Nano One Advances Candiac LFP Capacity Expansion With Engineering 85% Complete

VANCOUVER, British Columbia--(BUSINESS WIRE)--Jul 23, 2026--

Nano One® Materials Corp. ("Nano One" or the "Company") (TSX: NANO) (OTCQB: NNOMF) (Frankfurt: LBMB), a process technology company specializing in lithium-ion battery cathode active materials (CAM), is pleased to provide a further progress update on its lithium iron phosphate (LFP) production capacity expansion project at its Candiac Facility, which will increase total production capacity to approximately 800 tonnes per annum (tpa).

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Expansion Project Update
Further to its March 17, 2026 update, the Company is pleased to report that detailed engineering is now 85% complete as of mid-July 2026 and that the expansion project remains on schedule.

Major equipment purchase orders were completed in March 2026; some equipment has been shipped, with initial deliveries already received at the Candiac Facility. Vendors for the balance of smaller equipment have been selected, with final purchase orders expected to be completed by the end of August 2026. Approximately 95% of the project's equipment, measured by procurement cost—and 100% of IP-sensitive equipment—is being sourced from Canada, the US and the EU. The project remains on track with commissioning of the newly expanded production capacity targeted for the first half of 2027.

“Having now attained 85% completion as of mid-July, we expect to complete the project on time and on budget,” states Denis Geoffroy, Chief Operating Officer of Nano One. "Our currently contracted funding programs, for which we have approximately $24 million left undrawn*, together with our working capital, fund this capital project to completion."

Existing Production and Scale-Up at Candiac
The Candiac Facility demonstrates the One-Pot™ process in full-scale, production-intent equipment, de-risking adoption and enabling Nano One's Design One Build Many licensing and joint-venture model. The expansion integrates and automates an existing full-scale 20m³ reactor whose design can be replicated in modular fashion. Alongside this, the lines generate commercial sales and support customer sample qualification, product and process improvement and raw material validation.

The Candiac Facility includes multiple front-end One-Pot production lines feeding shared downstream processing equipment, each designed for a distinct role, with total facility capacity of approximately 800 tpa once the expansion is commissioned:

A product C-sample is required to demonstrate production readiness and generally consists of several 1-tonne batches. The objective is to provide comfort to end customers that the material can be produced repeatably at or near production scale, off production-intent equipment and processes, with the quality control and assurance systems in place.

Design One Build Many—Licensing and Partnerships
Nano One’s Design One Build Many model lowers the barrier to technology adoption. A cathode producer can adopt One-Pot technology without the inherent lead times and upfront capital required to build its own Demonstration Line, and the cell manufacturers it supplies keep working with existing supply chain partners. The licensing model is flexible: customers with a preferred engineering vendor can license the One-Pot technology directly from Nano One and engineer the production line through to a final investment decision, while those seeking a more complete solution can procure the integrated CAM Package developed with Worley.

The CAM Package provides a feasibility-level One-Pot production line with pre-qualified equipment vendors and raw material feedstocks, and Worley's technology solutions team supports project execution and deployment, helping customers de-risk their investment. Both paths are backed by the Candiac Facility, where customers can run sample validation cycles to secure large-volume offtakes before building a plant of their own, supported by operator training built on Nano One's LFP manufacturing know-how—reducing start-up cost and risk.

* As of the Company’s most recent Q1 2026 Public Filings

About Nano One®
Nano One® Materials Corp. (Nano One) is a process technology company changing how cathode active materials (CAMs) 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 wastewater 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 capex, 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, British Columbia while piloting, demonstration and commercial production are based in Candiac, Québec, 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, Québec and British Columbia.

For more information, please visit nanoOne.ca.

Cautionary Notes and Forward-Looking Statements

Certain information contained herein may constitute "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of applicable securities legislation. Generally, all statements, other than statements of historical fact, are forward-looking statements. Forward-looking statements in this news release include, but are not limited to, statements regarding the timing, cost, scope and completion of the Candiac Facility expansion and the commissioning of approximately 800 tpa of capacity in the first half of 2027; the expectation that the project will be completed on time and on budget and funded to completion from contracted funding programs (including approximately $24 million of undrawn funding) together with working capital; the expected benefits and performance of the One-Pot™ process; the ability of the expanded capacity to support large-volume sampling, customer qualification, offtakes, plant design licensing and joint-venture opportunities; and the Company's "Design One Build Many" strategy and its collaborations with Sumitomo Metal Mining, Rio Tinto and Worley. Generally, forward-looking statements can be identified by the use of terminology such as "believe", "expect", "anticipate", "plan", "intend", "continue", "estimate", "may", "will", "should", "ongoing", "target", "targeted", "potential" or variations of such words, or statements that certain actions, events or results "will" occur.

Forward-looking statements are based on the current opinions and estimates of management as of the date such statements are made and are not, and cannot be, a guarantee of future results or events. They are subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to differ materially from those expressed or implied, including but not limited to: project delays, cost overruns and execution challenges in engineering, procurement, construction, commissioning and scale-up; the availability and timely drawdown of contracted funding and satisfaction of related milestones; the performance and scale-up of the One-Pot™ process; the timing and conversion of customer sampling and qualification into commercial agreements; the Company's licensing, joint-venture and supply-chain strategies; general and global economic, market and regulatory changes; the Company's need for and access to additional capital; competition and changes in battery chemistries and demand; and the other risk factors identified in Nano One's most recent Annual Information Form and MD&A, and its recent securities filings, available atwww.sedarplus.ca.

Although management has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not undertake any obligation to update forward-looking statements, except as required by applicable securities laws.

Image: Nano One’s Candiac Facility—Demonstration Line expansion 85% engineering complete as of mid-July 2026.

Yemen’s Iran-backed Houthi rebels said early Thursday they had attacked two Saudi oil tankers in the Red Sea, and the U.S. military said it conducted a 12th night of strikes against Iran as the two countries vie for control of vital shipping lanes.

The Houthi attack in the Red Sea threatened to open a new front in a war that has roiled the global economy, sending prices for fuel and other goods surging across the world. With the standoff in the Gulf deepening, there were no signs of progress in diplomatic efforts to end the conflict.

U.S. Central Command said its strikes were designed to “further degrade Iran’s ability to threaten civilian mariners and commercial vessels transiting regional waters,” as the Americans push to regain control over the Strait of Hormuz and restore the flow of international shipping.

President Donald Trump warned earlier Wednesday that the U.S. would destroy one bridge or power plant each time Iran shoots at a ship in the strait. Both sides have increasingly threatened civilian infrastructure.

International law generally prohibits such attacks unless the infrastructure is being used for military purposes.

“From this point forward, any time the Islamic Republic of Iran shoots at a ship in the Strait of Hormuz, whether it be by Missile, Rocket, Drone, or any other device or weapon, the United States will bomb and destroy ONE BRIDGE OR POWER PLANT,” Trump wrote on social media.

The Houthis said they had struck two tankers named Encelia and Layla in the Red Sea, leading to fires on both vessels. That would be their first reported attack on a vessel since they announced a blockade of Saudi-linked shipping through the Bab el-Mandeb Strait earlier this week in retaliation for the kingdom’s blockade on Yemen and a recent attack on the international airport in Yemen’s rebel-held capital, Sanaa.

Bab el-Mandeb, at the southern tip of the Arabian Peninsula, is a vital shipping chokepoint connecting the Red Sea to the Gulf of Aden. Around 12% of the world’s trade, including a fourth of global container traffic, passes through the narrows, moving between Europe and Asia via Egypt’s Suez Canal.

Saudi state media reported that the Encelia was set ablaze by an attack while sailing overnight in the Red Sea, citing an unidentified source from the General Authority of Transport. The Saudi Press Agency reported that a strike caused a fire at the bow of the ship, but no casualties. It did not mention the Layla.

The United Kingdom Maritime Trade Operations Center, UKMTO, said it had received a report of a tanker being struck by “an unknown projectile” 70 nautical miles (80 miles, 130 kilometers) southwest of Al Shuqaiq, Saudi Arabia, in the Red Sea. It said no casualties had been reported.

The continued American airstrikes are occurring as both sides have dug in on their dispute over the Strait of Hormuz, a crucial waterway for global energy that remains largely closed. The closure of the strait, through which a fifth of the world’s traded oil and gas passed during peacetime, has jolted the world economy with effects far beyond the Middle East.

Iran says it has the right to manage traffic and potentially charge fees in the strait, which was open to all and toll-free before the war. It has attacked ships using a route through the strait that is overseen by U.S. forces and intended to be outside Tehran’s control.

In response to Iran’s attacks, the U.S. re-imposed a blockade on Iranian ports and began the widening campaign of strikes across the country. On Tuesday, Trump signaled that U.S. forces could soon target an under-construction Iranian nuclear site buried deep under a mountain.

Iran’s parliament speaker, Mohammad Bagher Qalibaf, who has led negotiations with the U.S., appeared to brush off Trump’s threats.

“We have repeatedly said that the situation of the strait will not return to prewar conditions,” he wrote on social media.

Trump traveled to Dover Air Force Base on Wednesday for the arrival of the remains of four U.S. service members. A day earlier Defense Secretary Pete Hegseth estimated in a fiery Senate hearing that the U.S. had spent $37.5 billion on the war so far.

In Iran, state media reported that U.S. missiles struck locations overnight near the cities of Ahvaz, Ramshir and Andimeshk in western Iran, and two people were killed in a U.S. missile strike in the town of Shalamcheh on the Iraqi border.

Iran has responded to U.S. attacks by targeting energy infrastructure and desalination plants that provide drinking water in parched neighboring Gulf countries.

Military officials in Kuwait said on social media that their air defenses were “confronting attacks by hostile drones, following the sinful Iranian aggression.”

Iran’s Foreign Minister Seyed Abbas Araghchi said Tehran would adopt an “eye for an eye” defense doctrine.

“Any aggression against Iran, including our infrastructure, will compel a powerful and decisive response,” he posted Wednesday on X.

Iranian Interior Minister Eskandar Momeni held meetings in recent days in Pakistan, a key mediator in the conflict, seeking to revive diplomacy. But it was unclear what new arrangement might be reached to end the war, which lately has become a battle for control over the Strait of Hormuz.

Iran’s Interior Ministry spokesperson Ali Zeinivand said “diplomacy isn’t called off” and that messages were still being exchanged, without elaborating, according to IRNA.

An Arab diplomat said Gulf states are increasingly pessimistic about finding an off-ramp for escalating hostilities and are particularly concerned about the latest round of threats.

The diplomat said countries in the region, in addition to Pakistan and Turkey, are continuing to push for de-escalation but that chances for improvement currently appear bleak. The diplomat spoke on condition of anonymity due to the sensitivity of the situation.

At a regional summit in the Philippines, U.S. Secretary of State Marco Rubio said the U.S. remains open to negotiations with Iran, “but right now they don’t seem to be serious about that” so instead the focus is on protecting shipping.

Associated Press writers Bassem Mroue in Beirut; Michelle L. Price and Jim Gomez in Manila, Philippines; Christopher Weber in Los Angeles; and Fatma Khaled in Cairo contributed to this report.

Mourners carry the coffins containing additional remains of victims identified through DNA testing during funeral ceremonies in Minab, Iran, Tuesday, July 22, 2026, nearly five months after they were killed in the Feb. 28 strike on the Shajareh Tayyebeh School.(Razieh Poudat/ISNA via AP)

President Donald Trump and Secretary of Defense Pete Hegseth, salute as a U.S. Army carry team moves a transfer case containing the remains of Pvt. Isabella Gonzales of Carrollton, Texas, Wednesday, July 22, 2026, at Dover Air Force Base, Del. (AP Photo/Matt Rourke)