VANCOUVER, British Columbia, June 14, 2024 (GLOBE NEWSWIRE) -- Ceylon Graphite Corp. ("Ceylon" or the "Company") (TSX-V: CYL) (OTC: CYLYF) (FSE: CCY) announces today that it intends to amend the terms of 7,222,222 outstanding common share purchase warrants (the "Warrants") due to expire on October 26, 2024 pursuant to a proposed warrant incentive program (the "Program"). The Warrants were issued in connection with a private placement of convertible debentures that closed on October 26, 2023, and are currently exercisable at $0.06 per common share.

The Program will commence on the date of TSX Venture Exchange ("TSXV") approval and will expire 30 days from the date of such approval at 4:00 p.m. (Vancouver time). For the duration of the Program, the exercise price of the Warrants will be amended to $0.05 per common share. If a Warrant is exercised during the term of the Program, the holder of such Warrant will receive for each Warrant exercised, at no additional cost, one common share purchase warrant (the "Incentive Warrant"), which Incentive Warrant will have an exercise price of $0.06 per common share and expire one year from the date of issuance. The Incentive Warrants will be subject to a four-month and one day hold period from their date of issuance. The proceeds from any Incentive Warrant exercised will be used to advance the Company's graphite projects and for general working capital.

All Warrants which have not been exercised by the expiry of the Program will revert to their previous exercise price of $0.06 per common share. The Program is designed to encourage the early exercise of the Warrants. The Program remains subject to the approval of the TSXV.

About Ceylon Graphite Corp.

Ceylon is a public company listed on the TSX Venture Exchange that is in the business of mining for graphite and developing and commercializing innovative graphene and graphite applications and products. Graphite mined in Sri Lanka is known to be some of the highest grade in the world and has been confirmed to be suitable to be easily upgradable for a range of applications including the high-growth electric vehicle and battery storage markets as well as construction, healthcare and paints and coatings sectors.

Further information regarding Ceylon is available at

Sasha Jacob, Chief Executive Officer and Rita Thiel, Chair of the Board of Directors

info@ceylongraphite.com

Corporate Communications

+1(604) 924-8695

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

Cautionary Statement Regarding Forward-Looking Information:

This news release contains forward-looking information as such term is defined in applicable securities laws, which relate to future events or future performance and reflect management's current expectations and assumptions. The forward-looking information includes, but is not limited to, statements regarding any required approval from the TSX Venture Exchange or other exchange or regulator, any expected use of proceeds from the Warrants or Incentive Warrants, any expected change in revenue, any development of Ceylon's properties, regulatory approvals, potential value of products produced with Ceylon graphite, the quality of graphite mined by Ceylon, future graphite applications, Ceylon's role as a potential market leader and expectations related to development of Ceylon's properties and Ceylon's mining operations. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to Ceylon, including the assumption that, the economics of Ceylon's business will not change so as to make preferable any use of proceeds other than as disclosed herein, testing related to the performance of Ceylon's vein graphite material are accurate, there will be no material adverse change in graphite and metal prices, there will be continued demand for graphite powered batteries, all necessary consents, licenses, permits and approvals will be obtained in a timely manner, including various Local Government Licenses. Investors are cautioned that these forward-looking statements are neither promises nor guarantees and are subject to risks and uncertainties that may cause future results to differ materially from those expected. Risk factors that could cause actual results to differ materially from the results expressed or implied by the forward-looking information include, among other things, the results of Ceylon's graphite testing being inaccurate or incomplete, the market for graphite related technologies not developing as expected, failure to obtain or maintain patents and proprietary technology, loss or failure to acquire available high quality graphite, any failures to obtain or delays in obtaining required regulatory licenses, permits, approvals and consents, an inability to access financing as needed, a general economic downturn, a volatile stock price, labour strikes, political unrest, changes in the mining regulatory regime governing Ceylon, a failure to comply with environmental regulations and a weakening of market and industry reliance on high quality graphite. Ceylon cautions the reader that the above list of risk factors is not exhaustive.