Ontario Superior Court Dismisses Claims Originally Exceeding $6 Million Against Zentek
Guelph, Ontario, March 13, 2026 – Zentek Ltd. (TSX-V: ZEN) (NASDAQ: ZTEK) (“Zentek” or the “Company”) announces that the Ontario Superior Court of Justice (Commercial List) has issued its Reasons for Judgment dated March 12, 2026, in the companion actions Eveleigh et al. v. Zenyatta; Zentek v. Eveleigh et al., 2026 ONSC 1510.
Background
The litigation arose following the removal of Aubrey Eveleigh, the Company's founder and former President and Chief Executive Officer, by shareholders at a special meeting held on May 11, 2018. The two companion actions were tried together before Justice Osborne of the Ontario Superior Court of Justice.
Outcome
The Court dismissed substantially all claims advanced by Mr. Eveleigh and his consulting firm, Eveleigh Geological Consulting Inc. Original claims, as filed, exceeded $6 million. At trial, the claims were refined and the Court denied all remaining monetary claims, specifically:
- A Success Fee claim of $282,500 — denied on the basis that the pre-feasibility study required to trigger the payment obligation was never commenced;
- Severance claims totaling $1,350,000 under the President's Agreement and related Memorandum of Agreement — found to be void and unenforceable as a result of breaches of fiduciary duty;
- Unpaid wages of $51,748.82 — denied;
- Defamation damages of $75,000 — denied, with the Court finding the relevant statements were factually accurate; and
- Indemnification claims of approximately $194,000 in costs and disbursements — denied.
With respect to Zentek's claim for cancellation of 4.5 million founder shares and disgorgement of profits, the Court found that the shares had been properly issued and that there was no basis to set aside the issuance.
CEO Comment
"This judgment closes a chapter that has been part of Zentek's history since before I arrived on December 1," said Moe Jiwan, CEO of Zentek. "The Court's decision speaks for itself. What matters now is execution — on Albany, on ZenGUARD™, on Triera, and on building the foundation this company deserves. We move forward."
About Zentek
Zentek Ltd. is a Canadian intellectual property development and commercialization company advancing a portfolio of graphene-enabled and advanced material technologies across clean air, next-generation materials, and critical minerals. The Company's core platforms are Albany Graphite, ZenGUARD™, and Triera.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of applicable Canadian securities legislation and the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on assumptions and estimates that management considers reasonable at the time they are made, but which may prove to be incorrect. Readers are cautioned not to place undue reliance on forward-looking statements. Zentek undertakes no obligation to update forward-looking statements except as required by applicable law. Additional information about Zentek and its business activities is available on SEDAR+ at www.sedarplus.ca and on EDGAR at www.sec.gov.
For further information:
Mohammed (Moe) Jiwan
Chief Executive Officer, Zentek Ltd.
T: 416-709-8876
E: mjiwan2@zentek.com
W: www.zentek.com
About Zentek Ltd.
Zentek is an ISO 13485‑certified intellectual property development and commercialization company that builds and advances distinct brands in filtration, biosciences and critical minerals using graphene‑based nanomaterials and aptamer technologies.
Zentek's ZenGUARD™ production facility is located in Guelph, Ontario.
To find out more about Zentek, please visit www.zentek.com. A copy of this news release and other material documents in respect of the Company may be obtained on Zentek's SEDAR+ profile at www.sedarplus.ca.
Forward-Looking Statements
This news release contains forward‑looking statements. Since forward‑looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward‑looking statements. Such risks and uncertainties include, but are not limited to, operational risks in exploration, development and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainties involved in the discovery and delineation of mineral deposits, resources or reserves; the uncertainty of resource and reserve estimates and the ability to economically exploit resources and reserves; the uncertainty of estimates and projections in relation to production, costs and expenses; the uncertainty surrounding the ability of the Company to obtain all permits, consents or authorizations required for its operations and activities; market and regulatory risks; and health, safety and environmental risks. Although Zentek believes that the assumptions and factors used in preparing the forward‑looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Zentek disclaims any intention or obligation to update or revise any forward‑looking information, whether as a result of new information, future events or otherwise, other than as required by law. Further studies, financing, permits and approvals would be required before a production decision Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.