis estimate.

Energy Reduction	22 %
Energy Savings	1482 kWhr \| Annualised Estimate 27046 kWhr
Emission Savings	1187 CO₂kg \| Annualised Estimate 21662 CO₂kg
Measurement Days	39 (20 days normalised calculations)
Unit	85 kW Air Conditioner
Date	January 2021
Calculation Method	Regressional Analysis to IPMVP (B) GMG Management Estimate
Accuracy	100%

Contact GMG for further information and/or partnership pricing. Starter Kit Available

www.graphenemg.com | TSXV: GMG

DISCLAIMER

Business Update is Provided as a Service Only. This update is not intended as a solicitation or offering of securities in any jurisdiction and the information contained herein in no way should be construed or interpreted as such. No securities commission or other regulatory authority in Australia or Canada or any other country or jurisdiction has in any way passed upon this information and no representation or warranty is made by GMG to that effect. The information on/in this update is not intended to modify, qualify, supplement or amend information disclosed under corporate and securities legislation of any jurisdiction applicable to GMG and should not be used for the purpose of making investment decisions concerning GMG securities.

THERMAL-XR® PROJECT UPDATE: Cold Storage Facility in Singapore Savings, 8% Energy Reduction

After coating with THERMAL-XR® on a Singapore, Residential air conditioner, a 8% Energy Reduction was measured by management regression analysis estimate.

Energy Reduction	8%
Measurement Days	76 days
Unit	Refrigerated System
Date	March 2021
Calculation Method	GMG Management Estimate Calculation Pre vs Post Coating

Contact GMG for further information and/or partnership pricing. Starter Kit available.

www.graphenemg.com | TSXV: GMG

DISCLAIMER

THERMAL-XR® PROJECT UPDATE: Poultry Processing Facility in Singapore Savings, 6.5% Energy Reduction

After coating with THERMAL-XR® on a Poultry Processing Facility in Singapore, a 6.5% Energy Reduction was measured by management regression analysis estimate.

Energy Reduction	6.5%
Energy Savings	747 kWhr \| Annualised Estimate 18177 kWhr
Emission Savings	149.3 CO₂ kg \| Annualised Estimate 3625 CO₂ kg
Measurement Days	46 days (15 days of normalised calculations)
Unit	Split Ducted System with Triplet Compressors
Date	March 2021
Calculation Method	Regressional Analysis to IPMVP (B) GMG Management Estimate
Accuracy	99.99%

Contact GMG for further information and/or partnership pricing. Starter Kit available.

www.graphenemg.com | TSXV:GMG

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