Ms. Kimberly Hedlin reports

REGEN III ANNOUNCES CONVERTIBLE DEBENTURE REFINANCING

ReGen III Corp. has provided all holders of its Series 1 and 2 convertible debentures with a cashless exchange offer for new convertible debentures.

Holders representing approximately 95 per cent of the value of the old debentures have indicated their preference to participate in the exchange offer, including 100 per cent of the old debentures held by insiders. A total of $4,025,000 in old debentures is available for exchange into new debentures, subject to execution of formal settlement agreements, final board approval and the approval of the TSX Venture Exchange. The key terms of the exchange offer are as follows:

• Each new debenture will consist of $1,000 in principal amount of unsecured convertible debenture and 500 common share purchase warrants of the company. Each warrant will be exercisable to purchase one common share at a price of 35 cents for a period of 24 months after closing. The warrants will replace the warrants which were originally issued with the old debentures, such that the old warrants will be cancelled.
• The new debentures will have a term of 24 months and will accrue interest at a rate of 12 per cent per annum, payable in arrears on a semi-annual basis and on the maturity date. After 12 months, the company may elect to pay outstanding interest in common shares at a price per share equal to the greater of (i) the volume weighted average price of the common shares on the exchange for the five trading days prior to the date which is five trading days before the date such interest is due; and (ii) the market price as determined by the policies of the exchange.
• The new debentures will be convertible at the option of the holder into common shares at a price of 25 cents per common share. After four months, the company may redeem the outstanding principal amount, in whole or in part, by payment equal to 115 per cent of the redeemed principal in cash, together with payment of any accrued but unpaid interest on the redeemed principal in cash or interest shares or any combination thereof.
• All accrued but unpaid interest on the holder's old debentures will be paid in cash 15 days after closing.
• The new debentures and warrants will be subject to a four-month hold period under applicable securities legislation and applicable exchange policies.

CEO commentary

"With holders representing approximately 95 per cent of the old debentures indicating their preference to participate, including 100 per cent of the old debentures held by insiders, this exchange offer is a critical part of our financing strategy and positions us well to advance key agreements with offtake parties and strategic partners," said Tony Weatherill, chief executive officer and president of ReGen III.

About ReGen III Corp.

ReGen III is driving a new era in high performance, sustainable lubricants. Harnessing its patented ReGen technology, the company is commercializing an advanced process to transform used motor oil (UMO) into premium Group II and III base oils. These high-quality base oils are essential to high performance engines, turbines and industrial applications -- and ReGen III's process is designed to deliver up to 82 per cent lower CO2e (carbon dioxide equivalent) emissions than virgin crude derived oils combusted at end of life. By turning waste into high-value products, ReGen III is leading the movement toward circular, domestically produced Group III base oils.

With FEL2 and value engineering complete for its proposed 5,600-barrel-per-day flagship facility in Texas City, Tex. -- and backed by world-class engineering, construction and vendor partners -- the company is strategically positioned to meet rising demand for higher-quality, circular base oils. In addition to Texas City, the company is evaluating opportunities to deploy its patented technology across other strategic markets.

With the vision of becoming the world's largest producer of sustainable, re-refined Group III base oils, ReGen III aims to set a new standard for performance and responsibility in the global lubricants market.

We seek Safe Harbor.