Mr. Tejinder Virk reports

OSTROM CLIMATE APPLAUDS NEW METHODOLOGY FOR RICE METHANE REDUCTION AND PROVIDES LEADERSHIP UPDATE

Ostrom Climate Solutions Inc. has applauded Verra, a leading global standard organization that certifies greenhouse gas reduction projects through the Verified Carbon Standard, for releasing VCS methodology VM0051 improved management in rice production systems, Version 1.0, and has commenced registration of the company's Upper Pampanga River climate-smart agriculture rice project in the Philippines. Verra's update enhances the credibility and impact of carbon credit methodologies for rice methane reduction and aligns with Ostrom's continuing commitment to high-integrity climate action.

Highlights:

• Ostrom welcomes Verra's VM0051 methodology as a major step forward in ensuring robust, science-based quantification of emission reductions in rice cultivation.
• The new Verra methodology update reinforces the legitimacy of rice methane reduction projects, aligning with global standards for high-quality carbon credits.
• Ostrom strengthens its presence in the Philippines with a recently incorporated Philippine operating subsidiary focused on delivering large-scale emission reductions through climate-smart agriculture practices.
• Ostrom to commence project registration for UPRIIS under the new Verra methodology to maximize impact and secure high-integrity carbon credits.
• Ostrom has on-boarded Raniela R. Rabe as project director for UPRIIS and announces other leadership changes.

Ostrom applauds Verra's enhanced methodology

Verra's newly released VM0051 improved management in rice production systems, Version 1.0, replaces the previous clean development mechanism methodology AMS-III.AU, which was inactivated in March, 2023. This update introduces a broader range of eligible project activities, enhanced monitoring techniques and improved baseline calculations, strengthening the integrity and impact of rice methane reduction projects. Notably, it allows for increased scalability and a more precise assessment of emission reductions using digital MRV (measurement, reporting and verification) tools.

Chief executive officer Tejinder Virk commented: "Ostrom welcomes Verra's updated methodology, which reinforces the scientific rigour and credibility of climate mitigation in rice systems. This framework not only ensures that our climate-smart agriculture initiatives, such as the UPRIIS project in the Philippines, deliver measurable, high-quality carbon credits while supporting farmers and local communities, but also sets a new benchmark for precision in monitoring and impact assessment. We are moving swiftly to complete project registration under this methodology, ensuring that the UPRIIS project leads the way in sustainable rice cultivation."

UPRIIS climate-smart agriculture carbon project

The UPRIIS project, a flagship initiative of Ostrom, is designed to transform rice cultivation across approximately 100,000 hectares in Central Luzon, Philippines. By implementing alternate wetting and drying practices, the project aims to reduce methane emissions by up to 48 per cent per hectare, while improving water and fertilizer efficiency. With Verra's methodology update, these reductions will be quantified with even greater scientific accuracy, ensuring that stakeholders can trust the credibility of the verified carbon units generated.

Chief executive officer Tejinder Virk added: "The adoption of Verra's latest methodology is a game-changer for climate-smart agriculture. By incorporating best-in-class digital MRV systems and advanced quantification models, VM0051 provides a clear pathway for scaling sustainable rice cultivation. This methodology introduces an unprecedented level of data transparency and rigour, ensuring that farmers, investors and global stakeholders can confidently support climate-smart rice production. Our in-country operational team remains committed to delivering high-quality carbon credits that meet the highest environmental and integrity standards."

Leadership update

The company is pleased to announce that Ms. Rabe has joined as project director for the UPRIIS in the Philippines. Ms. joins Ostrom from Klima 1.5 Corp., where she was a project manager overseeing nature-based solutions projects. She brings extensive expertise in carbon project development and sustainability strategies, further strengthening Ostrom's leadership in the region. Klima 1.5 is Ayala Group's platform for its carbon management business through nature-based solutions. Publicly traded Ayala Corp. is one of the largest conglomerates in the Philippines.

The company also announces Phil Cull is no longer serving as an officer of the company and has resigned as a director of the company. His responsibilities have been reallocated internally to ensure continuity and execution of Ostrom's strategic objectives. The company wishes Mr. Cull well in his future endeavours.

About Ostrom Climate Solutions Inc.

Ostrom is one of North America's leading providers of carbon project development and management services, climate solutions and carbon credit marketing. Over the past 12 years, Ostrom has validated and verified forest carbon projects globally for voluntary and regulated markets, having developed 16 million acres of forest land for conservation and monetized over 10 million carbon credits. Based out of Vancouver, B.C., Canada, the Ostrom team has a global reach, has worked with over 200 organizations globally, including Fortune 500 companies, managed projects in partnership with indigenous stakeholders and has extensive on-ground experience in emerging markets.

Ostrom is focused on developing high-quality carbon projects that have a positive impact on the environment, local communities and biodiversity. Ostrom is publicly listed on the TSX Venture Exchange and the Frankfurt Stock Exchange.

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