Mr. Bernard Tourillon reports

HPQ ENDURA+ GEN4 21700 CELLS ACHIEVE UN 38.3 CERTIFICATION SUPPORTS ONGOING CUSTOMER QUALIFICATION ACTIVITIES

HPQ Silicon Inc.'s HPQ Endura+ Gen4 21700 lithium-ion-battery platform has achieved UN 38.3 transportation certification, representing another important milestone in the development of the company's silicon-anode battery platform.

The certification removes a key regulatory hurdle by enabling the international shipment of HPQ Endura+ Gen4 batteries for customer qualification, evaluation and commercial applications.

Product development follows a phased process in which each stage progressively reduces technical, regulatory and commercial risk, moving the technology closer to commercial readiness.

"Our initial commercial focus on drone and defence applications is a deliberate strategic decision," said Bernard Tourillon, chairman, president and chief executive officer of HPQ Silicon. "Global defence battery demand exceeded four gigawatt-hours in 2025, with nearly 40 per cent generated by unmanned drone systems -- a share that has more than doubled in just five years. As modern defence operations increasingly rely on drones, demand for lighter, higher-energy batteries continues to accelerate. In response to this growing demand, Novacium developed its silicon-anode battery technology, for which HPQ holds the exclusive commercialization rights in North America under the HPQ Endura+ brand, to deliver greater endurance, higher payload capacity and improved mission performance. The company believes that establishing commercial references in these high-value markets is consistent with its commercialization strategy of pursuing broader battery markets as customer qualification progresses and production capacity increases."

Drone applications

To illustrate this commercialization strategy, Novacium developed, at the request of a European drone manufacturer, the company's AA Nova 6S3P drone battery pack. This next-generation high performance lithium-ion battery was specifically designed to meet the growing demand for lighter, higher-energy solutions for advanced drone applications.

The AA Nova 6S3P battery pack addresses a rapidly expanding market opportunity. The global military drone market is estimated at approximately $35-billion (U.S.) in 2026 and is projected to exceed $109-billion (U.S.) by 2031, with North America accounting for roughly 40 per cent of global demand. Through its exclusive North American commercialization rights under the HPQ Endura+ brand, HPQ believes its technology is well suited for applications in this growing market. The company believes that establishing commercial references in these high-value markets is consistent with its commercialization strategy of pursuing broader battery markets as customer qualification progresses and production capacity increases.

The AA Nova 6S3P and other battery platforms are currently being evaluated by multiple parties active in the drone and defence sectors as part of continuing customer qualification programs. While the company cannot comment on the timing or outcome of individual qualification programs, these continuing evaluations are consistent with industry demand for battery technologies capable of delivering greater endurance, improved mission performance and reduced weight.

"The AA Nova 6S3P program demonstrates our strategy for advancing our battery technologies toward commercial adoption," concluded Mr. Tourillon. "Rather than relying on a single opportunity, HPQ and Novacium are building a diversified pipeline of customer qualification programs across multiple high-value applications. Each successful qualification represents another step in advancing the HPQ Endura+ platform."

About HPQ Silicon Inc.

HPQ Silicon is a Quebec-based TSX Venture Exchange industrial issuer focused on innovation in advanced materials and critical process development. In partnership with its research and development partner Novacium -- of which HPQ is a shareholder -- the company is advancing next-generation silicon-based anode materials (Gen3 and Gen4) for batteries, commercializing its Endura+ lithium-ion cells, and developing breakthrough clean-hydrogen and waste-to-energy technologies, for which HPQ holds exclusive North American rights.

HPQ is also pursuing proprietary technologies to become a low-cost, zero-carbon-dioxide producer of fumed silica with technical support from PyroGenesis Inc. Together, these initiatives position HPQ to capture growth opportunities in the energy storage, clean hydrogen and advanced material markets essential to achieving global net-zero goals.

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