Mr. Scott MacFabe reports

BLUMETRIC ANNOUNCES CLOSING OF $15 MILLION BROKERED OFFERING

Blumetric Environmental Inc. has closed its previously announced best-efforts brokered offering of 11,538,461 common shares of the company at a price of $1.30 per offered share for aggregate gross proceeds of $14,999,999.30. The offering was led by Clarus Securities Inc. and Raymond James Ltd., as co-agents and co-bookrunners.

The offered shares were offered in the provinces of British Columbia, Alberta, Manitoba, Ontario and New Brunswick, pursuant to a prospectus supplement dated Dec. 3, 2025, to the short form base shelf prospectus of the company dated Nov. 18, 2025. The offered shares were also offered in the United States or to qualified institutional buyers pursuant to Rule 144A under the United States Securities Act of 1933, as amended, or in such other manner as to not require registration under the U.S. Securities Act or any applicable securities laws of any state of the United States. Copies of the shelf prospectus and the supplement can be found the company's profile on SEDAR+.

In consideration for the services rendered in connection with the offering, the company paid the agents a cash fee equal to $899,999.96, representing 6.0 per cent of the gross proceeds of the offering, and issued to the agents 692,307 broker warrants, equal in number to 6.0 per cent of the number of offered shares issued under the offering. Each broker warrant entitles the agent to one common share of the company at an exercise price of $1.30 for a period of 18 months from the date of closing.

Proceeds from the offering will be used to finance the cash portion of the purchase price of the previously announced acquisition of DS Consultants Ltd. and for working capital and general corporate purposes.

The acquisition of DS Consultants was announced Dec. 1, 2025. Pursuant to a share purchase agreement dated Dec. 1, 2025, the company agreed to acquire all of the issued and outstanding shares of DS Consultants for the aggregate consideration of up to $22.5-million, which will be satisfied through: (i) an initial cash payment by the company of $10.5-million; (ii) the issuance of $7.5-million of common shares of the company; and (iii) a cash-based earnout paid over three years to a maximum of $1.5-million annually, tied to progressive EBITDA (earnings before interest, taxes, depreciation and amortization) targets. The purchase price is subject to DS Consultants retaining total assets net of total liabilities of at least $4-million. The number of consideration shares paid to the vendors on the closing shall be determined by the 30-day volume weighted average of the company's common shares as traded on the TSX Venture Exchange.

"We maintain a disciplined approach to acquisitions, continuously assessing opportunities that align with our strategic priorities," said Scott MacFabe, Blumetric's chief executive officer. "Our current pipeline is strong, comprising opportunities that we expect to be accretive to the company. We have structured the purchase price for the acquisition of DS Consultants to include progressive earnout payments based on achieving EBITDA targets of $4-million, $5-million and $6-million in the first, second and third annual earnout periods following closing, respectively, consistent with our mutual expectations for the performance of DS Consultants going forward. We remain committed to focusing on deploying capital into opportunities valued at approximately four to six times EBITDA."

DS Consultants provides engineering consulting services in the areas of geotechnical engineering, environmental services, hydrogeology, materials inspection and testing, instrumentation and monitoring, and building science. Its services are provided throughout the land development and building construction cycle, including prepurchase due diligence, design and approvals support, and construction-stage review.

The acquisition of DS Consultants is expected to close on Dec. 10, 2025, or such earlier or later date as the parties may agree.

About Blumetric Environmental Inc.

Blumetric Environmental is a publicly traded water technology and environmental engineering firm. Blumetric designs, fabricates and delivers sustainable solutions to complex water and environmental challenges. The company is supported by more than 230 employees across 11 offices and three manufacturing facilities, with over 50 years of history. Headquartered in Ottawa, Ont., Blumetric's team of industry experts serves commercial and industrial, government, military, and mining clients.

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