Mr. Dan Blondal reports

NRCAN AWARDS NANO ONE $3M TO SUPPORT LFP CATHODE MATERIAL SUPPLY CHAIN INITIATIVE

Nano One Materials Corp. has been awarded $3-million from Natural Resources Canada. The funds will support continuing process optimization, supply chain diversification and enhanced commercial offerings for the One-Pot production of lithium iron phosphate cathode active materials through to March 31, 2028.

"We are very grateful to NRCan and the government of Canada for their continued support," said chief executive officer Dan Blondal. "These funds support us as we bring cost-competitive and scalable LFP processing technology alternatives to markets, strategic partners and customers around the world, and they help us enhance our commercial offerings and supply chain solutions."

The funds will be directed toward process technology optimization, economic regionalization and diversification of raw material supply. The process development work will be specifically focused on iron feedstock, leveraging the Nano One research and development facility in Burnaby, B.C., and its pilot and demonstration facilities in Candiac, Que. Strategic shareholder Sumitomo Metal Mining Co. Ltd. will contribute technical expertise, testing and external validation for the development program.

LFP is a key cathode active material utilized in lithium battery systems, which are being deployed in grid decarbonization, defence, electric vehicle and data centre applications. Access to iron feedstock is critical to the global diversification, growth and resilience of LFP supply chains. As highlighted by the International Energy Agency, 98 per cent of LFP cathode materials are sourced from China, with iron phosphate precursor production that relies mainly on a unique supply of low-cost and high-volume iron sulphate feedstock.

The company's patented One-Pot process enables cost-competitive input of alternative iron feedstock that can be sourced in various jurisdictions around the world, eliminating the need to source FP precursor materials while enabling diversification of LFP supply chains. The technology is being optimized for the commercial production of LFP across three core market application segments, defence and national security, energy storage systems, and electric vehicles, to meet a range of economic, performance and supply chain requirements.

"We're building a stronger, more productive and increasingly prosperous Canada by supporting companies like Nano One that innovate here at home. This project will help scale up the production of battery materials and drive innovation in clean technologies vital to a lower-carbon future. With this investment, we are strengthening our supply chains and bolstering Canada's economy, security and sustainability," said Tim Hodgson, Minister of Energy and Natural Resources.

About Nano One Materials Corp.

Nano One is a process technology company changing how cathode active materials are produced for lithium-ion batteries. Nano One's platform is built on a portfolio of patented processes, decades of manufacturing know-how and modular plant designs that enable scalable, cost-competitive and easier-to-permit CAM production with resilient supply chains. The technology eliminates waste water and byproducts while enabling regionally sourced raw materials and reducing exposure to foreign supply chain volatility. Modular plants are designed with fewer steps to reduce capital expenditures, energy and environmental intensity and to accelerate deployment, manufacturing and licensing. Product development and process optimization are based at Nano One's innovation centre in Burnaby, B.C., while piloting, demonstration and commercial production are based in Candiac, Que., supported by a team with more than 15 years of commercial cathode manufacturing experience supplying global cell manufacturers. Strategic collaborations with global partners including Sumitomo Metal Mining, Rio Tinto and Worley support Nano One's design-one-build-many growth strategy. Nano One has received funding support from the governments of Canada, the United States, Quebec and British Columbia.

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