Mr. Steve Harpur reports

PROGRESSIVE PLANET PROVIDES OPERATIONAL UPDATE

Progressive Planet Solutions Inc. has released the following operational update:

Heffley Creek metals and pozzolan property

As part of the focus on investing in near-term projects, the company terminated its option agreement on the Heffley Creek metals and pozzolan property. Retaining the property required an additional cash payment and there were no short-term prospects of generating cash flow from the property.

The company will also write down all the capitalized costs incurred on exploration of the Heffley Creek property. This writedown will occur in the current quarter and is a non-recurring expense.

Financial position

Progressive Planet has over $300,000 in the bank and a healthy current ratio. Furthermore, Progressive Planet has an unused operating line of credit with a credit limit of $2.4-million.

The company's only long-term debt is the 25-year loan procured as part of the funding used to purchase Absorbent Products Ltd. in February, 2022. At the time of purchase, the principal amount of this loan was $6.97-million as was part of $10.9-million in total debt procured to make the acquisition. The current balance of the 25-year loan is $6,505,000 and the company has no other bank debt.

The company provides this financial position update in conjunction with the advisement that Progressive Planet has no current plans to raise money via private placement.

Cost-cutting initiative

During the current quarter (ending Oct. 31), Progressive Planet eliminated over $800,000 in annual recurring costs. A small amount of severance and other one-time costs were incurred in the current quarter to achieve these annual cost savings.

Research and development

"Over the past five years, Progressive Planet has conducted a wide scope of expensive research and development initiatives targeted at developing critical low-carbon and carbon sequestering solutions from owned mineral assets and recycled glass," says Progressive Planet chief executive officer Steve Harpur.

Progressive Planet is narrowing its focus on commercializing three near-term to market innovations including: Pozglass 100G.; Carbon Ca; and Carbon PK.

Added Mr. Harpur: "With the legacy investment we made in our cement and AgTech labs in Kamloops, we are scaling back on third party R&D [research and development] costs. By focusing our R&D efforts to one cement and two fertilizer products, paired with other strategic cost cutting efforts, we intend to fund growth in the short term without raising new equity. We wish to assure our investors that we take shareholder dilution very seriously."

Financial reporting

Progressive Planet is required to release its financial results for the quarter ending Oct. 31, 2023, by Jan. 2, 2024. The company intends to release the Q2 results early, and is targeting a release date of no later than Dec. 15, 2023.

About Progressive Planet Solutions Inc.

Progressive Planet Solutions is a cleantech and manufacturing company with proven product lines based in Kamloops, B.C. The company's expertise lies in developing critical low-carbon and carbon sequestering solutions using its owned mineral assets and recycled materials to create planet-friendly products that fight climate change and protect the planet's health.

Progressive Planet Solutions' products are in 10,000-plus retail stores across North America. The company's innovations, created at the C-Quester Centre of Sustainable Innovation, bring positive disruption to the cement, agricultural and animal-care sectors by creating products that help reduce carbon footprints and restore ecosystems.

We seek Safe Harbor.