General Discussion - GCM, page-9

Possible outcomes of the case:

1. GCM Wins: If the court rules in favor of GCM, it would validate their 80% ownership claim, solidifying their position in the McIntosh project and enabling them to further develop the resource when needed.
2. HXG Wins: If HXG (NH3) successfully defends its claim, GCM could lose their stake in the McIntosh project, which would require them to rely entirely on alternative upstream supply sources.
3. Settlement: Both parties could reach an out-of-court settlement, possibly involving a renegotiation of ownership terms or financial compensation, though this may delay progress on the project.
4. Partial Win: The court could rule in a way that splits ownership or imposes conditions on GCM or HXG, which could complicate future operations and timelines for both parties.

Regardless of the outcome, GCM’s strategy to source upstream supply from outside McIntosh for the foreseeable future ensures that the VHD graphite production timeline remains on track.