Mr. Don Currie reports

HILLCREST ENERGY TECHNOLOGIES CONFIRMS ZVS PCS1000 PROTOTYPE ON TRACK FOR JUNE 2026

Hillcrest Energy Technologies Ltd. today provided a development update confirming that its ZVS PCS1000 grid power conversion system prototype remains on schedule, with the system expected to be ready for customer and partner demonstrations at the company's facility in Vancouver, B.C., and at Systematec GmbH's facility in Germany in June, 2026.

The PCS1000 is Hillcrest's purpose-built, 200-kilowatt, 1,000-volt inverter prototype built on the company's proprietary zero voltage switching (ZVS) technology platform and designed for stationary and grid-connected applications. The PCS1000 is designed to deliver greater than 99-per-cent peak conversion efficiency -- representing a meaningful improvement over the 95-per-cent to 98-per-cent industry standard -- along with materially lower electromagnetic interference (EMI), more compact passive components and a scalable modular architecture capable of supporting loads up to 1.2 megawatts.

The PCS1000 prototype is designed to align with the open compute project (OCP) 800 V data centre sidecar power architecture -- an emerging standard being advanced by technology leaders including Meta, Microsoft, Intel and Nvidia -- providing the high-efficiency, low-EMI AC-DC power conversion that high-density AI (artificial intelligence) data centre infrastructure requires.

In parallel, the PCS1000 is also being designed to be compatible with UL1741 certification requirements, the applicable North America standard governing grid interconnection for distributed energy resources. This positions the company to more efficiently adapt and pivot between commercial development opportunities across grid-connected applications including energy storage systems, microgrids and related critical infrastructure opportunities.

The PCS1000 demonstration program has generated significant interest from prospective customers and strategic partners. The company is currently in active discussions with a number of parties across the data centre, energy storage and other grid-connected applications markets regarding demonstration opportunities.

"Approaching this milestone is an important step toward commercial readiness," said Don Currie, chief executive officer and director of Hillcrest Energy Technologies. "The PCS1000 represents years of engineering work, and we look forward to demonstrating its performance to customers and partners at our facilities in Vancouver and Germany."

About Hillcrest Energy Technologies Ltd.

Hillcrest Energy Technologies is a Canadian clean technology company focused on providing advanced power conversion technologies and digital control systems for next-generation powertrains and grid-connected renewable energy systems. From concept to commercialization, Hillcrest is investing in the development of energy solutions that will power a more sustainable and electrified future.

Hillcrest is publicly traded on the CSE under the symbol HEAT, on the OTCQB Venture Market as HLRTF and on the Frankfurt Exchange as 7HI.

We seek Safe Harbor.