Mr. William Crossland reports

THERMAL ENERGY ANNOUNCES ADDITIONAL $4.1 MILLION CONTRACT WITH GLOBAL PHARMACEUTICAL LEADER

Thermal Energy International Inc. has received an additional order valued at $4.1-million for a previously announced heat recovery project for a leading multinational pharmaceutical company. This latest order calls for Thermal Energy to design, fully implement and commission the project on a turnkey basis, bringing the total value to Thermal Energy for this project to $5.6-million.

"This implementation and commissioning contract follows a series of key achievements and deepening collaboration between Thermal Energy and this customer," said William Crossland, chief executive officer of Thermal Energy International. "Originally stemming from a project development agreement, we signed a master services agreement with the customer in December, 2024. On Feb. 11 of this year, we announced a $500,000 contract to complete the detailed engineering for this project -- representing the largest engineering contract in our history. On June 26, we announced the $1-million custom equipment order for this project. We are excited to now be asked to bring this project to completion and operational launch.

"This is an important project for us and the customer. We look forward to advancing our strategic partnership focused on energy efficiency and decarbonization goals. This project and our suite of solutions align with the customer's ambitious sustainability strategy and their commitment to the United Nations' Race to Zero campaign. Finally, this leading pharmaceutical company has several manufacturing sites around the world that could benefit from our technologies."

Once fully commissioned, the heat recovery system is expected to reduce the site's natural gas consumption and associated CO2 (carbon dioxide) emissions by 12.5 per cent, resulting in up to 2,038 metric tons of CO2 emissions eliminated annually.

The revenue from this order is expected to be earned within 12 months.

About Thermal Energy International Inc.

Thermal Energy International provides energy efficiency and emissions reduction solutions to Fortune 500 and other large multinational companies. The company saves its customers money by reducing their fuel use and cutting their carbon emissions. Thermal Energy's proprietary and proven solutions can recover up to 80 per cent of energy lost in typical boiler plant and steam system operations while delivering a high return on investment with a short, compelling payback.

Thermal Energy is a fully accredited professional engineering firm with engineering offices in Ottawa, Canada, Pittsburgh, United States, as well as Bristol, United Kingdom, with sales offices in Canada, U.K., U.S., Germany, Poland and Italy. By providing a unique mix of proprietary products together with process, energy and environmental engineering expertise, Thermal Energy can deliver unique, site-specific turnkey and custom engineered solutions with significant financial and environmental benefits for the company's customers.

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