Mr. Spencer Huh reports

NEO BATTERY MATERIALS AND NANORIAL ADVANCE PRODUCT COLLABORATION WITH CNT-BASED SILICON ANODE

Neo Battery Materials Ltd. has provided an update on the collaboration advancement with NanoRial Technologies Ltd. through expanding the silicon anode, NBMSiDE, product portfolio using carbon nanotube (CNT) nanocoatings. The formal partnership, named Project 2N-CSi, will be utilized to jointly apply to non-dilutive financing and commercialization in Ontario, Canada.

Highlights:

• Collaboration advancement through product portfolio expansion -- carbon nanotube (CNT) nanocoatings for Neo's silicon anode materials:
  • To offer diverse performance and cost offering alongside polymer nanocoatings to downstream manufacturers;
  • Preliminary evaluation of mechanically durable CNT coating to improve silicon battery performance;
• Project 2N-CSi -- partnership for joint development and non-dilutive financing application in Canada's EV (electric vehicle) battery supply chain;
• Dr. Chitral Angammana, chief executive officer of NanoRial, appointed to scientific advisory board.

Following the collaboration agreement in early 2023, Neo Battery Materials and NanoRial have been developing CNT nanocoated silicon anodes for EV lithium-ion batteries. Using Neo's uniform nanocoating capability, preliminary evaluations of NanoRial's CNTs are under way to improve cycle life and energy capacity. To offer a diverse performance and cost offering to downstream manufacturers, Neo will commercialize NBMSiDE CNT in addition to the company's polymer-nanocoated products.

Project 2N-CSi is the first EV battery material collaborative product being developed by two Canadian and Ontario-based companies. Neo Battery and NanoRial will continue to further advance the product, in progressing toward engaging global battery manufacturers and EV automakers for commercial-level testing. Both parties are jointly securing non-dilutive financing through discussion with Canada's governmental authorities.

To develop the partnership, Dr. Chitral Angammana, chief executive officer of NanoRial, has been appointed to Neo's scientific advisory board. Co-founding NanoRial in 2019, Dr. Angammana has successfully led the company to scale up its CNT dispersion technology for energy storage, coatings and additive applications. He has commercialized technologies through partnerships with large-scale corporations to startups. Receiving his PhD in electrical engineering and nanotechnology from the University of Waterloo, Dr. Angammana holds several patents approved and pending for the processing and fabrication of nanoparticles, nanotubes, nanofibres and nanocomposite materials.

Dr. Angammana commented: "I am excited to be aboard for Neo Battery's silicon anode commercialization. NanoRial is currently evaluating our CNTs with global-tier automotive and chemical manufacturers, and the collaboration with Neo will create value and synergies for the global EV battery supply chain. As we are in the process of constructing a 15-tonne-per-year facility with expansion for a multithousand-tonne production capacity, we anticipate complementing Neo's production on a long-term basis."

Dr. Dongmok Whang, lead scientific adviser of Neo, remarked: "Having researched CNTs for over 10 years, this is another critical nanomaterial that must be adopted by battery cell manufacturers. With properties of superior electrical conductivity, tensile strength and elasticity, CNTs are being actively pursued as both a conductive additive and nanocoating material for electrodes. The CNT market is expected to grow from $1.8-billion (U.S.) in 2025 to $9.2-billion (U.S.) in 2030 with 120,000 tons and 600,000 tons produced, respectively."

About Neo Battery Materials Ltd.

Neo Battery Materials is a Canadian battery materials technology company focused on developing silicon anode materials for lithium-ion batteries in electric vehicles, electronics and energy storage systems. With a patent-protected, low-cost manufacturing process, Neo Battery enables longer-running and ultrafast charging batteries compared with existing state-of-the-art technologies. Building the first commercial plant in South Korea, the company aims to be a globally leading producer of silicon anode materials to the electric vehicle and energy storage industries.

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