Mr. Alban Fournier reports

5N+ SELECTED TO ESTABLISH DOMESTIC PRODUCTION OF GALLIUM ARSENIDE COMPONENTS FOR U.S. DEFENCE APPLICATIONS THROUGH US$7.3M AWARD

5N Plus Inc. has been selected by the U.S. Department of War to receive a $7.3-million (U.S.) award to establish domestic production of gallium arsenide components for U.S. defence applications. This follows the successful presentation of the company's proposal at the inaugural Defense Industrial Base Accelerator (DIBX) Pitch Competition, held in Philadelphia from Aug. 25 to 27.

Gallium arsenide (GaAs) is a strategically important semiconductor material used in advanced sensing systems and other devices for defence applications. With no qualified domestic source of GaAs electro-optical components currently available, U.S. defence contractors rely on foreign suppliers. The proposed award would help address this critical supply chain gap by establishing a qualified U.S. source at 5N+'s production facility in St. George, Utah, strengthening domestic supply security and supporting an immediate defence requirement.

"Our selection by the U.S. government recognizes 5N+ as a trusted strategic partner to the U.S. defence industrial base, with the proven expertise and ability to support critical national security priorities," said Richard Perron, president and chief executive officer of 5N+. "This award will enable us to establish a secure domestic source for an immediate defence requirement, while also creating a scalable platform to pursue significant long-term market opportunities across a broader range of defence and space applications over time."

Building on its existing capabilities, 5N+ intends to expand its Utah operations by adding crystal-growth and GaAs compounding equipment, and implementing the necessary process controls and inspection capabilities. The company will work with an initial customer, U.S.-based global defence technology company Lockheed Martin, to complete product qualification before advancing to controlled, low-rate production, with a potential path to a follow-on production agreement. The capabilities that will be developed at the company's Utah facility could also support future production of GaAs substrates and other advanced semiconductor materials for additional defence and space applications, including space solar cells and high-frequency semiconductor devices. This would broaden 5N+'s addressable market and create significant long-term growth potential.

About 5N Plus Inc.

5N+ is a leading global producer of specialty semiconductors and performance materials. The company's ultrapure materials often form the core element of its customers' products. These customers rely on 5N+'s products to enable performance and sustainability in their own products.

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