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Vancouver, British Colombia, October 1, 2025 (Globe Newswire) – South Star battery Metals Corp. (“”South starOr “Company“) (TSXV: STS) (OTCQB: STSBF) I am glad to provide recent changes to the management and board of directors of the company.
The appointment of Tiago Kunh as a temporary general director, president and director
In addition to the press release on September 11, 2025, Tiago Kunha took on the role of the interim general director, president and director of South Star. Mr. Kunha, together with his branches, is the largest shareholder of the company and agreed to subscribe to $ 2.085 million. USA ($ 1.5 million) notes convertible to the company's units (see press release on September 29, 2025). M -Kunha is a shareholder manager in the GROU Capital investment fund and the executive director of capital markets with extensive experience in the field of mineral resources and energy transition, being one of the first Brazilian managers of lithium, uranium, graphite and rare earth companies.
The appointment of Darren Prince as a financial director and corporate secretary
In addition to the press release on August 26, 2025, Darren Prince joined the company as a financial director and corporate secretary. M -n Prince has more than 20 years of experience in all aspects of the function of accounting and finance, including corporate reporting, treasury management, risk management and budgeting. Mr. Prince served as a financial director for TSX, TSX Venture and NYSE companies, as well as in private organizations in several industries, including mining industries, oil and gas, agriculture and private shareholder. As a financial director, Mr. Prince led various initiatives in the capital markets and watched several transactions with M&A. Earlier in his career, the prince worked in the practice of confidence in Ernst & Young.
The appointment of Rogerio Barsellos as the general director of Santa Cruz Graphite Project
Starting from July 11, 2025, Rogerio Barcelos was appointed general manager of the Santa -Krrus graphite project. M -n Barsellos has a long and outstanding career in the field of mining industry and jobs, including Anglo American, AB InBEV and Phosfaz, one of the first phosphate projects in Brazil. Mr. Barsellos works on the spot in the Santa-Crucus project and developed a well-structured and achievable plan for the debit of the Santa-Crus factory to its design capacity and is in the process of updating the plan to expand production in Santa Cruz up to 10,000 tons per year of the graphite concentrate.
Director's resignation
The company also announces that Roger Mortimer resigned as a director as of August 20, 2025 to use other opportunities. The rule thanks Mortimer for his contribution and I wish him all the best in his future undertakings.
Operational update
The company faced problems during the commissioning and startup of the Graphite Santa Cruz project in Brazil, which led to a deficit of working capital. These problems arose due to problems with the choice of equipment during the initial construction, significant rain events during the commissioning period and typical tasks of starting and commissioning.
Despite these problems, operational indicators have improved significantly in recent months:
- In addition to the press release on May 7, 2025, the company completed its first shipment of graphite, produced approximately 20 tons of graphite concentrate within eight months of growth. During this period, the mixture of the product was approximately 75% of the fines and 25% of flakes, compared with the specification of the plant project 33% of fines and 66% of flakes.
- For the second container with graphite (sold and ready for shipment), the company produced the same 20 tons of graphite in just a month and a half, with an improved mixture of a product of 25% of fines and 75% of flakes, demonstrating progress in the direction of plant design.
After a detailed consideration of the capital costs necessary for the scaling of production up to 5,000 tons per year, and subsequently 10,000 tons per year, the company determined the potential saving of operating costs by about 40%. These savings include both constant measures (such as increasing energy efficiency) and temporary measures expected within the next six months of growth.
As part of the plan for maintenance and fulfillment of capital, as well as to reduce costs during the process of plant mining, all contracts of the contractor are re -offered, which can provide additional opportunities to reduce cash costs.
The company also actively evaluates strategic partnerships that can strengthen its monetary position, improve the presence in the market and/or accelerate capital execution.
The company expects that with revenue from private placements (announced on September 30, 2025) and the deputy loan of Spott Bridge (announced on August 26, 2025), the company will have sufficient funding to achieve the initial designer capacity of 5,000 tons per year at the Santa Cruz factory, which currently intends to achieve in 2026.
About the southern star battery of Metals Corp.
South Star is a Canadian developer of a battery project focused on selective acquisition and development of short-term production projects in America. The graphite project South Star's Santa Cruz, located in the south of Bai, Brazil, is the first series of industrial and batteries projects that will be placed in production. Brazil is the second largest region producing graphite in the world with more than 80-year continuous prey. Santa Curus has mineralization on the surface in loose materials, and successful large-scale testing on pilot plants (> 30 tons) was completed. The test results show that approximately 65% of the graphite concentrate is +80 bags with good extraction and 95-99% of graphite carbon (CG). Thanks to excellent infrastructure and logistics, South Star Phase 1 increases commercial production with the first sales supplied in May 2025. Santa -Kruus has been the first new production of graphite in North and South America since 1996.
The second South Star project in the field of development is strategically located in the center of the developing electric vehicle, an aerospace and defensive center in Alabama, the USA. Vertically integrated production capacities include a mine concentrator and an industrial concentrator in the Kusa, AL and lower factory with the addition of a cost in Mobile, Al, which will modernize the concentrates of natural flakes with mines in Santa Cruz and Bamastar. The preliminary economic assessment NI 43-101 demonstrates strong economic results with a clean above cost before tax (NPV8%) in the amount of $ 2.4 billion. The United States and domestic profit (IRR) is 35%, as well as the posted taxed NPV8%of $ 1.6 billion. USA with IRR 27%. South Star also received grants of $ 3.2 million. The United States from the US Department of Defense for the III to promote the technical and economic justification of the Bamastar project.
South Star strives for corporate culture, a plan for the implementation of projects and safe operations that cover the highest standards of ESG principles based on transparency, involvement of interested parties, constant education and management. To learn more, visit the company's website at the address http://www.southstarbatterymetals.comField
This press release was considered and approved for South Star Marc Leduc, P. Eng., A “qualified person” under the national instrument 43-101 and the chairman of South Star Battle Metals Corp.
On behalf of the board of directors of the South Star,
Mr. Mark Leduk,
Chairman of the Board of Directors
To obtain additional information, please contact the South Star investors
Communication with investors of the South Star
A warning statement
Neither the collection of TSX Exchange, nor its provider of regulation services (how this term is determined in the TSX Venture Exchange policy) are responsible for the adequacy or accuracy of this press release.
Advanced information
This press release contains “promising statements” in the importance of applicable securities legislation. Advanced statements are related to information based on assumptions about management, forecasts of future results and estimates, not yet determined amounts. Any statements that express forecasts, expectations, beliefs, plans, forecasts, goals, assumptions or future events or results are not statements of a historical fact and may be “forecast statements”.
The advanced statements in this press release include, but are not limited, reach the design capacity of the Santa Crucus factory, the beginning and terms of production in the Santa-Krus project; scaling operations; promotion of the Alabama project; And the general strategy, plans and future expectations of the company.
Advanced statements are subject to various risks and uncertainty, which can lead to the fact that actual events or results differ from the fact that they are reflected in promising statements, including, among other things: risks associated with the inability to obtain adequate financing on timely and acceptable terms; risks associated with the result of the trial; Political and normative risks associated with prey and intelligence; risks associated with servicing the lists of the stock exchange; risks associated with environmental regulation and responsibility; potential for delays in the field of intelligence or development or completion of technical and economic justification; uncertainty of profitability; risks and uncertainty related to the interpretation of the results of the drilling industry, geology, evaluation and continuity of mineral deposits; risks associated with the indefinite uncertainty of production and cost assessment and the potential of unexpected costs and expenses; The results of preliminary validity and technical and economic justifications, as well as the possibility that future results of intelligence, development or production will not correspond to the expectations of the company; risks associated with fluctuations in prices for goods; risks associated with obtaining the approval of shareholders for the supply of notes; And other risks and uncertainty related to the prospects of the company, real estate and business, in detail described in other parts of the company's disclosure. Additional information about these and other risk factors can be found in the documents of continuous disclosure of the company's information available in the Sedar+ AT section www.Sedarplus.caField
If one or more of these risks and uncertainty is materialized, or should be incorrect, the actual results can vary significantly from described in forecast statements. Investors are provided from attributing excessive confidence in forecast statements. These promising statements are made at the date of this Agreement, and the company does not accept any obligations to update or revise them in order to reflect new events or circumstances. Actual events or results can differ significantly from the expectations or forecasts of the company.
