Mr. Michael Liik reports

CYMAT ANNOUNCES PROGRESSION TO PROTOTYPES AND PHYSICAL TESTING ON AUTOMOTIVE COMPONENT

Cymat Technologies Ltd. has commenced with the production of prototype automotive components to be followed by physical impact testing for an electric vehicle (EV) manufacturer (OEM (original equipment manufacturer)).

Cymat has been working with this OEM for almost a year to develop a composite solution for the underside impact protection of a new electric vehicle's battery enclosure. The traditional industry solution has been a reinforced, high-strength steel plate. The OEM engaged Cymat when its own solution, a machined high-strength steel plate, failed to meet its testing criteria. Cymat, together with its design partner, Tesseract Structural Innovations Inc., has developed an advanced aluminum foam sandwich structure featuring an ultrathin version of high-density SmartMetal aluminum foam.

The component is engineered to protect the battery box from an impact force of 120 joules from an object the size of a trailer hitch ball, which is equivalent to a collision at 48 miles per hour. Cymat's design offers a slim profile that is 40 per cent lighter and more economical than the traditional steel solution. Light-weighting is critical in EVs as a vehicle's range is directly proportional to its mass. As well, the elevated weight in current EVs causes considerable roadway damage. As such, the lighter weight and enhanced crash protection of Cymat's component are especially germane to today's corporate focus on ESG (environmental, social and governance) goals.

Cymat and Tesseract have designed the component utilizing computerized simulations performed by an independent laboratory. These simulations have illustrated that this component exceeds the OEM's rigorous standards for impact protection. The next phase of physical impact testing is intended to further validate these simulation results. Upon the successful completion of these tests, Cymat anticipates that it will commence negotiations with the OEM to manufacture the component for the new electric vehicle, scheduled to be launched in late 2024 to early 2025.

Cymat has exclusive ownership of this design concept, which has relevance to virtually all other electric vehicle battery enclosures. The company intends to utilize these test results, including high-speed video of the component's performance, to market its design to other electric vehicle OEMs and parts manufacturers.

Michael Liik, Cymat's chief executive officer, commented, "This is the first time that Cymat has advanced to the prototyping and physical crash-testing stage with an automotive OEM." He went on to say, "I am particularly excited about the ability to market this innovative design concept to other automotive companies and parts suppliers who are all faced with the same battery enclosure challenges." He added, "This development further validates our strategy of focusing on developing technology to enhance the performance of battery enclosures for electric vehicles, an area still very much in its infancy."

Cymat is continuing to work closely with other automotive OEMs and parts manufacturers on additional components, including those outlined in previous press releases (July 5, 2022, and Dec. 13, 2023). Updates on these development programs and other automotive initiatives will be forthcoming.

About Cymat Technologies Ltd.

Cymat has the global rights, through patents and established know-how, to manufacture and sell stabilized aluminum foam (SAF), a unique, ultralight, cellular metallic material. The proprietary production process entails the injection of gases through a molten bath of alloyed aluminum infused with ceramic particles. The result is an advanced, lightweight, recyclable material that exhibits unique characteristics, including customizable density and dimensions; mechanical energy absorption; thermal and acoustic insulation; and time, temperature and strain-rate insensitivity. A key benefit of this continuous foam production process is its scalability and resultant low cost of production. SAF is used in such industries as architectural design, military and automotive. Cymat markets its architectural SAF under the Alusion brand and its automotive and military SAF under the SmartMetal brand.

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