Ann: March 2023 Quarterly Activities Presentation, page-106

"Here are 17 POSITIVES from the March Quartly"""

1]Considering prevailing volatile China anode market conditions and the availability of significant finished product inventory,
Syrah will moderate production from Balama until demand conditions and sales orders at economic prices warrant higher
capacity utilisation.

2]During this time, Syrah will execute operational improvements, bring forward planned maintenance, and
focus on minimising costs.
3]The Company will also review and evaluate the potential for more dynamic Balama operating
scenarios at lower capacity utilisation, to match periods of volatile customer demand and lower sales ordering, with the
objective of achieving acceptable unit operating cost and cash flow outcomes.
4]Syrah is also focused on preserving Balama’s
capability to quickly return to higher capacity utilisation as the market balances and natural graphite demand grows.

5]Installation of the 11.25 MWp solar photovoltaic array over 19 hectares combined with an 8.5 MW/MWh battery energy
storage system (“Solar Battery System” progressed during the quarter. 6]Civil works, piling and installation of trackers, solar
modules and cabling were completed during the quarter.
Remaining project activities are progressing on schedule.

6]The Solar Battery System is expected to be commissioned and operating before the end of the June 2023 quarter, which will
partially offset the cost impact of the higher diesel price.

7]Balama C1 cash cost (FOB Nacala/Pemba) guidance remains US$430–480 per tonne at a 20kt per month production rate,
with the lower end of the range assuming a normalisation of diesel price to historical levels, the Solar Battery System
operating at full capacity and updated labour costs associated with the renewal of the Company Level Agreement (“CLA”.

8]Balama’s cash costs are expected to reduce as the production rate increases beyond 20kt per month, with increasing sales
and no inventory constraints, and as improvement initiatives continue to be embedded.
7 TGC = Total Graphitic Carbon.



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9[Balama Solar Battery System development.

10]Rates of Mozambican national employment, local host community and female employment were 96%, 39% and 18%,
respectively, of Balama’s total labour contingent excluding contractors. Value accruing to local employees,

11]Mozambican
contractors and suppliers, and the eight local host communities from Balama operations is significant, and having a positive
impact on local stakeholders remains a key priority for the Company.
12]There were no security issues that affected operations, employees or contractors at Balama during the quarter and the
security environment in Cabo Delgado province has generally improved since 2022.


13]Natural graphite sales were unconstrained by container and breakbulk vessel availability for Balama shipments from Nacala
and Pemba, respectively,



14]Syrah’s sales position is to
moderate production where purchase bids fall below a level that would support weighted average prices above cost of
production and sustainable volumes.

15]Coarse flake and fines prices ex-China remained strong due to stable demand and
ongoing supply disruptions including from Ukraine and Russia and lower Chinese supply.

16]The global container shipping market continues to soften in the Company’s favour through 2023 to date, with further growth
in the global vessel fleet, cleared port congestion, good scheduling reliability and weaker trade demand trends.

17]East Africa
vessel services and container availability continues to improve with significantly higher year on year container exports




reported from key ports, including Nacala. Global container freight rates are facing sustained pressure given the market
backdrop and are generally below typical pre-Covid pandemic levels. Freight rates for Syrah’s Nacala container and Pemba
breakbulk cargoes were approximately two times the long-term average in the March 2023 quarter. With the availability of
the Pemba export route for Balama products in addition to container shipments from Nacala, there is no logistics impediment
to Balama sales and production of at least 20kt per month