- Received purchase order for 10,000 units of 34Ah drone battery cells to reserve sufficient capacity to meet anticipated drone demand
- To develop and supply high-performance battery products for Customer’s e-mobility/electric motorcycle packs deployed in Vietnam and Southeast Asia
- Attained Korea Certification (KC) for 11.5Ah battery advancing supply readiness and commercial access within Korean markets
TORONTO, Ontario – July 22, 2026 – NEO Battery Materials Ltd. (“NEO” or the “Company”) (TSXV: NBM) (OTC: NBMFF), a low-cost, silicon-enhanced battery manufacturer enabling high-performance capabilities for drones, robotics, and physical AI, is pleased to receive a purchase order for its 34Ah drone battery cells from a South Korean battery pack manufacturer and to achieve KC certification of its 11.5Ah battery product for commercial sale and distribution in the Korean defense and dual-use markets.
The Company has received a purchase order for 10,000 units of NEO’s 34Ah (ampere-hour) drone battery cells from PM Energy Solution Co., Ltd. (“PM Energy” or the “Customer”), a South Korean battery pack manufacturer. Products are expected to be manufactured and delivered in line with periodic demand forecasts from PM Energy and its drone customer base. The Customer has placed the order with the intent of reserving sufficient capacity to meet anticipated demand, and the quantity supplied will therefore be subject to these forecasts.
In addition to drone batteries, the Customer will collaborate with NEO to develop and purchase high-energy battery cells for its TeraVitz e-mobility/electric motorcycle products deployed across Vietnam and Southeast Asia. Along with its e-mobility product lines, PM Energy services South Korean defense primes and Fortune 500 automotive companies with energy storage systems (ESS) and uninterrupted power supply (UPS) units for backup energy supply and mission-critical communication operations.
PM Energy’s core business reuses end-of-life electric vehicle (EV) batteries utilizing its proprietary battery pack manufacturing and AI-based screening technology for applications in industrial equipment, e-mobility, and ESS/UPS. Along with its main product lines, the Customer has initiated service to drone manufacturers exclusively with NEO’s battery lineups. PM Energy has recently showcased and proven its product innovation, being recognized as a 2026 CES Innovation Awards Honoree in the Sustainability & Energy Transition category and receiving the Silver Award at the 2026 Edison Awards for its TeraVitz – Smart Deep Cycle Lithium Battery for Industrial Equipment product.
KC Certification of 11.5Ah Product
NEO has obtained Korea Certification (“KC”) under the KC 62133-2 standard for its 11.5Ah cell product, achieving certification on its first submission and enabling the commercial sale and distribution of lithium-ion batteries within the Korean market. KC is a legally compulsory product safety mark that ensures compliance with K-Standards, and NEO’s cells have passed a defined series of electrical, mechanical, thermal, and environmental safety tests, verifying the product meets domestic standards for safe operation and handling in commercial use.
“Attaining certification without revisions reflects the quality consistency and control of NEO’s cell design and manufacturing process,” stated Mr. S.J. Youn, Head of Manufacturing at NEO. “KC certification now enables the Company to supply its 11.5Ah cell on a commercial basis in the Korean defense sector. UN 38.3 certification is underway for international shipment and export clearance to enable cross-border sales.”
About PM Energy Solution Co., Ltd.
PM Energy Solution was founded on over 20 years of engineering expertise in the industrial battery sector. PM Energy specializes in the development, production, and technical support of industrial lithium-ion battery solutions, using its proprietary battery pack manufacturing and AI-based screening technology. PM Energy is currently expanding its business in markets where conventional lead-acid batteries are being replaced by lithium-ion batteries, including e-scooters, forklifts, ESS, and starter batteries. For more information, please visit: https://pmenergysolution.co.kr/en/
About NEO Battery Materials Ltd.
NEO Battery Materials is a Canadian-South Korean battery technology company focused on developing and producing silicon-enhanced lithium-ion batteries in drones, robotics, physical AI, electric vehicles, and energy storage systems. With a patent-protected, low-cost silicon manufacturing process, NEO Battery enables longer-running and ultra-fast charging properties and provides end-to-end battery solutions from materials selection, cell architecture, and process optimization. The Company aims to be a globally-leading producer of high-performance lithium-ion batteries and materials, building a secure, robust battery supply chain for Western manufacturers. For more information, please visit the Company’s website at: https://www.neobatterymaterials.com/.
On Behalf of the Board of Directors
Spencer Huh
Director, President and CEO
Tel: +1-437-451-7678
For Investor Relations, PR & More Information:
[email protected]
This news release includes certain forward-looking statements as well as management’s objectives, strategies, beliefs and intentions. All information contained herein that is not clearly historical in nature may constitute forward-looking information. Generally, such forward-looking information can be identified notably by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: volatile stock prices; the general global markets and economic conditions; the possibility of write-downs and impairments; the risk associated with the research and development of battery-related technologies; the risk associated with the effectiveness and feasibility of battery material, electrode, and cell technologies that have not yet been tested or proven on commercial scale or under real-world operating conditions; the risks associated with battery-related manufacturing process scale-up, including maintaining consistent material, component, and cell quality, production yields, and process reproducibility at a pilot, semi-commercial, or commercial scale; the risks associated with compatibility of existing battery chemistries, formulations, components, or designs; unforeseen risks associated with entering into and maintaining collaborations, joint ventures, partnerships, or commercial contracts with battery cell manufacturers, original equipment manufacturers, and various companies in the global battery and downstream end-user supply chain; the risks associated with the failure to develop and produce commercially viable battery-related products or that technical goals may not be achieved within expected timelines or budgets under a joint development or collaboration; the risks associated with the Company’s technologies and products not meeting performance requirements or customer specifications; the risks that prototype and pilot-scale products do not advance into commercially produced products or translate into commercial orders; the risk associated with battery components and cell purchase orders and offtake supply that may not be fulfilled in full, on time, or at all as actual revenue realization depends on delivery schedules, achievement of technical milestones, and customer acceptance and validation; the risk associated with losing official vendor registration or status with existing customers; counterparty risk upon delivery of prototype and commercial products; the risks associated with constructing, completing, securing, and financing pilot, semi-commercial, and commercial battery materials, components, and cell manufacturing facilities including the Canadian and South Korean facilities; the risks associated with potential delays or increased costs with site preparation, equipment procurement and installation, and facility commissioning; the risks associated with integrating silicon anode material production, electrode manufacturing, and cell assembly within a single operational cluster or the Company’s business portfolio; the risks associated with supply chain disruptions or cost fluctuations in raw materials, processing chemicals, and additive prices, impacting production costs and commercial viability; the risks associated with uninsurable risks arising during the course of research, development and production; competition faced by the Company in securing experienced personnel, contracts and sales, and financing; access to adequate infrastructure and resources to support battery materials, components, and cell research and development activities; the risks associated with changes in the technology regulatory regime governing the Company; the risks associated with the timely execution of the Company’s strategies and business plans; the risks associated with the lithium-ion battery industry and end-users’ demand and adoption of the Company’s silicon anode technology and battery products; market adoption and integration challenges, including the difficulty of incorporating silicon anodes and silicon battery products within battery manufacturers and OEMs’ systems; the risks associated with the various environmental and political regulations the Company is subject to; risks related to regulatory and permitting delays; the reliance on key personnel; liquidity risks; the risk of litigation; risk management; and other risk factors as identified in the Company’s recent Financial Statements and MD&A and in recent securities filings for the Company which are available on www.sedarplus.ca. Forward-looking information is based on assumptions management believes to be reasonable at the time such statements are made, including but not limited to, continued R&D and commercialization activities, no material adverse change in precursor, raw material, equipment, and relevant cost prices, development and commercialization plans to proceed in accordance with plans and such plans to achieve their stated expected outcomes, receipt of required regulatory approvals, and such other assumptions and factors as set out herein. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such forward-looking information. Such forward-looking information has been provided for the purpose of assisting investors in understanding the Company’s business, operations, research and development, and commercialization plans and may not be appropriate for other purposes. Accordingly, readers should not place undue reliance on forward-looking information. Forward-looking information is made as of the date of this presentation, and the Company does not undertake to update such forward-looking information except in accordance with applicable securities laws.
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