Mr. Eric Eyerman reports

CALIFORNIA NANOTECHNOLOGIES ADVANCES COMMERCIAL PRODUCTION WITH TWO PURCHASE ORDERS AND ISO 9001 CERTIFICATION

California Nanotechnologies Corp. has received two purchase orders from Oerlikon Metco (U.S.) Inc., a subsidiary of OC Oerlikon Corp., and AbTech Industries Inc. for cryomill materials for commercial production. These orders reinforce the growing demand for California Nanotechnologies' advanced materials manufacturing services.

In addition, the company has successfully completed its ISO 9001 Quality Management Systems certification, a requirement to qualify for a broader scope of potential commercial production contracts. This certification is for the company's spark plasma sintering technologies and spans both its manufacturing locations in Cerritos and Santa Ana, Calif.

These initial purchase orders are valued at a total of approximately $115,000 (U.S.) and are expected to be fully delivered within the next two months. The company currently expects that both customers will release additional orders on a continuing basis for production work.

"Today is an important milestone in Cal Nano's history," stated chief executive officer Eric Eyerman. "We have successfully made the transition from being a pure research and development (R&D) manufacturing service provider over the last six years to now also serving our customers' commercial applications and needs. These orders, along with the ISO 9001 certification, set us up well as we build our commercial platform and solidify our presence as a domestic advanced materials manufacturer."

The first purchase order from Oerlikon involves cryomilling 930 pounds of a specialty metallic powder for an advanced coating application. The second set of orders from AbTech is to perform particle size reduction on 8,100 pounds of a polymer-based material. The resulting material will be used in a proprietary media that will help filter out contaminants from water sources such as industrial discharge, waste water and stormwater.

The ISO 9001 quality certification follows months of preparatory work and showcases California Nanotechnologies' commitment to quality management systems and continuous improvement across all aspects of its operations. This certification is required for bidding on a wider range of larger commercial production contracts across various industries.

California Nanotechnologies has seen a recent slowdown in activity from its green steel customer, which the company understands has achieved certain performance targets, resulting in a period of transition for its R&D efforts. The decrease in fundamental R&D work is expected to impact the company's fiscal first quarter. There is potential for an impact in subsequent quarters. However, based on discussions with the customer, California Nanotechnologies currently believes that R&D activity will rebound later in calendar year 2025, although it should be noted that this is not certain at present.

As evidenced by the orders announced today, California Nanotechnologies continues to drive its goal of diversifying its revenues and securing commercial production contracts, which are expected to be more predictable and recurring in nature. The company continues to progress its discussions for several such opportunities.

California Nanotechnologies has positioned itself as a full-service manufacturing service provider, offering customers the ability to move from R&D to pilot production and eventually to larger-scale commercial production.

About California Nanotechnologies Corp.

At California Nanotechnologies, the company envisions a world in which its advanced technologies are used to help make the most innovative products on this planet and beyond. With its unique expertise in processing metallurgic powders into parts, global leaders trust California Nanotechnologies to help push the boundaries of applied material science. Headquartered in greater Los Angeles, Calif., California Nanotechnologies hosts advanced processing and testing machinery and capabilities across two manufacturing facilities for materials research and production needs. California Nanotechnologies' customers range from Fortune 500 companies to start-ups with programs spanning aerospace, renewable energy, defence and semiconductors.

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