CHARBONE Announces Updates on Sorel-Tracy Phase 1B and Metrology Equipment Installation

The CHARBONE team announced Phase 1B onsite construction progress at its Sorel-Tracy flagship, preparing for equipment deliveries and the start of higher capacity production

Varennes, Quebec, July 7, 2026 – CHARBONE CORPORATION (TSXV: CH; OTCQB: CHHYF; FSE: K47) (“CHARBONE” or the “Company”), a vertically integrated industrial gases company focused on production, distribution and storage of clean ultra-high purity (“UHP”) hydrogen and other strategic industrial gases, is pleased to announce important updates concerning its Phase 1B construction, with the goal of making its upgraded production capacity operational during the upcoming fall. We are also announcing a vital component for the on-site batch purity testing of its clean UHP hydrogen that has been successfully received and installed at its plant.

Phase 1B Civil Construction Underway

Heavy civil construction equipment has arrived on-site, and CHARBONE’s general contractor and subcontractor teams have begun work. Surveyors have finished all necessary site markings for the construction of production areas in preparation for the arrival of production equipment in the upcoming weeks and construction of the operation and maintenance building.

This critical juncture signifies the official initiation of the Phase 1B construction stage for CHARBONE’s clean UHP hydrogen plant located in Quebec. The tasks involved in this endeavor encompass the comprehensive readying of the technological infrastructure and the placement of the foundational structures required for the subsequent assembly of the primary equipment.

Metrology Equipment

A cutting-edge gas chromatography system has been deployed by a world-renowned firm. This organization, a leader in life sciences, diagnostics, and applied markets, is recognized for its unwavering commitment to integrity across all its endeavors. The system has been specifically engineered for highpurity hydrogen analysis. Its function is to identify traces of impurities and to guarantee purity gas compliance and quality with relevant standards. As a result, CHARBONE’s stringent purity benchmarks will become easily accessible, aiming to enhance sales among customers who require effective testing solutions.

Management statement

“Our upgraded operations in Sorel-Tracy, Quebec, Canada, represent another cornerstone of our strategic growth and our commitment toward our shareholders and customers to a world class unique plant in its kind,” said Dave Gagnon, Chairman & Chief Executive Officer of CHARBONE. “We are proud to be a leader in high purity gases, fostering innovation and creating opportunities as we expand our sustainable practices.”

Momentum Public Relations Inc. Appointment

CHARBONE has retained the services of Momentum Public Relations Inc. (“Momentum”) for services related to its investor and media relations strategies. These services will be primarily provided by Mr. Maxence Gagné-Godbout, who acts at arm’s length from the Company. Under the agreement, Momentum will receive fees of $10,000 per month. The six-month agreement is valid until May 15, 2026. No other compensation is payable under this engagement. The agreement is subject to regulatory approval.

About CHARBONE CORPORATION

CHARBONE is a vertically integrated industrial gases company focused on developing and operating a network of supply hubs for the production, storage, and distribution of Ultra-High Purity (UHP) strategic industrial gases. The Company serves customers across sectors including semiconductors, artificial intelligence and data centers, advanced pharmaceuticals, and aerospace and defense technologies, where UHP gases are critical for high-precision manufacturing processes and operational performance. CHARBONE is advancing a network of clean UHP hydrogen production facilities across North America and selected international markets. The Company’s modular, decentralized, and demand-driven approach, combined with its integrated storage and distribution platform for all UHP gases, supports scalable growth, enhances operational flexibility, and enables more stable and diversified revenue generation. This model allows CHARBONE to efficiently serve mid-tier industrial gas customers with a reliable supply of UHP gases, including hydrogen, helium, oxygen, and any others that are in high-demand gases that are often difficult to source. The Company is committed to supporting the global transition to a lower-carbon economy by providing accessible, decentralized clean hydrogen and specialty gases, while addressing supply gaps for underserved industrial customers and accelerating the shift towards localized clean energy. CHARBONE is listed on the TSX Venture Exchange (TSXV: CH), the OTC Markets (OTCQB: CHHYF), and the Frankfurt Stock Exchange (FSE: K47).

Forward-Looking Statements

This press release contains statements that constitute “forward-looking information” within the meaning of Canadian securities laws (“forward-looking statements”). These forward-looking statements are often identified by words such as “intends”, “anticipates”, “expects”, “believes”, “plans”, “likely”, or similar words. Forward-looking statements reflect the respective expectations, estimates or projections of Charbone’s management regarding future results or events, based on opinions, assumptions and estimates considered reasonable by management at the date the statements are made. Although Charbone believes that the expectations expressed in the forward-looking statements are reasonable, forward-looking statements involve risks and uncertainties, and undue reliance should not be placed on forward-looking statements, as unknown or unpredictable factors could cause actual results to differ materially from those expressed in the forward-looking statements. Risks and uncertainties related to Charbone’s activities may affect forward-looking statements. These risks, uncertainties and assumptions include, without limitation, those described under “Risk Factors” in the Company’s management discussion and analysis for the period ended September 30, 2025, which can be accessed on SEDAR+ at www.sedarplus.ca; they could cause actual events or results to differ materially from those anticipated in the forward-looking statements. Unless required by applicable securities laws, Charbone does not undertake to update or revise the forward-looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.