Focus Graphite Identifies Potential 50% Power Capital Reduction in Lac Knife Electrical Study

Focus Graphite Inc. has completed an independent electrical infrastructure desktop study for its Lac Knife graphite project in Quebec, identifying a preferred grid connection strategy that could cut direct power-related capital requirements by more than half compared to previous estimates.
The study, prepared by Norda Stelo Inc., evaluated seven potential electrical supply scenarios and selected a direct connection to Hydro-Québec's three-phase, 34.5-kV distribution grid. The configuration spans approximately 30.7 kilometres across public lands, combining the upgrade of 3.17 kilometres of existing single-phase line with 27.5 kilometres of new three-phase distribution line.
Under the preferred approach, Hydro-Québec would construct the principal distribution infrastructure on behalf of the company, taking responsibility for environmental permitting and long-term maintenance.
The findings mark a substantial change from the 2023 Feasibility Study Update, which allocated C$19.9 million in initial capital for power and communications infrastructure within total pre-production capital of approximately C$236.9 million. The Norda Stelo study concluded that shortening new power-line construction from roughly 50 kilometres to 27.5 kilometres, eliminating additional infrastructure requirements at Hydro-Québec's Normand substation, and applying standard per-kilometre construction costs could reduce direct power-related capital requirements by more than 50%. The company noted that the estimate is preliminary and subject to final engineering and Hydro-Québec's connection terms.
The electrical work follows Prime Minister Mark Carney’s August 17, 2026 announcement, which recognized Lac Knife among four strategic pre-development projects supported through Natural Resources Canada’s First and Last Mile Fund. Focus Graphite secured C$1,378,700 in non-repayable federal funding in June 2026 to cover approximately 50% of eligible costs for the road and electrical infrastructure studies.
"With both our access-road and electrical desktop studies now complete, we are identifying meaningful infrastructure efficiencies relative to the 2023 Feasibility Study," said Dean Hanisch, Chief Executive Officer of Focus Graphite. "The preferred electrical strategy provides a pathway to significantly reduce power-related capital requirements while connecting Lac Knife to Quebec's clean hydroelectric grid."
Lac Knife is anchored as one of the company's two 100%-owned graphite assets in Quebec and is identified as one of North America's highest-grade feasibility-stage graphite deposits.
Focus Graphite intends to continue working with Hydro-Québec and its engineering consultants to advance the preferred connection strategy, confirm technical requirements, and define future cost responsibilities for the project.
Read the full announcement: Focus Graphite Highlighted in Prime Minister Carney's Historic Clean Energy and Critical Minerals Announcement; Completes Lac Knife Electrical Desktop Study