Mr. Ray de Ocampo reports

ONENERGY INC. REPORTS 2024 ANNUAL RESULTS AND PROVIDES CORPORATE UPDATE

ONEnergy Inc. has filed its financial results as at and for the year ended Dec. 31, 2024, and provided a corporate update.

Financial results

For the three-month period ended Dec. 31, 2024, net loss and comprehensive loss totalled $138,000, compared with a net loss and comprehensive loss of $112,000 during the same period in 2023.

For the year ended Dec. 31, 2024, net income and comprehensive income totalled $9,867,000, compared with a net loss and comprehensive loss of $1,141,000 during the year ended Dec. 31, 2023.

Net income and comprehensive income for the year ended Dec. 31, 2024, included a gain on settlement of unsecured liabilities of $10.48-million related to the creditor proposal.

Net loss and comprehensive loss for the year ended Dec. 31, 2023, included an additional litigation provision of $258,000 related to the default motion.

For further information on the financial results of the company, please review the company's audited consolidated financial statements, and the management's discussion and analysis of financial condition and results of operations, for the years ended Dec. 31, 2024, and Dec. 31, 2023, available under the company's issuer profile on SEDAR+.

CWave motion and creditor proposal

As previously reported on April 28, 2023, the company is a defendant in an action commenced by C Wave Power & Gas Inc. (CWave) in the Supreme Court of the State of New York. Also a defendant is Sunwave Gas & Power Inc. CWave brought a motion for default judgment as a result of the defendants not responding to a verified complaint that was filed in the court. On July 17, 2023, the court granted CWave's default motion. On March 1, 2024, a final judgment of $963,520 (U.S.) was issued by the court against the defendants.

On June 26, 2024, the company implemented the proposal that it filed pursuant to the Bankruptcy and Insolvency Act (Canada) (BIA) on May 30, 2023, and satisfied $11,101,000 of unsecured outstanding liabilities by issuing 124,277,690 common shares of the company, including 15,322,862 common shares to CWave to satisfy the Debt. The common shares that were issued to the company's directors, officers or consultants in connection with the proposal were subject to a four-month hold period per the policies of the TSX Venture Exchange. The issuance of common shares by the company was full and final satisfaction for all of the company's unsecured claims, including the debt, and all unsecured claims as against the company incurred prior to June 26, 2024, have been forever released.

Secured grid promissory note debt financing

Between Nov. 16, 2024, and March 6, 2025, Stephen J.J. Letwin, a director and chairman of the board of directors, provided advances under a secured grid promissory note to the company totalling $70,000. The secured note is not convertible into securities of the company, is secured by a first-ranking security over the company's assets, permits repayments and additional drawdowns, and bears an annual interest rate at 10 per cent. The borrowing limit on the secured note was amended and increased from $450,000 to $950,000. The maturity date on the secured note of Dec. 31, 2023, was amended and extended to Dec. 31, 2025.

About ONEnergy Inc.

ONEnergy common shares are listed on the NEX board of the TSX Venture Exchange under the symbol OEG.H. Material information about ONEnergy can be found on SEDAR+ under the company's issuer profile.

We seek Safe Harbor.