Ann: Sugarloaf Graphite Metallurgy Update, page-5

This is the interesting bit:

"Our initial findings suggest that the previous interpretation of Sugarloaf being formed from a unique
form of non-graphite carbon with high resistivity is not correct. iTech believes that Sugarloaf is
primarily conductive, crystalline flake graphite for the following reasons.
ASX RELEASE
16 December 2022
• All graphite analysis undertaken on drill core is done using an analytical technique that
specifically targets only graphitic carbon, called total graphitic carbon (TGC). Hydrochloric
acid (50%) is used first to leach any carbon present as carbonate minerals. The sample is
then roasted at 4200C driving off any organic carbon. At this stage all residual carbon should
be graphitic and is measured by induction furnace/infra-red. Therefore, all drill results at
Sugarloaf are only reporting graphitic carbon and not non-graphitic carbon as suggested.
• It was also suggested that the carbon at Sugarloaf was resistive and not conductive. It can
be shown from airborne electromagnetic surveys of the prospect that the graphitic horizons
form a very conductive, shallow, sub-horizontal layer that coincide with high TGC values in
drill core (Figure 9). This suggests that we are measuring only the conductive, crystalline,
flake graphite component of the prospect.
These observations are supported by additional petrographic and scanning electron microscope
analysis of the fine flake graphite at Sugarloaf."