Mr. Ofer Vicus reports

ADURO CLEAN TECHNOLOGIES SIGNS NON BINDING LOI FOR DEMONSTRATION PLANT SITE IN EUROPE

Aduro Clean Technologies Inc.'s wholly owned subsidiary, Aduro Clean Technologies Europe B.V., has executed a non-binding letter of intent (LOI) for the proposed purchase of land, buildings and equipment associated with a brownfield industrial site in the Netherlands for a purchase price of two million euros.

Aduro will also pay the vendor a non-refundable fee of 33,782 euros for the exclusive use of the property during the due diligence period. The property is being evaluated as the potential host for Aduro's demonstration plant, marking the next stage in the company's structured scale-up from its next-generation process (NGP) pilot plant. The LOI is non binding and the proposed transaction remains subject to due diligence, negotiation of definitive agreements, and customary conditions and approvals. There can be no assurance that the transaction will be completed as contemplated or at all.

Highlights:

• Diligence period: through to Jan. 15, 2026; with a targeted close on or before Feb. 28, 2026 (customary approvals/conditions);
• Brownfield advantages: existing industrial building and infrastructure with established utilities expected to reduce execution risk and capital intensity, allowing greater focus and resources on the integration between the next-generation pilot (NGP) and the design and fabrication of the demonstration plant;
• Roadmap: final site selection decision by January, 2026; with demonstration plant readiness targeted for early 2027;
• Option value: potential future expansion to commercial scale of up to approximately 25,000 tonnes per annum on the same site, leveraging existing infrastructure and fixed costs;
• Strategic fit: proximity to feedstock and liquid steam crackers; aligned with European Union PPWR circularity objectives.

In early October, 2025, the company announced it had begun a global site-selection process as part of its demonstration plant program, with a focus on locations across Canada, Europe and Mexico. The site-selection project has been progressing efficiently, and the company has started to finalize a shortlist of candidate locations starting with the Netherlands.

The LOI allows for Aduro to complete in-depth diligence for a defined period ending Jan. 15, 2026, and contemplates closing on or before Feb. 28, 2026, subject to customary conditions, approvals and satisfactory due diligence. The company continues to pursue other potential locations in parallel and expects to make a final site selection in January, 2026, as part of a structured plan to advance the hydrochemolytic technology (HCT) from pilot-scale validation toward demonstration scale through a facility targeted for readiness by early 2027.

The proposed site represents a strategic opportunity to advance the demonstration plant phase. As a previously permitted industrial facility, it provides access to existing power, natural gas, water and wastewater connections. Leveraging a brownfield location reduces project risk and capital requirements, by simplifying permitting, zoning and utility integration, while supporting a faster path to operational readiness. The property includes usable infrastructure and existing equipment, creating potential capital cost and resource efficiencies, and it meets evaluation criteria established for the site, including feedstock and logistics alignment, offtake market connectivity, and defined regulatory pathways. While the immediate priority for the property is the construction and commissioning of the demonstration plant, the site preserves the option for future expansion to a capacity of up to 25,000 tonnes per year.

The Netherlands provides an advantageous environment for the next stage of Aduro's growth. The region combines established waste management systems and reliable feedstock availability with one of the highest global concentrations of liquid steam crackers that can utilize outputs of hydrochemolytic conversion. The European Union's Packaging and Packaging Waste Regulation (PPWR) is tightening recyclability and recycled-content obligations, supporting sustained demand for certified circular feedstocks. This industrial base, supported by a historically strong chemical sector adapting to a changing market landscape, offers well-developed integration points for circular naphtha and certified polymers. The area also benefits from a mature circular plastics ecosystem that provides access to skilled labour, independent testing and validation capabilities, and proximity to downstream offtake pathways. Together, these conditions create a supportive environment for efficient program execution and integration of the hydrochemolytic process within an established industrial framework.

"The LOI represents another important step on the path from pilot to demonstration and ultimately to commercialization," said Ofer Vicus, chief executive officer at Aduro. "The team is applying the same disciplined approach used in developing the next-generation process (NGP) pilot plant, identifying a site that meets our rigorous evaluation standards while preserving the option for future expansion to commercial scale operations. Additional industrial sites are also being evaluated to ensure selection of the optimal location for advancing the demonstration plant phase. This structured approach reduces execution risk and maintains focus on process integration, performance validation and customer engagement. It also reflects the adaptability of hydrochemolytic technology (HCT) to existing industrial facilities, where conventional thermal systems can be modernized through lower-temperature, water-based chemistry, benefiting from established infrastructure and supply chains."

"Europe offers a unique opportunity to strengthen collaboration across the value chain," said Eric Appelman, chief revenue officer at Aduro. "The region's concentration of chemical producers, converters and recyclers provides a strong base for advancing engagement with prospective partners and offtakers. Establishing a demonstration plant in the Netherlands will help validate performance at scale and accelerate the conversations that translate technical success into commercial adoption."

About Aduro Clean Technologies Inc.

Aduro Clean Technologies is a developer of patented water-based technologies to chemically recycle waste plastics; convert heavy crude and bitumen into lighter, more valuable oil; and transform renewable oils into higher-value fuels or renewable chemicals. The company's hydrochemolytic technology relies on water as a critical agent in a chemistry platform that operates at relatively low temperatures and cost, a game-changing approach that converts low-value feedstocks into resources for the 21st century.

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