Mr. J.F. Labbe reports

ECOLOMONDO ANNOUNCES CLOSING OF PRIVATE PLACEMENT AND EARLY WARNING REPORT

Ecolomondo Corp. has completed its previously announced non-brokered private placement for gross proceeds of $500,000.13 from the sale of 3,100,776 units of the company at a price of 16.125 cents per unit.

Each unit comprised one common share of the company and one common share purchase warrant. Each warrant entitles the holder to purchase one common share of the company at a price of 24 cents at any time on or before that date that is two years after the closing date of the offering, provided that if the closing price of the common shares on the TSX Venture Exchange is equal to or greater than 35 cents for a period of 10 consecutive trading days, the company may accelerate the expiry date of the warrants by disseminating a news release within seven calendar days after the 10th trading day and, in such case, the warrants will expire on the 30th day after the date on which such news release is disseminated.

At the closing of the offering, the company paid Ventum Financial Corp. a cash commission of $11,706.75, equal to 6.0 per cent of the gross proceeds of the offering resulting from purchasers introduced by Ventum. The company plans to allocate the net proceeds from the offering for projected capital expenditures and for general working capital purposes to meet strategic objectives and commitments, including the acceleration of the production ramp-up of the new Hawkesbury TDP (thermal decomposition process) facility, and the initial planning, preparation and legal expenses of the project in Shamrock, Tex. The offering is subject to final approval of the TSX Venture Exchange.

The offering constitutes a related party transaction under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions, as Eliot Sorella, a director and executive chairman of the company, indirectly participated in the offering. Pursuant to MI 61-101, the company will file a material change report providing disclosure in relation to each related party transaction on SEDAR+ under the company's profile. The company did not file the material change report more than 21 days before the expected closing date of the offering as the details of the offering were not settled until shortly prior to the conclusion of the offering and the company wished to complete the offering on an expedited basis for sound business reasons. The company is relying on exemptions from the formal valuation and minority shareholder approval requirements available under MI 61-101. The company is exempt from the formal valuation requirement in Section 5.4 of MI 61-101 in reliance on sections 5.5(a) and (b) of MI 61-101 as the fair market value of the transaction, insofar as it involves each of the significant shareholders, is not more than 25 per cent of the company's market capitalization. Additionally, the company is exempt from minority shareholder approval requirement in section 5.6 of MI 61-101 in reliance on Section 5.7(1)(a) as the fair market value of the transaction, insofar as it involves each of the significant shareholders, is not more than 25 per cent of the company's market capitalization. The offering was previously approved by the board of directors of the company, including disinterested directors. No special committee was established in connection with the transaction, and no materially contrary view was expressed or made by any director.

The units issued under the offering will be subject to a hold period ending on the date that is four months plus one day following the date of issue, in accordance with applicable securities laws.

Early warning report

Immediately prior to the offering, Mr. Sorella owned, directly and indirectly, 169,109,812 common shares of the company, which represented 75.6 per cent of the issued and outstanding common shares of the company on a non-diluted basis, and 75.9 per cent on a partially diluted basis, based on 1,777,429 stock options that Mr. Sorella owns to acquire 1,777,429 common shares and 1,111,112 warrants to acquire 1,111,112 common shares. Immediately following the closing of the offering, Mr. Sorella subscribed to 488,466 units of the company and now owns, directly and indirectly, 169,598,278 common shares of the company, which represent 74.78 per cent of the issued and outstanding common shares of the company on a non-diluted basis, and 75.15 per cent on a partially diluted basis, assuming the 1,599,578 warrants and 1,777,429 options are exercised and converted to common shares.

This news release is being issued pursuant to National Instrument 62-103, The Early Warning System and Related Take-Over Bid and Insider Reporting Issues, persons who wish to obtain a copy of the early warning report to be filed by Mr. sorella in connection with this offering herein may obtain a copy of such reports from SEDAR+.

The company remains focused on its mission to deploy its cutting-edge technology that transforms waste into valuable resources, contributing to a circular economy and reducing environmental impact.

Current events

A new webinar on "Journey to Profitability: Unlocking Ecolomondo's ($ECM) Growth Potential" explores the company's progress and future direction. Mr. Sorella discusses updates on the new milling line at the Hawkesbury TDP facility, growth targets, loan amendment agreements with Export Development Canada (EDC) and more. The webinar can be viewed on YouTube.

New Ecolomondo podcast available

Mr. Sorella recently participated in a podcast in the series Stock to Watch. The video is available on YouTube and Spotify.

Ecolomondo, headquartered in Quebec, is a Canadian cleantech company that takes pride in its proprietary TDP. It has a 25-year history and during this time has been focused on its development of its technology and the deployment of TDP turnkey facilities. TDP recovers high-value reusable commodities from scrap tire waste, notably rCB, oil, syngas, fibre and steel. Ecolomondo expects to be a leading player in the cleantech space and be an active contributor to the global circular economy. Ecolomondo trades in Canada on the TSX Venture Exchange under the symbol ECM and in the United States under the symbol ECLMF.

We seek Safe Harbor.