MASON RESOURCES CONGRATULATES NOUVEAU MONDE GRAPHITE FOR GROUNDBREAKING ANNOUNCEMENTS SECURING OFFTAKES WITH PANASONIC ENERGY AND GM ALONG WITH STRATEGIC FINANCINGS

Rhea-AI Summary

Mason Resources Inc. congratulates Nouveau Monde Graphite Inc. on securing groundbreaking milestones with binding offtake agreements with Panasonic Energy and GM, along with strategic financings. Mason is a 9.25% strategic shareholder of NMG. NMG's recent press releases detail significant partnerships and investments.

Insights

Market Research Analyst

The strategic partnerships and financing agreements announced by Nouveau Monde Graphite Inc. (NMG) with Panasonic Energy and General Motors (GM) represent significant developments within the electric vehicle (EV) supply chain, particularly in the North American market. These binding offtake agreements are indicative of a robust demand for graphite, a critical component in lithium-ion batteries, which are essential for EVs.

The equity investments accompanying these offtake agreements, totaling US$175 million, provide substantial financial backing for NMG's Phase 2 operations. This influx of capital is likely to enhance the company's production capabilities and supply chain resilience, potentially leading to increased investor confidence in NMG's long-term growth prospects. The involvement of major industry players such as GM and Panasonic Energy could also be seen as a validation of NMG's operational and technological capabilities, which might trigger a positive market response and influence peer companies to seek similar agreements.

Financial Analyst

From a financial perspective, the investments of US$150 million from GM and US$25 million from Panasonic Energy into NMG are pivotal for the company's capital structure and future financing needs. These strategic investments may improve NMG's balance sheet, reduce financial risk and provide leverage in future negotiations with suppliers and financiers. Furthermore, the commitments from anchor customers and strategic investors amounting to US$87.5 million earmarked for the company's graphite operations underscore a strong vote of confidence in NMG's business model and market position.

Investors should consider the potential impact of these agreements on NMG's revenue streams and profitability. The long-term nature of the offtake agreements provides a predictable cash flow, which could lead to an improved valuation of the company. Additionally, the strategic stake held by Mason Resources Inc. implies a symbiotic relationship that could yield collaborative benefits and enhance shareholder value for both entities.

Legal Expert

The legal implications of binding offtake agreements are substantial, as they create enforceable commitments between NMG and its partners. These contracts likely contain provisions that specify quantities, prices and delivery schedules, which can shield NMG from market volatility and ensure stable revenue over the contract period. It is also probable that such agreements include clauses to address potential disputes and supply chain disruptions, which are critical for risk management in the current geopolitical and economic climate.

Given the scale and strategic nature of the agreements with GM and Panasonic Energy, it is reasonable to assume that these contracts were subject to rigorous due diligence processes. This level of scrutiny is typical for deals involving publicly traded companies and significant financial investments. The transparency and regulatory compliance required in the structuring of these agreements are likely to reinforce investor trust in NMG's governance and operational integrity.

TORONTO, Feb. 15, 2024 /PRNewswire/ - Mason Resources Inc. ("Mason") (TSXV: LLG) (OTCQX: MGPHF) congratulates Nouveau Monde Graphite Inc. ("NMG") (NYSE: NMG) (TSXV: NOU) on its truly groundbreaking milestones, securing unprecedented binding offtake agreements with both Panasonic Energy and GM, as well as securing strategic financings. Mason is proud to be a 9.25% strategic shareholder of NMG (see press release dated January 22, 2024).

The three (3) press releases issued earlier today can be found on NMG's website at the following:

NMG Announces Offtake Agreement with GM for Canadian Graphite and US$150 Million Equity Investment:

https://nmg.com/binding-offtake-gm/

NMG and Panasonic Energy Announce Binding Offtake Agreement and US$25 Million Private Placement to Secure the Supply of Active Anode Material for North American Battery Production

https://nmg.com/binding-offtake-panasonic/

NMG Secures Multiyear Offtakes and total US$87.5 Million Investment from Anchor Customers and Strategic Investors to Underpin its Phase 2 Ore-to-Battery-Material Graphite Operations

https://nmg.com/private-investment-offtake/

About Mason Resources Inc.

Mason Resources Inc. is a Canadian corporation focused on seeking investment opportunities. Mason currently owns 9.25% of NMG and is the largest shareholder (39%) of Black Swan Graphene Inc. ("Black Swan") (TSX.V: SWAN) (OTCQB: BSWGF) focusing on the large-scale production of patented high-performance and low-cost graphene products aimed at several industrial sectors, including concrete and polymers, which are expected to require large volumes of graphene and, in turn, large volumes of graphite. Black Swan aims at leveraging Québec's emerging graphite industry to establish an integrated supply chain. In 2023, Black Swan, Nationwide Engineering Research & Development Ltd., and Arup Group Ltd. announced strategic partnerships and, in 2024, Black Swan announced a commercial agreement with Hubron International Ltd. Black Swan's graphene processing technology was developed over the span of a decade by Thomas Swan & Co. Ltd., a United Kingdom-based global chemicals manufacturer, with a century-long track record.

For more information: www.masonresourcesinc.com and www.blackswangraphene.com.

About Nouveau Monde Graphite

Nouveau Monde Graphite is striving to become a key contributor to the sustainable energy revolution. The Company is working towards developing a fully integrated source of carbon-neutral battery anode material in Québec, Canada, for the growing lithium-ion and fuel cell markets. With enviable ESG standards, NMG aspires to become a strategic supplier to the world's leading battery and automobile manufacturers, providing high-performing and reliable advanced materials while promoting sustainability and supply chain traceability.

For more information: www.NMG.com

Mason Resources Inc. on behalf of the Board of Directors
Peter Damouni, President & Chief Executive Officer

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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SOURCE Mason Resources Inc.

FAQ

What are the ticker symbols for Mason Resources Inc. and Nouveau Monde Graphite Inc. mentioned in the press release?

The ticker symbol for Mason Resources Inc. is TSXV: LLG and for Nouveau Monde Graphite Inc. it is NYSE: NMG and TSXV: NOU.

What are the recent milestones achieved by Nouveau Monde Graphite Inc. mentioned in the press release?

Nouveau Monde Graphite Inc. secured binding offtake agreements with Panasonic Energy and GM, along with strategic financings.

What is Mason Resources Inc.'s stake in Nouveau Monde Graphite Inc.?

Mason Resources Inc. is a 9.25% strategic shareholder of Nouveau Monde Graphite Inc.

Where can the press releases mentioned in the PR be found?

The press releases can be found on Nouveau Monde Graphite Inc.'s website.

What is the significance of the recent partnerships and investments detailed in the press releases?

The partnerships and investments are significant as they involve binding offtake agreements with major companies like GM and Panasonic Energy, along with strategic financings.