Argyle Begins Exploration Program with Line Cutting for Upcoming IP Survey at the Frenchvale Graphite Property, Nova Scotia

Calgary, September 5, 2024 - Argyle Resources Corp. (CSE: ARGL) (OTCQB: ARLYF) (FSE: ME0) ("Argyle" or the "Company") is pleased to announce that the exploration program at its Frenchvale Graphite Property (the "Property") in Nova Scotia has commenced with line cutting for an upcoming and planned Induced Polarization ("IP") survey. The exploration program at the Property highlights the Company's intention of identifying domestic, Canadian-sourced natural graphite which is crucial due to its strategic value, contribution to supply chain stability, and its role in supporting technological advancements and economic growth. Also, China's ban on the exportation of natural graphite in 2023 has, the Company believes, heightened the importance of domestic, Canadian-sourced natural graphite.

A compilation of historical work which included surface mapping as well as 2008 and 2010 drill programs revealed marble hosted flake graphite horizons on the Property.

The Company's consulting geophysicist, Géophysique TMC, designed an Induced Polarization survey that was placed over what the Company is calling the main zone; this IP grid has lines that are 1.2 kilometers long and each line is approximately 100 meters apart (Figure 1). The IP grid covers an over 800 meter trend of marble-hosted graphite which extends to over 1 kilometer with surface mapping. The line cutting commenced after agreements with private landowners and a logging company that controls the balance of the area approved the work program.

The IP survey will be conducted using a di-pole di-pole array with n=8 array, this array is anticipated to give good resolution on not only silicious marble horizons but also the graphitic zones within the marble. The IP survey produces two sets of data. The first, is the resistivity reading where silicious units within the host marble are expected to return high resistivity values, thereby tracing the these marble horizons within the study area. The second set of IP results are chargeability readings where relatively high chargeability values returned from this survey are anticipated to identify and trace graphitic horizons within the marble. It is hoped that this initial IP survey will prove to be a useful geophysical tool to trace out not only the silicious marble units but also the graphitic horizons within the marble and to be used to direct future drill programs. This would therefore be a tool to direct follow up drill programs to target the graphite rich horizons within the marble.

The contract for the IP survey has been signed and the IP survey is expected to start on or about the 7^th of September and last between 10 days to 2 weeks. Upon completion of the IP survey, the Company's consulting geophysicist will evaluate the results and locate drill targets to follow up on. Argyle has budgeted for the follow up drill program which will commence upon completion of the IP survey and evaluation of the results. A drill contractor has been contacted and is available within the time frame requested, expected to start prior to the end of September.

Figure 1: Area map of Line Cutting and Proposed IP at Frenchvale Graphite Project

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China's Ban on Natural Graphite Exports

China's ban on the exportation of natural graphite in 2023 has heightened the importance of domestic Canadian-sourced, natural graphite for several key reasons¹:

1. Supply Chain Disruption: China has been the dominant global supplier of natural graphite. With its export ban, there is a significant disruption in the supply chain, creating an urgent need for alternative sources. Domestically identified, Canadian graphite, would be a critical substitute to fill the gap left by the reduction in Chinese exports.

2. Strategic Importance: The ban accentuates the strategic importance of securing stable and reliable sources of graphite for North American applications. As industries, especially those in the battery and electronics sectors, seek to diversify their supply chains away from over-reliance on any single country, Canadian graphite can provide a dependable alternative.

3. Rising Demand for Green Technologies: The global push towards electrification and green technologies has intensified demand for graphite, particularly for electric vehicle (EV) batteries and energy storage systems. With China's export restrictions, there is an increased emphasis on securing alternative supplies to meet this surging demand.

4. Geopolitical Considerations: Geopolitical tensions and trade restrictions can significantly impact global supply chains. Canada's stable political environment and robust regulatory framework make it a favorable partner for countries looking to mitigate geopolitical risks associated with reliance on Chinese graphite.

5. Economic Opportunities: With China's export ban creating a supply vacuum, Canadian graphite presents an economic opportunity for growth and investment in the mining sector. This shift not only supports Canada's economy but also encourages the development of local industries and technologies associated with graphite extraction and processing.

In summary, the export ban by China underscores the importance of domestic, Canadian-sourced graphite as a stable, high-quality, and ethically sourced alternative. It can provide a crucial solution to supply chain disruptions, supports the growing demand for green technologies, and aligns with global needs for geopolitical and environmental stability.

ON BEHALF OF THE BOARD OF DIRECTORS

'Jeffrey Stevens'
President & CEO

Qualified Person

Jesse Halle, P. Geo., as a consultant to the company and an independent Qualified Person in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects, has reviewed and accepted the technical material contained in this news release.

For a discussion of the Company's QA/QC and data verification processes and procedures, please see its technical report entitled, Frenchvale Graphite Property NI 43-101, dated December 11, 2023, which is available under the Company's profile at www.sedarplus.ca.

About Argyle Resources Corp.

Argyle Resources Corp. is a junior mineral exploration company engaged in the business of acquiring, exploring, staking and evaluating natural resource properties in North America. The Company currently holds an option to acquire up to 100% of the Frenchvale Graphite Property located in Nova Scotia, Canada and owns 100% interest in the Pilgrim Islands, Matapedia and Lac Comporte quartzite silica projects in Quebec, Canada. Argyle is engaged in a research partnership with the National Institute of Scientific Research (INRS), a high-level research and training institute funded by the Quebec government to conduct exploration programs on the Company's silica projects. The Company was incorporated in 2023 and its head office is located in Calgary, Alberta, Canada.

Forward-Looking Statements

This news release contains forward-looking statements and other statements that are not historical facts. Forward-Looking statements are often identified by terms such as "will", "may", "should", "anticipate", "expects" and similar expressions. All statements other than statements of historical fact, included in this news release are forward-looking statements that involve risks and uncertainties. Such statements in this news release include, but are not limited to, the statements with respect to the Company's planned exploration program; the initiation of work programs generally and the results that may be derived therefrom; the Company's ability to source qualified personnel and third party professionals to carry out exploration and other work; the development and market demand for graphite; and that China's export ban in relation to graphite will remain in place. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to vary from forward-looking statements or may affect the operations, performance, development and results of the Company's business include, among other things that mineral exploration is inherently uncertain and may be unsuccessful in achieving the desired results; that mineral exploration plans may change and be re-defined based on a number of factors, many of which are outside of the Company's control; that the Company may not be able to source qualified professionals to undertake works on its behalf; that the results of its exploration program may be disappointing and not warrant further investigation of its properties; and that global relations may change, particularly with respect to China and critical minerals. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-Looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company will only update or revise publicly any of the included forward-looking statements as expressly required by applicable law.

The Canadian Securities Exchange (CSE) has not reviewed and does not accept responsibility for the adequacy or the accuracy of the contents of this release.

¹ Source: https://www.csis.org/analysis/chinas-new-graphite-restrictions

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