Mr. Howie Honeyman reports

FORWARD WATER TECHNOLOGIES ANNOUNCES FISCAL YEAR 2023 FINANCIAL RESULTS

Forward Water Technologies Corp. has filed its condensed consolidated audited financial statements and related management's discussion and analysis for the 12 months ended March 31, 2023. Copies of these financial statements and related management's discussion and analysis can be found on the company's issuer profile on SEDAR. All financial information in this news release is reported in Canadian dollars, unless otherwise indicated.

Fiscal year-end financial highlights

• Total expenses were $2,421,598 for the year ended March 31, 2023, compared with $4,186,933 over the same period in 2022, a decrease of $1,765,335. The decrease in expenses were largely due to the costs associated with the completion of a qualifying transaction in the prior year that did not repeat in the fiscal year 2023.
• Net loss and comprehensive loss were $2,286,526 for the year ended March 31, 2023, compared with a loss of $4,178,676 for the same period in 2022.
• Basic and diluted loss per share were two cents for the year ended March 31, 2023, and five cents for the same period in 2022.

Operating highlights and recent corporate developments

• Fiscal year 2023 was the full first year as an operating company after the transaction was completed in October, 2021, with the focus transitioning from engineering development to commercialization.
• The company generated almost $40,000 in revenue in testing and reporting for customers interested in purchasing a forward osmosis (FO) unit.
• A number of potential customers have been identified, with six requesting testing. These include large multinational businesses in the mining and lithium industries.
• On May 1, 2023, the company announced that its wholly owned subsidiary, Forward Water Technologies Inc., has licensed specific intellectual property from FUJIFILM Corp. in order to solidify protection of its water treatment technology platform, and which will secure further clean water alternatives to legacy solutions to combat the continuing global water crisis. As part of this agreement, the company paid a $135,620 licensing fee.
• On May 30, 2023, the company announced a partnership with Mead & Hunt. The company will guide project support with its FO expertise, design know-how and technical assets. Mead & Hunt will provide extensive supply chain connections, engineering design experience, capabilities to fabricate the needed treatment equipment, as well as an established customer pipeline.
• On May 31, 2023, the company announced that it has signed a technical advisory engagement with CleanTech Lithium PLC to review and assess technologies capable of further increasing CleanTech Lithium's existing process efficiencies. Under this advisory engagement, FWTC will evaluate and advise on various technologies for use within CleanTech Lithium's operations, at its Laguna Verde and Francisco Basin projects located in the lithium triangle within Chile.

Management commentary

Forward Water's chief executive officer and president, C. Howie Honeyman, comments: "Fiscal year 2023 has been exciting for the company. We have been successful in introducing the FO technology to potential customers across a number of different industries, resulting in orders for testing, a non-binding letter of intent with Mead & Hunt and a technical advisory engagement with Clean Tech Lithium PLC. In addition, the company is in negotiations to deliver the FO pilot system on site to support a customer's lithium extraction process in Chile." Mr Honeyman commented further, "We look forward to the year ahead as we continue to engage with our potential customers and expand our opportunities."

About Forward Water Technologies Corp.

Forward Water Technologies, a publicly traded Canadian company, uses its patented forward osmosis technology to save the Earth's water supply. Founded by GreenCentre Canada, a leading technology innovation centre supported by the government of Canada, the company's technology reduces challenging waste streams while simultaneously returning fresh water for reuse or surface release. The company's mandate is to focus on the large-scale implementation of its technology in multiple sectors, including industrial waste water, oil and gas, mining, agriculture, and, ultimately, municipal water supply and reuse market sectors. In addition, the company has initiated early-stage research and development for the treatment of food and beverage process streams.

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