Mr. Daniel Russell reports

SYNEX RENEWABLE ENERGY CORPORATION (FORMERLY, SYNEX INTERNATIONAL INC.) THIRD QUARTER OF FISCAL 2023

Synex Renewable Energy Corp. has released its financial and operational results for the three months ended March 31, 2023 (Q3 2023).

Revenue for Q3 2023 decreased 2 per cent to $864,645 from $884,428 for the three months ended March 31, 2022 (Q3 2022). Electricity sales in Q3 2023 were $839,053 compared with $857,414 in Q3 2022, a decrease of $18,361 as a result of lower power generation from the Mears, Cypress and Barr plants. By the end of March, the average snowpack on Vancouver Island was 76 per cent of normal and temperatures were lower than average for the period, resulting in less melt and therefore less generation.

The net loss attributable to shareholders of the company in Q3 2023 was $213,803 as compared with net income of $54,891 in Q3 2022. Synex has continued to streamline and reduce costs for normal operations. The Q3 loss is a result of increased wind development costs at Sea Breeze Power Corp., a wholly owned subsidiary of the company, the cost of the previously announced normal course issuer bid program and the total retirement costs of the former chief financial officer of $95,535 that were expensed in fiscal year 2023. The net loss per share in Q3 2023 was five cents as compared with a net earnings per share of one cent in Q3 2022.

Expenditures in respect of the development of run-of-river hydro projects in British Columbia for Q3 2023 were nil as compared with $12,391 for Q3 2022. The company spent a total of $193,923 on the development of investigative wind licences at Sea Breeze. This includes expenses for third party consultants for reviewing technical aspects of the sites and labour costs. The company intends to continue investing resources in developing these investigative wind licences.

As of March 31, 2023, the company had an unrestricted cash balance of $552,210 as compared with $625,888 on June 30, 2022. The decrease in cash is mainly due to fixed assets upgrades and the replacement for the Kyuquot site and the Barr Creek site as well as maintenance work at the Cypress and Mears Creek sites during Q3 2023. The company had a restricted cash balance of $1,060,840 and a term deposit of $230,000 at March 31, 2023.

The total loan principal outstanding to The Equitable Life Insurance Company of Canada and The Empire Life Insurance Company was $14,338,560 on March 31, 2023, as compared with the $14,612,407 on June 30, 2022. Loans payable on March 31, 2023, included a current portion of $920,203 and a non-current portion of $13,418,357.

During Q2 2023, the company commenced discussions with B.C. Hydro for the renewal of the electricity power agreement (EPA) for the Mears Creek power plant for another 20 years. The current EPA expires in January, 2024. The company expects to finalize the EPA in the coming months once it receives all necessary approvals from B.C. Hydro.

Additionally, Sea Breeze, a subsidiary of the company, applied to expand the boundary of its wind energy investigative licence to include more lands in the immediate vicinity of Kitimat. The application is currently subject to regulatory review. Management estimates that a wind farm in this area could deliver over 150 megawatts of clean electricity.

Synex Renewable Energy is also pleased to announce its participation as a founding member at the inaugural Canadian Climate Investor Conference, taking place on June 8, 2023, in-person at the Hyatt Regency Toronto.

The conference will bring together growth-oriented, publicly traded clean energy and technology companies, and climate-conscious investors, to share ideas and to discover ways to accelerate the deployment of capital needed to build a more sustainable future for Canadians.

This conference is organized by founding members RE Royalties, UGE International, ReVolve Renewables, Solar Alliance, Evergen Infrastructure, Electrovaya, Clear Blue Technologies, Westbridge Renewables, Synex Renewables, Carbon Streaming, Green Impact Partners, Good Natured Products, Dirtt Environmental, Taiga Motors, Northstar Clean Technologies and RecycLiCo Battery Materials, which will be presenting at the conference.

Founding partner sponsors include the TMX Group, Integral Wealth and Water Tower Research.

The conference welcomes climate- and impact-focused institutional investors, financial institutions, portfolio managers, retail investors, advisers and professionals to learn and discuss directly with companies on solutions to create a clean and secure future, address critical climate mitigation issues, and increasing clean energy and technology investments.

Entry to the conference is free for investors and registration is required in advance.

To learn more about the 2023 Canadian Climate Investor Conference, visit Synex Renewable Energy's website.

About Synex Renewable Energy Corp. (formerly, Synex International Inc.)

Synex is a Vancouver-based company engaged in the development, acquisition, ownership and operation of renewable energy projects in Canada. It has ownership interests in 12 MW of operating hydro projects in British Columbia and owns a Vancouver Island grid connection and utility carrying on business as Kyuquot Power Ltd. The company also has 9.4 MW of construction-ready run-of-river projects, applications and land tenures on another 24 potential hydroelectric sites totalling over 150 MW of capacity, and approximately 17 wind development sites that could provide up to 4,850 MW of clean power in British Columbia.

We seek Safe Harbor.