NextSource Materials Inc. (TSX:NEXT) (OTCQB:NSRCF) ("NextSource" or the "Company") is pleased to announce a Special Meeting of Shareholders will be held virtually on May 17, 2021 to seek approval of the second and remaining tranche of the previously announced financing with Vision Blue Resources Limited ("Vision Blue"), a newly created battery commodity/resource-focused private investment company founded by Sir Mick Davis, in order to complete the full investment of US$29.5 million committed by Vision Blue for investment into NextSource.

The Board of Directors unanimously recommends that shareholders vote "FOR" the ordinary resolution (the "Transaction Resolution") approving the second tranche of the previously announced financing, that will enable NextSource to be fully funded and commission the Molo mine in April 2022.

About Vision Blue and the Significant benefits they bring as a strategic shareholder

Vision Blue is a newly created battery commodity/resource-focused investment company led by Sir Mick Davis that will target companies in established mining jurisdictions with advanced and best-in-class battery material assets that are scalable and can be rapidly brought into production. Vision Blue intends to work with existing management teams by providing critical growth capital, technical support, experience in securing future financing, expertise in building a credible ESG framework, and assistance with eventual exit strategies. Where possible, Vision Blue will utilize a phased development approach to self-finance expansions and acquisitions in order to achieve large scale revenues and cash flows across the entire battery materials vertical supply chain.

Vision Blue is fully supportive of the Company's graphite development strategy and will fast-track NextSource's production plans.

Shareholder approval is required to complete Vision Blue's second and remaining tranche of the total investment package of US$29.5 million, which will enable the Company to:

1. complete construction of Phase 1 of the Molo Graphite Mine expected by April 2022, which, upon completion, is expected to enable the Company to process 240,000 tpa of ore and produce 17,000 tpa of flake graphite concentrate;
2. accelerate the Company's strategic development plans to build a value-added battery anode plant in partnership with established, industry-leading partners within the Tesla supply chain (see April 12, 2021 press release);
3. fast-track our aggressive graphite mine expansion plans targeted for Q2 2024 to meet the growing demand for graphite;
4. finalize additional offtake agreements with significant companies that are awaiting new sources of high-quality flake graphite to come online outside of China;
5. have a well-funded and strategic financial partner with a proven capability to assist the Company in future funding as it advances its battery anode and graphite mine expansion plans;
6. gives NextSource the enviable "first-mover" and "barrier-to-entry" advantage versus the competition in the battery race to have a fully commercial and vertically integrated graphite operation.

Sir Mick Davis, Chairman of NextSource commented,

"My colleagues and I built Xstrata by identifying transformative changes in resource demand. I believe the demand for resources of battery materials will be substantial and graphite in particular is going to play a major role in the decarbonization of the planet.

I view Molo as one of the highest-quality graphite assets globally and well-positioned for significant upside in growth and value. My intent is to help NextSource become a major battery materials producer and our investment is just the first stage in unlocking its potential for shareholders."

Craig Scherba, President and CEO of NextSource commented,

"Battery materials are now at the top of government agendas. Vision Blue's initial investment allowed us to begin the construction phase of our Phase 1 Molo Graphite mine, giving us a first-mover advantage in the establishment of significant market share in the rapidly evolving battery materials space. Their remaining investment will not only allow us to enter targeted production next April, it positions us to be a leading provider of anode material to the EV industry with strategic industry partnerships unique to NextSource."

The X-factor of Vision Blue's investment is the appointment of Sir Mick Davis as a director and Chairman of NextSource. Sir Mick has a storied record of maximizing the potential of mining projects, and his leadership enviably positions NextSource to become a significant market disruptor in the burgeoning battery materials market."

Significant benefits of aligning the Company with Sir Mick Davis

Sir Mick Davis, the Chief Executive Officer and founder of Vision Blue, has extensive capital markets and corporate transaction experience, with 40+ years of experience in the mining, industrial and natural resources sectors and engagement at governmental and operational levels. Most notably, Sir Mick Davis was the former CEO and founder of Xstrata Plc (an Anglo-Swiss multinational mining company until its merger with Glencore Plc in 2013), the former CFO of Billiton Plc and Chairman of Billiton Coal, and the founder and a former partner at X2 Resources, a $5.6 billion mining investment fund. During his career, Sir Mick Davis has been involved in raising almost US$40 billion from global capital markets and completing corporate transactions with a total market value of over US$120 billion.

In connection with the Vision Blue Financing Package, Sir Mick Davis was named a director and Chairman of the Company on March 15, 2021 upon closing of the initial private placement. Approval of the Transaction Resolution will enable the Company to continue to significantly benefit from Sir Mick Davis' extensive business and governance experience.

Vision Blue's involvement as the Company's strategic Shareholder positions the Company to become a market disruptor in the burgeoning energy materials market

Reducing the world's carbon footprint will require a radical shift from hydrocarbons to crystalline carbon (i.e. graphite) for use in electric vehicles and in grid-level energy production and storage. This shift is expected to significantly increase global demand for graphite and for other energy minerals that are used in batteries and for energy storage and renewable energy production. This represents a unique market opportunity for investment in battery materials such as graphite, vanadium, cobalt, indium, lithium, nickel, silver, neodymium, molybdenum, aluminum, zinc and copper.

Approval of the Resolution will enable the Company to advance its Molo Graphite Mine and Green Giant Vanadium Project, consider other opportunities in the energy materials space, and evaluate value-added processing of graphite and the production of battery materials with the support of Vision Blue.

Shareholder questions

Shareholders of NextSource who have questions regarding the Transaction Resolution or may still have questions on how to vote may contact the Company's Executive Vice President, Brent Nykoliation directly by email at This email address is being protected from spambots. You need JavaScript enabled to view it. Additional information on the matters discussed above can also be found in the Company's management information circular dated April 6, 2021 and filed on the Company's profile at www.sedar.com.

About NextSource Materials Inc.

NextSource Materials Inc. is a battery 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.

Targeting mine commissioning by April 2022, the Company's Molo graphite project in Madagascar is regarded as one of the largest and highest-quality graphite resources in the world and the only project with SuperFlake® graphite.

With low-cost operations and both its mining and environmental licenses in place, NextSource Materials has forged strategic and exclusive partnerships with key supply chain participants to provide graphite-based anode material to international OEMs for lithium-ion and fuel cell applications, and graphite for high-end, value-added applications where graphite is an essential material.

The Company will enter production in phases and utilizing an all-modular build approach to construct the Molo graphite mine. Initial production will be approximately 17,000 tonnes per annum ("tpa") over the first two years of production, followed by a significant expansion in production planned in year three to match market demand.

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

Please see "Molo Feasibility Study, National Instrument 43-101 Technical Report on the Molo Graphite Project located near the village of Fotadrevo in the Province of Toliara, Madagascar Prepared by Erudite Strategies (Pty) Ltd" dated May 31, 2019 for certain other details and assumptions relating to the parameters of the project, mineral resource and reserve estimates and data verification procedures. Mr. Craig Scherba, P.Geo., President and CEO of NextSource, is the qualified person who reviewed and approved the technical information provided in this press release.

For further information about NextSource visit our website at www.nextsourcematerials.com or contact us a +1.416.364.4911 or email Brent Nykoliation, Executive Vice President, Corporate Development at This email address is being protected from spambots. You need JavaScript enabled to view it. or Craig Scherba, President and CEO at This email address is being protected from spambots. You need JavaScript enabled to view it..

This press release contains statements that may constitute "forward-looking information" or "forward-looking statements" ("forward-looking statements") within the meaning of applicable Canadian and United States securities legislation. Readers are cautioned not to place undue reliance on such forward-looking statements. Forward-looking statements in this release include statements regarding statements regarding the Total Financing Package being sufficient to fully fund the Molo Graphite Project, collaboration agreements to build a value-added SPG (anode) facility, successful and on-budget construction of the Molo Graphite Mine and SPG plant, estimated future production from the Molo Graphite Project, completion of the technical studies and expansion of the Molo Graphite Project, shareholder approval, the Company's future plans in respect of future investments and the intentions of Vision Blue. 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, including but not limited to the risks that the Molo Graphite Mine is not built on the expected time and cost estimates, that the mineral reserve and resource estimates for the Molo Graphite Mine are incorrect, that expected recoveries and costs to produce SPG are incorrect, and that permits and licences to operate the Molo Graphite Mine may not be renewed or may be revoked, and other risks discussed in the Company's public disclosure documents. 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.