Mr. Massimo Bellini Bressi reports

BATTERY X METALS REPORTS ESTIMATED DRIVING RANGE INCREASE OF 255 KILOMETERS FOLLOWING SUCCESSFUL REBALANCING OF LIGHT-DUTY ELECTRIC VEHICLE MODEL WITH SEVERE CELL IMBALANCE, RESTORING POST-REBALANCE RANGE TO 295 KILOMETERS IN PRELIMINARY TRIAL

Further to the news release dated June 6, 2025, Battery X Metals Inc.'s wholly owned subsidiary, Battery X Rebalancing Technologies Inc., has completed a real-world driving trial demonstrating a significant increase in estimated driving range for a fully electric, Class 3 commercial electric vehicle, or light-duty electric vehicle, following a full battery rebalancing process using the company's patent-pending second-generation lithium-ion-battery rebalancing hardware and software platform (Prototype 2.0).

As part of its continuing performance validation program for Prototype 2.0, Battery X Rebalancing Technologies recently conducted a series of real-world road tests on a rebalanced electric truck to evaluate postrebalancing driving range and battery efficiency. The electric truck was supplied by an authorized Canadian distributor of the electric truck and, as represented by the electric truck authorized distributor, had previously demonstrated a significantly degraded driving range of approximately 40 kilometres per full charge caused by significant natural cell imbalance caused by real-world conditions.

In response to this battery capacity performance deficiency, Battery X Rebalancing Technologies performed a battery rebalancing procedure on the electric truck utilizing Prototype 2.0, as initially disclosed in the company's news release dated June 6, 2025. During the associated rebalancing trial, Battery X Rebalancing Technologies completed a full rebalancing process on a 144-cell lithium-ion-battery pack composed of lithium nickel manganese cobalt oxide chemistry, which had exhibited substantial imbalance attributable to real-world operating conditions. The rebalancing trial demonstrated complete (100 per cent) recovery of imbalance-related capacity loss and yielded a 37.7-per-cent increase in the rated capacity (as defined in the June 6, 2025, news release) of the electric truck's battery pack.

The results

Following completion of the rebalancing procedure, Battery X Rebalancing Technologies conducted a series of controlled real-world performance evaluations on the electric truck for the purpose of assessing postrebalancing improvements in battery range and overall energy efficiency under actual operating conditions. In the first trial, the electric truck travelled a total distance of 41 kilometres, utilizing approximately 14 per cent of its available battery capacity, while operating across a combination of highway and city driving environments. In the second trial, the vehicle completed a distance of 107.3 kilometres while consuming approximately 35 per cent of its battery capacity, under similarly mixed driving conditions. The third trial, conducted exclusively under city driving conditions, demonstrated that the vehicle travelled 58.2 kilometres while utilizing approximately 21 per cent of its available battery charge.

The results demonstrate a material improvement in the estimated driving range and effective battery capacity of the electric truck. Specifically, postrebalancing performance testing indicates an estimated driving range of approximately 295 kilometres per full charge under no-load conditions. These figures represent an increase of up to 255 kilometres in driving range under no-load conditions, corresponding to an approximately 637.5-per-cent improvement of battery driving range, as compared with the prerebalancing range of approximately 40 kilometres. The results affirm the technical efficacy and commercial relevance of Battery X Rebalancing Technologies' proprietary rebalancing process and support its broader applicability within light-duty electric vehicle fleets and other commercial electric transportation use cases.

The electric truck parent company has represented that the electric truck's expected driving range under maximum payload conditions is approximately 290 kilometres. Battery X Rebalancing Technologies' battery range performance trials yielded an estimated range of approximately 295 kilometres under no-load conditions following rebalancing. Although these figures were obtained under different load scenarios, the close alignment between the electric truck authorized distributor's reported range and the postrebalancing estimate supports the reliability of Battery X Rebalancing Technologies' testing methodology. Furthermore, the results underscore the potential of Battery X Rebalancing Technologies' rebalancing process to restore battery performance to levels consistent with the high end of manufacturer-reported specifications.

The battery range performance trials were performed under no-load conditions. It is relevant to note that payload can have an effect on energy consumption and overall driving range. This consideration is consistent with widely recognized industry dynamics and is disclosed to provide a complete and transparent understanding of factors that may influence real-world vehicle performance. Range may vary based on payload, terrain, driving behaviour and other operational conditions.

These performance outcomes further validate the effectiveness and market relevance of Battery X Rebalancing Technologies' proprietary rebalancing solution in restoring degraded battery capacity and materially extending the remaining useful life of commercial electric vehicle batteries. The company believes these results provide compelling technical validation in support of Prototype 2.0's broader commercial deployment, particularly in fleet environments where range reliability, battery lifespan longevity and total cost of ownership are mission-critical considerations.

Significance of results and market opportunity for the electric truck

The results of the rebalancing trial and the battery range performance trials collectively demonstrate that Prototype 2.0 is capable of effectively rebalancing lithium-ion-battery packs exhibiting significant, naturally occurring cell imbalance. This successful outcome builds upon previously disclosed validation milestones achieved by Battery X Rebalancing Technologies, including third party technical validation conducted by the National Research Council of Canada (as referenced below), as well as the company's news release dated May 30, 2025, announcing the successful rebalancing of a naturally imbalanced Nissan Leaf battery pack -- the second most common out-of-warranty electric vehicle platform in the United States.

Importantly, the results not only validate the technical efficacy of Prototype 2.0 in an electric truck application, but also demonstrate its potential to recover substantial lost battery capacity resulting from cell imbalance. This performance reinforces the relevance of the company's patent-pending technology in practical, real-world scenarios and highlights the broader need for scalable, cost-effective battery recovery solutions. The battery range performance trials further substantiates the commercial viability of Prototype 2.0 as a solution to extend the remaining useful life of aging battery packs in commercial electric vehicle fleets.

The electric truck and associated electric truck battery pack were supplied to Battery X Rebalancing Technologies at no cost for testing and evaluation by the electric truck authorized distributor, which advised that it owns and operates a fleet of approximately 20 electric trucks. According to the electric truck authorized distributor, multiple vehicles within the electric truck fleet have exhibited material battery degradation and capacity loss attributable to cell imbalance. The rebalancing trial and the battery range performance trials were undertaken in response to the electric truck authorized distributor's request for a viable alternative to full battery replacement, which it advised may be financially prohibitive on a fleet-wide basis.

The objective of the rebalancing trial and the battery range performance trials was to determine whether Prototype 2.0 could effectively restore functional battery performance in a degraded battery unit sourced from the electric truck fleet. Upon successful rebalancing, the battery range performance trials further aimed to quantify the extent of recovered battery capacity in terms of estimated driving range. The positive results are expected to inform and support continuing discussions with the electric truck authorized distributor regarding the potential deployment of the rebalancing solution across its broader fleet, with the goal of extending battery life and mitigating the operational and financial impact of premature battery replacements.

Battery X Rebalancing Technologies has been informed by the electric truck authorized distributor that a substantial number of similar electric trucks are currently in operation across various markets, including those held by the electric truck's parent company, authorized distributors, commercial fleet operators and private owners. Many of these vehicles are reportedly experiencing battery degradation symptoms consistent with cell imbalance. This feedback underscores a broader market opportunity for Battery X Rebalancing Technologies to provide a scalable, cost-effective rebalancing solution aimed at extending battery life and reducing total cost of ownership for commercial EV stakeholders.

In conjunction with the rebalancing trial and the battery range performance trials, Battery X Rebalancing Technologies is currently advancing the development of standardized operating procedures tailored to the electric truck battery pack, in addition to refining user interface and workflow enhancements within Prototype 2.0. The company is also actively pursuing a commercial manufacturing agreement to support scalable production and deployment of its rebalancing platform. These activities are intended to further the company's broader commercialization strategy, which is not limited to any single third party opportunity. The electric truck-specific SOPs, however, are being developed in direct response to the successful battery range performance trials and the interest expressed by the electric truck authorized distributor.

There can be no assurance that Battery X Rebalancing Technologies will enter into any definitive commercial arrangement with the electric truck authorized distributor or any other third party at this time. While the company remains encouraged by the rebalancing trial and the battery range performance trials, which demonstrate an apparent need in the marketplace, any future commercial arrangement will be subject to further technical validation, negotiation of mutually acceptable terms and completion of all necessary operational readiness milestones.

The problem: rising electric vehicle adoption presents new battery life cycle challenges

In 2024, global EV sales reached approximately 17.1 million units, representing a 25-per-cent increase from 2023. With cumulative global EV sales from 2015 to 2023 totalling an estimated greater than 40 million units, a significant share of the global EV fleet is expected to exit warranty coverage over the coming years.

By 2031, nearly 40 million electric, plug-in hybrid and hybrid vehicles worldwide are anticipated to fall outside of their original warranty coverage. This projection is based on current EV adoption figures and standard industry warranty terms, and underscores a growing risk for EV owners facing battery degradation, reduced capacity and costly replacement requirements. As the global EV fleet continues to expand, the demand for technologies that extend battery life, reduce long-term ownership costs and support a sustainable transition to electric mobility is increasing.

The solution: pioneering next-generation technologies to support lithium-ion-battery longevity

Battery X Rebalancing Technologies' proprietary software and hardware technology aims to address this challenge by extending the lifespan of EV batteries. This innovation is being developed with the aim to enhance the sustainability of electric transportation and the goal to provide EV owners with a more cost-effective, environmentally friendly ownership experience by reducing the need for costly battery replacements.

Battery X Rebalancing Technologies' rebalancing technology, validated by the National Research Council of Canada, focuses on battery cell rebalancing. The NRC validation demonstrated the technology's ability to effectively correct cell imbalances in lithium-ion-battery packs, recovering nearly all lost capacity due to cell imbalance. The validation was conducted on battery modules composed of 15 72-ampere-hour LiFePO4 cells connected in series. The cells were initially balanced to a uniform state of charge, with a measured discharge capacity of 71.10 ampere-hours. In the validation test, three of the 15 cells were then artificially imbalanced: One cell was charged to a 20 per cent higher SOC, and two cells were discharged to a 20 per cent lower SOC -- resulting in a reduced discharge capacity of 46.24 ampere-hours, following rebalancing using Battery X Rebalancing Technologies' rebalancing technology.

These advancements establish Battery X Rebalancing Technologies as a participant in lithium-ion and EV battery solutions, aiming to tackle the critical challenges of capacity degradation of battery packs and expensive replacements. By extending the life cycle of battery materials within the supply chain, Battery X Rebalancing Technologies aims to support the energy transition and promote a more sustainable future.

About Battery X Metals Inc.

Battery X Metals is an energy transition resource exploration and technology company committed to advancing domestic and critical battery metal resource exploration and developing next-generation proprietary technologies. Taking a diversified, 360-degree approach to the battery metal industry, the company focuses on exploration, lifespan extension and recycling of lithium-ion batteries and battery materials.

We seek Safe Harbor.