Nano One Announces Q2 2026 Financial Results, Featuring Non-Dilutive Funding and Policy Support

August 12, 2026 – 03:05 AM EDT

Nano One Materials Corp. (Nano One) reported its second quarter 2026 financial results, showcasing a robust financial position and significant progress on its strategic initiatives. The company ended the period with net assets of $18.2 million and working capital of $17.6 million, supported by a healthy cash reserve of $19.3 million. This financial stability underpins Nano One’s aggressive expansion plans and its commitment to fostering a localized and resilient battery materials supply chain.

• As of June 30, 2026, Nano One reported net assets of $18.2 million, working capital of $17.6 million, and cash reserves of $19.3 million.

• The expansion of the Candiac Facility is 85% complete on engineering, maintaining its schedule and budget, and is poised to significantly bolster the company’s sales, licensing, and joint venture opportunities under its innovative “Design One Build Many” strategy.

• Since the start of 2024, Nano One has secured over $63 million in non-dilutive capital, including $12.3 million in government funding during the first half of 2026. Approximately $20 million of this funding remains available as of August 2026.

• The company is experiencing strong policy tailwinds supporting domestic battery materials production across Canada, the U.S., and allied nations, reinforcing Nano One’s strategy of localized production and intellectual property licensing.

VANCOUVER, British Columbia — Nano One® Materials Corp. (“Nano One” or the “Company”) has released its condensed interim consolidated financial statements and Management’s Discussion & Analysis (“MD&A”) for the three and six months ended June 30, 2026. The company also provided an update on subsequent events, highlighting its strategic progress and solid financial footing.

Q2 2026: Financial Strength and Strategic Capitalization

Nano One’s financial performance in the second quarter of 2026 demonstrates a disciplined approach to capital management and strategic growth. The company concluded the period with a healthy balance sheet, featuring net assets and working capital of $18.2 million and $17.6 million, respectively, bolstered by $19.3 million in cash. This liquidity is crucial for fueling its ambitious development pipeline.

A key financial highlight is the significant non-dilutive capital raised since the beginning of 2024, totaling over $63 million. This figure includes substantial government grants and loans, as well as proceeds from sale-leaseback and land sales. Notably, $12.3 million of this was government funding received in the first half of 2026, which effectively moderated the company’s net cash outflow to $4.3 million for the six-month period. As of August 2026, Nano One had approximately $20 million in undrawn government funding available for pre-commercial activities under existing grant agreements. Subsequent to the quarter, the company received an additional $1.0 million in grant proceeds from Natural Resources Canada in July 2026, further solidifying its funding position.

Candiac Facility Expansion: Accelerating “Design One Build Many”

The expansion of Nano One’s Candiac Facility is progressing rapidly and remains on schedule and within budget. Detailed engineering for the Demonstration Line expansion reached 85% completion by mid-July 2026. Major equipment purchase orders were finalized in March 2026, with initial deliveries commencing at the Candiac Facility. Orders for the remaining smaller equipment are anticipated by the end of August 2026.

A significant aspect of this expansion is its emphasis on regional sourcing. Approximately 95% of the equipment by value, and 100% of the intellectual property-sensitive equipment, is being sourced from Canada, the United States, and the European Union. This commitment to North American and allied sourcing aligns with global efforts to de-risk and localize critical supply chains.

Once commissioned in the first half of 2027, the expanded Candiac Facility will feature multiple front-end One-Pot production lines feeding shared downstream processing equipment, with a projected total capacity of approximately 800 tonnes per annum. This enhanced capacity will enable large-volume sampling to support major customer contracts and will be instrumental in advancing Nano One’s licensing and joint venture initiatives. This expansion directly complements the recently completed One-Pot LFP CAM Package developed with Worley Chemetics in June 2026, which is now being marketed as a readily licenseable design, embodying the company’s “Design One Build Many” growth strategy.

“Government partnerships have been foundational to Nano One’s commercialization, and we are grateful for the continued backing of NRCan, Investissement Québec, the U.S. Department of Defense, and other agencies supporting this work,” stated Alex Holmes, Chief Executive Officer of Nano One. “The policy environment across Canada, the United States, and allied jurisdictions is increasingly aligned with what we are building—diversified, regionally resilient supply for critical battery materials. By leveraging our Candiac LFP cathode manufacturing facility and operational know-how, we’re uniquely positioned to meet that demand. Licensing our process IP under Design One Build Many lets us scale capital-light—de-risking growth while maximizing value for shareholders.”

Policy Tailwinds Driving Demand for Localized Battery Materials

Nano One is strategically positioned to benefit from a strengthening global policy landscape that prioritizes localized production of critical battery materials. This trend is evident across Canada, the United States, and other allied nations, driven by a recognition of supply chain vulnerabilities and the need for diversified sourcing.

Key policy developments supporting this trend include:

• Global Critical Minerals Momentum: The Global Critical Minerals Action Plan, adopted under Canada’s G7 presidency, underscores a commitment to catalyzing investment in critical minerals through innovation and licensing. This initiative, reaffirmed by G7 leaders, emphasizes the urgency of diversifying supply chains and bolstering midstream and downstream industries. NATO’s defense spending commitments and dual-purpose military-civilian strategies further reinforce the drive for localized supply chain development.

• Mitigating Supply Chain Concentration Risk: China’s export restrictions in 2025 on LFP processing technologies and products have highlighted the risks associated with supply chain concentration. The International Energy Agency’s Global Critical Minerals Outlook 2026 notes that LFP batteries constitute over half of the global electric car battery market and more than 90% of the battery energy storage market. New restrictions on LFP cathode materials could significantly impede efforts to establish LFP production outside of China.

• U.S. Policy Support for Domestic Production: The U.S. National Defense Authorization Act for Fiscal Year 2025 includes provisions prohibiting batteries and components procured from prohibited foreign entities for the U.S. military starting in 2028. Furthermore, the 45X manufacturing tax credit, maintained at $35/kWh, provides a significant incentive for localized cathode active material production.

• Canadian Industrial Strategies: Canada’s Defence Industrial Strategy, launched in February 2026, recognizes the strategic importance of critical minerals and dual-use applications, prioritizing domestic suppliers. Canada’s Auto Strategy aims to expand EV production and position the nation as a global leader in clean vehicle technologies.

In the United States, planned LFP capacity is projected to surge from approximately 180 GWh to nearly 290 GWh by 2025. This expansion will necessitate a substantial supply of over 600,000 tonnes per annum of LFP cathode active materials. Nano One’s proprietary One-Pot technology is ideally suited for this evolving market, offering a cost-competitive, easily permitable solution supported by regionally sourced input materials.

For a comprehensive review of Nano One’s Q2 2026 interim quarterly results, please refer to the Company’s financial statements and MD&A, available on www.sedarplus.ca.

About Nano One® Materials Corp.

Nano One® Materials Corp. is a pioneering process technology company revolutionizing the production of cathode active materials (CAMs) for lithium-ion batteries. Its platform is built upon a patented portfolio of processes, extensive manufacturing expertise, and modular plant designs that enable scalable, cost-competitive, and readily permitable CAM production with highly resilient supply chains. Nano One’s technology significantly reduces wastewater and byproducts, utilizes regionally sourced raw materials, and mitigates exposure to foreign supply chain volatility. The modular plant designs feature fewer production steps, thereby reducing capital expenditures, energy consumption, and environmental impact, while accelerating deployment and manufacturing. Product development and process optimization are centered at Nano One’s Innovation Centre in Burnaby, British Columbia, with piloting, demonstration, and commercial production operations based in Candiac, Québec. The company’s team brings over 15 years of commercial cathode manufacturing experience, supplying global cell manufacturers. Strategic collaborations with industry leaders such as Sumitomo Metal Mining, Rio Tinto, and Worley are central to Nano One’s “Design-One-Build-Many” growth strategy. Nano One has received significant funding support from the Governments of Canada, the United States, Québec, and British Columbia.

For more information, please visit www.nanoone.ca.

Cautionary Notes and Forward-Looking Statements

Certain information contained herein may constitute “forward-looking information” and “forward-looking statements” within the meaning of applicable securities legislation. All statements, other than statements of historical fact, are forward-looking statements. Forward-looking information in this news release includes, but is not limited to: plans, timing, and execution, as well as the purpose for expanding the Candiac facilities and the scalability of developed technology; receipt of the total amount of announced anticipated funding from the Government of Canada/NRCan and other government-related grants and loans; use of proceeds; ongoing product and process improvement and innovations as potential additional revenue opportunities for the Company; the development of technology, supply chains, and plans for construction and operation of cathode production facilities for acceptance of the Company’s product and licensing packages; industry acceleration and demand; successful current and future collaborations that are/may happen with OEMs, miners or others; the value, functions, and intended benefits of the Company’s technology and products; efforts to build resilient and sustainable supply chains for critical minerals and battery materials; the development and evolution of Nano One’s technology and products for scale-up and commercialization; achieving commercial production of LFP; the Company’s licensing, supply chain, and joint venture strategies, opportunities, and potential royalty arrangements; expected timing of commercialization milestones, including product qualification, initial sales, capacity expansion, and development project timelines; the anticipated future sales and revenue streams from product sales, technology licensing, joint ventures, and royalty arrangements; progression of customer engagement activities, including sampling, qualification, and conversion into commercial agreements; and the execution of the Company’s plans, which are contingent on capital support and grants. Generally, forward-looking information can be identified by the use of terminology such as ‘believe’, ‘expect’, ‘anticipate’, ‘plan’, ‘intend’, ‘continue’, ‘estimate’, ‘may’, ‘will’, ‘should’, ‘ongoing’, ‘target’, ‘goal’, ‘encouraged’, ‘projected’, ‘potential’ or variations of such words and phrases 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. Forward-looking statements are subject to known and unknown risks, uncertainties, and other factors that may cause the actual results, level of activity, performance, or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information, including but not limited to: receipt of the total amount of announced anticipated funding from the Government of Canada/NRCan and other government-related grants and loans; use of proceeds; ongoing product and process improvement and innovations as potential additional revenue opportunities for the Company; de-risking supply chains for prospective licensees; general and global economic and regulatory changes; next steps and timely execution of the Company’s business plans; the development of technology, supply chains, and plans for construction and operation of cathode production facilities; risks relating to cost overruns, delays, and execution challenges associated with engineering, procurement, construction, and scale-up activities; successful current or future collaborations that may happen with OEMs, miners or others; the execution of the Company’s plans which are contingent on capital sources; the Company’s ability to achieve its stated goals; the commercialization of the Company’s technology and patents via license, joint venture, and independent production; the Company’s efforts to build resilient and sustainable supply chains for critical minerals and battery materials; anticipated global demand and projected growth for LFP batteries; and other risk factors as identified in Nano One’s Annual Information Form dated March 25, 2026, for the year ended December 31, 2025, its MD&A for the year then ended, and in recent securities filings for the Company which are available at www.sedarplus.ca. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, 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 from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. The Company does not undertake any obligation to update any forward-looking statements or forward-looking information that is incorporated by reference herein, except as required by applicable securities laws. Investors should not place undue reliance on forward-looking statements.