Mr. Rahim Suleman reports

NEO PARTNERS WITH GREENLAND MINES TO ADVANCE SARFARTOQ RARE EARTH PROJECT

Neo Performance Materials Inc.'s wholly owned subsidiary, Neo North Star Holdings Inc., together with the other shareholders, has entered into an agreement and plan of merger with Greenland Mines Ltd. to effectively transfer the outstanding shares of Neo North Star Resources Inc. to Greenland Mines, which holds a mineral exploration licence covering the Sarfartoq carbonatite complex in southwestern Greenland, for total consideration of $35-million (U.S.), composed of $20-million (U.S.) in cash and $15-million (U.S.) in shares of Greenland Mines. NNSH currently owns 43.69 per cent of the outstanding shares of NNSR. The transactions contemplated by the agreement do not affect the terms of the MOU that NNSH entered into with NNSR regarding the negotiation and execution of a definitive offtake agreement for up to 60 per cent of the ore or mineral concentrate produced from the project.

The partnership positions Greenland Mines to take the lead in advancing the Sarfartoq project while Neo retains equity interest in Greenland Mines. This structure enables Neo to continue focusing on its core mid-stream and downstream expansion strategy while ensuring that the Sarfartoq project benefits from dedicated leadership and investment to unlock its full potential.

The transaction is subject to customary closing conditions, including approval from the government of Greenland under the Greenland Mineral Activities Act.

"We wish Greenland Mines every success as they advance this project while we maintain our commitment as an offtake partner and shareholder," said Rahim Suleman, president and chief executive officer of Neo. "This agreement reflects our disciplined approach to capital allocation and reinforces Neo's strategic identity as a mid-stream and downstream advanced material company, where we create the most value for our customers and shareholders."

About Neo Performance Materials Inc.

Neo manufactures the building blocks of many modern technologies that enhance efficiency and sustainability. Neo's advanced industrial materials -- magnetic powders, rare earth magnets, magnetic assemblies, specialty chemicals, metals and alloys -- are critical to the performance of many everyday products and emerging technologies. Neo's products fast-forward technologies for the net-zero transition. The business of Neo is organized along three segments: Magnequench, chemicals, and oxides and rare metals. Neo is headquartered in Toronto, Ont., Canada; with corporate offices in Greenwood Village, Colo., United States; Singapore; and Beijing, China. Neo has a global platform that includes manufacturing facilities located in Canada, Estonia, China, Germany, Thailand and the United Kingdom, as well as a dedicated research and development centre in Singapore.

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