Mr. Francois Byrne reports

HYBRID POWER SOLUTIONS INC. ANNOUNCES CLOSING OF NON-BROKERED PRIVATE PLACEMENT

Hybrid Power Solutions Inc. has closed a non-brokered private placement. The company issued 12.35 million units at a price of five cents per unit for gross proceeds of $617,500.

Each unit consists of one common share in the capital of the company and one common share purchase warrant. Each warrant entitles the holder to acquire one additional common share at an exercise price of six cents for a period of 24 months from the closing date of the offering. The warrants are subject to an acceleration clause whereby, if, on any 20 consecutive trading days occurring after four months and one day have elapsed following the closing, the closing sales price of the common shares as quoted on the Canadian Securities Exchange is greater than a weighted-average price of 15 cents per common share, the company may accelerate the expiry date of the warrants by issuing a news release, in which case the warrants will expire on the 30th day after the date of such news release.

In connection with the offering, the company paid aggregate cash finders' fees of $14,370 to arm's-length finders and issued an aggregate of 287,400 finders' warrants. Each finder's warrant entitles the holder thereof to acquire one common share at a price of six cents for a period of 24 months from the closing.

All securities issued under the offering are subject to a statutory hold period of four months and one day from the date of issuance in accordance with applicable Canadian securities laws, with such hold period expiring on Jan. 19, 2027.

The net proceeds of the offering are expected to be used to repay outstanding convertible debenture indebtedness and for general working capital and corporate purposes.

The offering remains subject to final acceptance of the CSE.

About Hybrid Power Solutions Inc.

Hybrid Power is a Canadian clean energy innovator listed on the Canadian Securities Exchange under the symbol HPSS. The company specializes in developing portable power systems that eliminate the need for fossil fuels in offgrid and remote applications. With a focus on environmental responsibility and technological innovation, Hybrid Power Solutions is committed to leading the clean energy transition.

We seek Safe Harbor.