Mr. Michel Amar reports

DIGI POWER X EXPANDS DIGITAL ASSET HOLDINGS AND ACCELERATES PIVOT TO AI INFRASTRUCTURE WITH ALABAMA BUILD-OUT AND REPORTS AUGUST 2025 PRODUCTION RESULTS

Digi Power X Inc. has provided unaudited comparative bitcoin (BTC) production results for the month ended Aug. 31, 2025, combined with an operations update. All monetary references are expressed in United States dollars unless otherwise indicated.

During the past month, the company participated, and continues to actively participate, in a variety of load curtailment programs that reduce BTC mining costs, as summer capacity pricing has been historically high. By contributing and performing in these load reduction programs, the company has seen a reduction in its BTC mining costs, in addition to being able to provide crucial grid reliability to surrounding electric consumers

Monthly production highlights for August, 2025

• The company held cash, BTC, ethereum (ETH) and cash deposits of approximately $29-million as of Aug. 31, 2025, as compared with $30-million on July 31, 2025 (based on a BTC price of $108,200 as of Aug. 31, 2025, and $117,200 as of July 31, 2025, per CoinMarketCap).
• Digi Power X expanded its inventory of BTC from approximately 61 BTC as of July 31, 2025, to 85 BTC as of Aug. 31, 2025, representing an increase of 37 per cent over the previous month, through its mining activities and the purchase of BTC.
• Continued to diversify the company's crypto portfolio with the conversion of cash into ETH during the month, bringing total ETH holdings to approximately 1,000 ETH as of Aug. 31, 2025, representing a fair market value of approximately $4.4-million (based on a ETH price of $4,390 as of Aug. 31, 2025, per CoinMarketCap), as compared with 516.64 ETH held as of July 31, 2025, representing a fair market value of approximately $1.9-million (based on a ETH price of $3,700 as of July 31, 2025, per CoinMarketCap). The number of ETH held by Digi Power X increased by 93 per cent over the previous month.
• The value of BTC produced at the company's facilities between its self-mining and co-location agreements and energy sales was approximately $3.5-million in August, 2025 (based on a BTC price of $108,200 as of Aug. 31, 2025, per CoinMarketCap).
• Miners running at the company's facilities produced approximately 24 BTC during the month between self-mining and co-location agreements, representing an approximate value of $2.6-million (based on a BTC price of $108,200 as of Aug. 31, 2025, per CoinMarketCap).
• The company has invested approximately $5.5-million year to date in capital expenditures and mining infrastructure support equipment, including approximately $300,000 in August.

Strategic pivot to AI -- Alabama site

• Mining transition: Digi Power X has ceased BTC mining operations in Alabama, redeploying resources in that location toward AI infrastructure.
• Construction under way: Tier 3-certified AI-ready facilities are under construction at the Alabama site, with the first ARMS 200 pod expected for installation in December, 2025, and operation beginning in Q1 2026.
• Forty-megawatt critical/55 MW total: The Alabama campus is designed to deliver 40 MW of critical Tier 3 power capacity upon completion, backed by 55 MW of total power availability, which could support supporting more than 10,000 Nvidia Blackwell GPUs.
• Financing strategy: Company is in advanced discussions and the capex for future growth is expected to be supported by tenant contracts and up to 70-per-cent non-dilutive debt financing, with income expected to fully cover debt service and deliver positive cash flow.

AI data centre expansion -- ARMS 200 platform

• Provisional patent filed for ARMS 200, a one-megawatt modular Tier 3 data centre optimized for GPU-dense workloads.
• Each ARMS 200 is designed to support up to 256 Nvidia B200/B300 GPUs, with liquid cooling and dual-path power redundancy.
• Future growth: ARMS 300 and ARMS 400 models are in development for larger-scale deployments.

Strategic partnerships and GPU deployment

• Supermicro purchase order: Definitive order placed with Super Micro Computer Inc. (Nasdaq: SMCI) for Nvidia B200-powered systems.
• NeoCloud GPU-as-a-service: Proprietary orchestration platform enabling secure, multitenant GPU rentals. Pilot programs for this service are expected to commence in Q4 2025.
• Alignment with Nvidia AI grid: Digi Power X is fully aligned with Nvidia's initiative to connect data centres into an integrated AI grid, positioning ARMS 200 as a ready-to-deploy module within this global compute fabric. This alignment will ensure that Digi Power X can provide customers with scalable, standards-based GPU capacity directly tied into Nvidia's next-generation ecosystem.

Diversified infrastructure strategy

• BTC mining continues at Digi Power X's other sites, with next-generation hydro-powered systems scheduled for Q1 2026 deployment.
• Energy infrastructure: Current footprint of approximately 100 MW across three sites, with expansion to more than 200 MW planned.

Operations update

The company currently operates with approximately 100 MW of available power across its three sites and is working to expand its capacity to 200 MW and beyond. The company plans to fuel this growth using its existing asset portfolio, combined with strategic expansion through targeted acquisitions.

About Digi Power X Inc.

Digi Power X is an innovative energy infrastructure company that develops data centres to drive the expansion of sustainable energy assets.

We seek Safe Harbor.