Mr. Spencer Huh reports

NEO BATTERY RECEIVES FIRST BATTERY PURCHASE ORDERS FOR NEAR-TERM DELIVERY FROM FORTUNE GLOBAL 500 ASIAN AUTOMOTIVE OEM VIA EN+

Neo Battery Materials Ltd. has received its first purchase orders for near-term delivery from a Fortune Global 500 Asian automotive original equipment manufacturer (OEM). The lithium-ion battery orders were issued through EnPlus Co. (EN+), a temporary intermediary coordinating commercial supply with the OEM.

• First battery purchase orders for near-term delivery from Fortune Global 500 Asian automotive OEM issued via EN+;
• Manufacturing bench-scale products to support OEM's qualification and evaluation activities;
• Near-term revenue expectation with product manufacturing under way and delivery scheduled upon completion;
• Production executed at Neo's new operational battery manufacturing facility in Gimje, South Korea.

Unlike earlier commitments from drone and robotics partners that require development lead times, manufacturing for the OEM orders is already under way, with shipment planned upon completion. Bench-scale products have been contracted to support the OEM's qualification and evaluation activities. These purchase orders represent Neo's first commercial sales and are expected to contribute to near-term revenue. Revenues will be recognized upon the delivery of the contracted products in the short term.

Manufacturing is taking place at Neo's recently secured battery production facility, leased under the definitive lease agreement announced on Nov. 25, 2025. The facility's commercial-scale electrode and high-capacity pouch cell production capabilities enable Neo to begin production without new construction or commissioning delays. Successful delivery will mark the company's first commercial output and a major milestone in Neo's progress toward full commercialization.

Seok Joung Youn, head of manufacturing and facility operations of Neo, stated: "We are pleased to initiate commercial production with a global automotive OEM partner through EN+. These orders provide an opportunity to demonstrate our manufacturing capability in producing industry-grade battery components and cells. As we work toward commercial output in the automotive sector, we will continue advancing silicon-enhanced battery production and expanding our downstream market pipeline."

Neo will provide further updates as production for the OEM orders is initiated and deliveries progress, including developments on future purchase orders, manufacturing volume ramp-up, customer pipeline buildout, and broader commercial initiatives.

About Neo Battery Materials Ltd.

Neo Battery Materials is a Canadian battery technology company focused on developing and producing silicon-enhanced lithium-ion batteries in drones, unmanned aerial vehicles (UAV), robotics, unmanned systems, electronics, electric vehicles and energy storage systems for AI data centres. With a patent-protected, low-cost manufacturing process, Neo Battery enables longer-running and ultrafast charging batteries and provides end-to-end battery solutions from materials selection, cell architecture and process optimization. The company aims to be a globally leading producer of high performance lithium-ion battery components and materials, building a secure, robust battery supply chain in North America.

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