Ann: Natural Graphite Market Update and Operational Response, page-41

No project can introduce 50% new graphite supply into a market that IS in equilibrium and not affect product pricing? Focusing on quantity over quality is the direct result of NOT understanding the graphite powder space.

I spoke to several Chinese end users and the only reason they were qualifying and purchasing SYR flake was SYR was offering -195 at sub US$ 350 MT CIF, well below what the Chinese cost is to produce, hence the net importer moniker .

The is will and expected to continue to be a painful and costly exercise that put SYR on the backside of the market, yet still following citing the pseudo - Benchmark Minerals hype of the battery market.

I have had conversations with several new graphite projects that have met with the Benchmark team and they knew more than Benchmark did...this creates an enormous red flag.

An incredible disservice to investors, stakeholders, and new graphite projects trying to secure financing; ALL affected by the lack of graphite expertise or experience by SYR management as well as directly increasing potential debt financiers or future investors into a higher risk averse category.