NextSource Materials Announces Factory Acceptance Testing of the Molo Graphite Mine Processing Plant is Complete and Preparations for Transport to Mine Site Have Initiated

NextSource Materials Inc. (TSX:NEXT)(OTCQB:NSRCF) ("NextSource" or the "Company") is pleased to announce that Factory Acceptance Testing and final verification of equipment design specifications and end-to-end functions of the processing plant for Phase 1 of the Molo Graphite Mine (the "Processing Plant") is complete

The Processing Plant was designed and built using an all-modular approach and is capable of processing 240,000 tpa of ore and producing approximately 17,000 tpa of high-quality SuperFlake® graphite concentrate. Factory Acceptance Testing ("FAT") was the final validation step after the fabrication and assembly of the Processing Plant equipment and was completed by our Engineering, Procurement and Construction contractor in their off-shore assembly facility under the supervision of SGS, the world-leader in process plant testing, inspection, and process certification.

President and CEO, Craig Scherba commented,

"2021 was a transformative year for the Company, and we are very pleased to begin the New Year with the successful completion of the Factory Acceptance Testing of our Molo Processing Plant. We can now shift our focus to achieving our next major milestones for this year, which include completing site works, and the delivery, installation and commissioning of the Processing Plant".

With the FAT process and final verification process now successfully completed, the Processing Plant will be dismantled and shipped to the mine site for installation.

Phase 1 of the Molo Graphite Mine is fully funded and when commissioned, will become one of the few operating graphite mines outside of China.

About NextSource Materials Inc.

NextSource Materials Inc. is a strategic materials development company based in Toronto, Canada that is intent on becoming a fully integrated, global supplier of critical battery and technology materials needed to power the sustainable energy revolution.

The Company's Molo graphite project in Madagascar is one of the largest known and highest-quality graphite deposits globally, and the only one with SuperFlake® graphite. Construction of Phase 1 of the Molo Project is underway, with commissioning expected in mid 2022.

NextSource Materials is listed on the Toronto Stock Exchange (TSX) under the symbol "NEXT" and on the OTCQB under the symbol "NSRCF".

For further information contact: +1.416.364.4911

Brent Nykoliation, Senior Vice President, Corporate Development at brent@nextsourcematerials.com or Craig Scherba, President and CEO at craig@nextsourcematerials.com

Safe Harbour: This press release contains statements that may constitute "forward-looking information" or "forward-looking statements" within the meaning of applicable Canadian and United States securities legislation. Readers are cautioned not to place undue reliance on forward-looking information or statements. Forward looking statements and information are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "potential", "possible" and other similar words, or statements that certain events or conditions "may", "will", "could", or "should" occur. Forward-looking statements include any statements regarding, among others the timing of the re-assembly and commissioning of the Molo Plant, completion of FAT, collaboration agreements to build a value-added CSPG (anode) facility, time to commissioning the BAF, the demand for EVs, the use of SuperFlake®, successful and on-budget construction of the Molo Graphite Project, CSPG plant and BAF, sourcing the funds needed to construct the BAF, expansion of the BAF, estimated future production from the Molo Graphite Project, completion of the study relating to the BAF, and the continuation of the supply relationships of the Partners. These statements are based on current expectations, estimates and assumptions that involve a number of risks, which could cause actual results to vary and, in some instances, to differ materially from those anticipated by the Company and described in the forward-looking statements contained in this press release. No assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur or, if any of them do so, what benefits the Company will derive there from. The forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws. Although the forward-looking statements contained in this news release are based on what management believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with them. These forward-looking statements are made as of the date of this news release and are expressly qualified in their entirety by this cautionary statement. Subject to applicable securities laws, the Company does not assume any obligation to update or revise the forward-looking statements contained herein to reflect events or circumstances occurring after the date of this news release.

SOURCE: NextSource Materials Inc.