Mr. Dan Sutton reports

SYNTHOLENE SELECTS PAPADAKIS ENGINEERING AS INTEGRATION PARTNER FOR NOVEL THERMAL-HYBRID SYNTHETIC FUEL DEMONSTRATION FACILITY HEAT EXCHANGER SYSTEM

Syntholene Energy Corp. has selected Papadakis Engineering, the advanced fabrication and systems division of Papadakis Racing, as its development and integration partner for the geothermal heat exchanger system supporting Syntholene's planned thermal-hybrid synthetic fuel demonstration facility.

Papadakis Engineering is a U.S.-based engineering and fabrication firm with deep expertise in high-performance thermal systems, precision manufacturing and complex system integration.

The Papadakis organization is internationally recognized for its championship-winning motor sports engineering program, having designed and built record-setting powertrains and vehicle systems for top-tier professional racing series, including multiple Formula Drift titles.

The firm is known for translating extreme performance requirements into reliable, precision-engineered systems operating under continuous thermal and mechanical stress, a pedigree that directly informs its approach to advanced industrial thermal and integration challenges.

"Thermal integration is one of the most important levers for Syntholene's vision of lowering the cost of electrolytic hydrogen and, by extension, synthetic fuels," said Dan Sutton, chief executive officer of Syntholene Energy. "Papadakis brings an uncommon combination of thermal engineering, fabrication discipline and execution speed. Their experience delivering tightly integrated, high-performance systems makes them an ideal partner as Syntholene moves from design into physical system validation."

The company's engagement of Papadakis is pursuant to a written project proposal dated Jan. 28, 2026. The project scope covers detailed engineering, fabrication, containerized integration and electrical scope associated with a geothermal heat exchanger skid designed to provide low-grade process heat to Syntholene's SOEC-based (solid oxide electrolyzer cell) hydrogen production system. Under the proposal, Papadakis has agreed to provide electrical and heat exchanger integration services for a total contract value of $289,026 (U.S.), payable in tranches during the term, with delivery of services expected to be complete by June 1, 2026. The work is intended to support factory acceptance testing and delivery of a fully integrated demonstration-scale system. This proposal was entered into by the company in the ordinary course of its business in furtherance of the previously announced proposed demonstration facility. Papadakis and the company are arm's-length parties.

"Syntholene's proposed demonstration facility represents the kind of engineering challenge we're built for: integrating complex subsystems into a cohesive, performance-driven platform," said Stephan Papadakis, founder of Papadakis Engineering. "My team is excited to apply our high-performance engineering discipline to a program aimed at improving the efficiency and economics of synthetic fuel production."

The selection of Papadakis represents a key milestone in the execution of Syntholene's thermal-hybrid production architecture, which aims to integrate electricity with process heat to reduce net electrical demand and improve overall SOEC system efficiency. The proposed demonstration facility is designed to validate this approach and to generate operating data required to inform future commercial deployment plans.

The proposed demonstration facility is intended to serve as a validation platform for Syntholene's thermal-hybrid production system, enabling the company to derisk system integration, operating performance and unit economics ahead of targeted future commercial scale-up. Data to be generated from the facility are expected to inform subsequent project development, engagement with strategic partners, and discussions with policymakers and capital providers.

About Syntholene Energy Corp

Syntholene is actively commercializing its novel hybrid thermal production system for low-cost clean fuel synthesis. The target output is ultrapure synthetic jet fuel, which the company seeks to manufacture at 70 per cent lower cost than the nearest competing technology today. The company's mission is to deliver the world's first truly high-performance, low-cost and carbon-neutral synthetic fuel at an industrial scale, unlocking the potential to produce clean synthetic fuel at lower cost than fossil fuels, for the first time.

Founded by experienced operators across advanced energy infrastructure, nuclear technology, low-emissions steel refining, process engineering and capital markets, Syntholene aims to be the first team to deliver a scalable modular production platform for cost-competitive synthetic fuel, thus accelerating the commercialization of carbon-neutral e-fuels across global markets.

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