Mr. Andrew van Doorn reports

$242.3 MILLION USD IN TOTAL CONSTRUCTION VALUE; POWERBANK CONFIRMS SAFE HARBOR OF 23 DISTRIBUTED SOLAR AND ENERGY STORAGE PROJECTS

Powerbank Corp. has completed equipment procurement agreements totalling $242.3-million (U.S.) in construction value across 23 distributed solar and energy storage projects in New York and Pennsylvania through its wholly owned subsidiary Abundant Solar Power Inc. The projects, once financed, constructed and operational, are expected to bring approximately 97 megawatts direct current of solar and 42 megawatt-hours of energy storage to the United States, with the combined capacity expected to power the equivalent of approximately 11,000 homes. This procurement is expected to enable all 23 projects to remain eligible for U.S. federal investment tax credits for energy projects under the One Big Beautiful Bill Act of 2025.

The safe harbour of the 23 projects was secured through two separate equipment procurement milestones. In December, 2025, Powerbank executed procurement agreements for 15 late-stage distributed solar and energy storage projects across New York State, representing approximately 67 MW DC of solar and 11 MWh of energy storage, with a construction value estimated at $168-million (U.S.) and estimated investment tax credit eligibility of $65-million (U.S.). This was followed by the procurement of transformers and major equipment for an additional eight distributed solar and energy storage projects across New York and Pennsylvania, representing approximately 30 MW DC of solar and 31 MWh of energy storage, with a construction value estimated at $74.3-million (U.S.) and an estimated investment tax credit value of $29.7-million (U.S.).

Physical work on the first 15 projects was completed before Dec. 31, 2025, intending to safe harbour those projects through the IRS physical work test. Physical work on the second eight projects is expected to safe harbour those projects through the IRS physical work test prior to the July 4, 2026, deadline under the One Big Beautiful Bill Act.

In total, the estimated value of the investment tax credits associated with the projects being harboured safely through these procurements is approximately $94.7-million (U.S.) while the total combined construction value of the portfolio is estimated at $242.3-million (U.S.). Investment tax credits provide a 30-per-cent tax credit for commercial solar installations that meet specific requirements, with opportunities for ITC bonus adders.

The One Big Beautiful Bill Act, signed into law on July 4, 2025, specifies that the Section 48E investment tax credit for solar facilities will be phased out, and projects which have begun construction on or before July 4, 2026, will remain eligible for the tax credits with an extended timeline to place the projects into operation. Powerbank's procurement program was initiated in response to this legislative development and was executed pro-actively to protect the eligibility of the projects.

Powerbank also notes the June 6, 2026, ruling by a U.S. federal court in Washington, D.C., which restored a long-standing provision known as the 5-per-cent safe harbour. This provision allows solar and wind developers to secure their eligibility for federal investment tax credits by demonstrating that at least 5 per cent of a project's total costs have been incurred, which is a method the industry had relied upon for over a decade before it was eliminated by the IRS in August, 2025. Powerbank welcomes this ruling as a recognition of the industry reliance interests that were placed at risk by the August, 2025, guidance. However, given the proximity of the July 4, 2026, deadline and the possibility of appeal or further regulatory action, the company believes its approach of satisfying the physical work test through physical work of a significant nature conducted on power conditioning equipment represents prudent and pro-active risk management for its portfolio of projects.

"The completion of equipment procurement across all 23 projects is a testament to the depth of experience and commitment of our team," said Andrew van Doorn, president and chief operating officer of Powerbank. "In an environment of significant regulatory uncertainty, we made the deliberate decision to act early and conduct the physical work necessary to protect our projects' tax credit eligibility. Having developed and delivered projects across multiple market cycles, I know that preparedness and execution discipline are what differentiate strong developers from the rest. The court's decision is a positive development for the industry, and we are encouraged to see the judiciary affirm the reliance interests that developers have built their businesses around. At the same time, our team did not wait for judicial outcomes, so we ensured that our projects are positioned to qualify under the physical work test regardless of how the regulatory landscape evolves. That is the approach we will continue to take as we advance our portfolio toward construction and commercial operation."

Powerbank has the option to continue as the owner on some or all of the projects under its expanding portfolio as an independent power producer, and intends on delivering the full EPC scope for the projects whether it retains ownership or not. Subject to the receipt of permits and financing, commercial operation of the projects is expected to occur over the next several years.

The projects range in size from 500 kilowatts DC to seven megawatts DC for distributed solar, and 1.2 MWh to 20 MWh for battery energy storage systems. Once completed, the projects will be operated as either community solar or net-metered projects across New York and Pennsylvania. Community solar allows up to hundreds of electricity customers to access the economic benefits of solar energy without installing panels on site, earning credits on their electricity bills from their share of generation. Net-metered projects provide on-site power to a customer behind the meter, with excess power exported to the grid through the VDER compensation mechanism.

Powerbank's proven expertise, with over 100 MW of completed projects and a development pipeline exceeding one gigawatt, underpins the execution of the projects. Strategic partnerships and institutional-grade development capabilities position Powerbank to deliver reliable, high-impact renewable energy solutions.

There are several risks associated with the development of the projects. The development of any project is subject to receipt of a community solar contract, receipt of interconnection approval, receipt of required permits, the availability of third party financing arrangements for the company and the risks associated with the construction of a solar power project. In addition, governments may revise, reduce or eliminate incentives and policy support schemes for solar power, which could result in the projects receiving fewer tax credits than estimated and no longer being economic.

About Powerbank Corp.

Powerbank is a vertically integrated and independent North American energy company helping to power the digital economy. The company develops, builds, owns and operates solar and battery energy storage systems that deliver reliable, resilient and behind-the-meter power to the electricity grid, commercial and industrial clients, and municipal and residential offtakers. As artificial intelligence and digital infrastructure drive unprecedented electricity demand, Powerbank is uniquely positioned to deliver the speed, scale and energy independence that the next generation of power consumers requires, without waiting years for grid interconnection. The company has a potential development pipeline of over one gigawatt and has developed energy projects with a combined capacity of over 100 megawatts built.

We seek Safe Harbor.