CHARBONE Hydrogen Accelerates Clean Hydrogen Production with Strategic Asset Acquisition

CHARBONE Hydrogen Corporation has taken possession of hydrogen production and refueling assets from Harnois Energies Inc., marking a significant step in accelerating clean ultra high purity hydrogen production at its Sorel-Tracy facility. This strategic transaction enables CHARBONE to rapidly relocate and repurpose proven hydrogen production equipment, positioning the company to begin clean UHP hydrogen production by early Q4 2025.

The acquisition represents a crucial development in North America's emerging clean hydrogen economy. By utilizing already operational assets rather than deploying new systems, CHARBONE expects to significantly reduce capital installation costs while accelerating time-to-market. This approach demonstrates how strategic asset redeployment can drive efficiency in the clean energy transition, potentially setting a precedent for other companies in the hydrogen sector.

Under the agreement terms announced on September 5, 2025, CHARBONE issued 13,333,334 common shares at $0.075 per share, representing $1 million in equity consideration to Harnois. Additional cash payments will be made in staged tranches over two years, preserving capital for growth initiatives. The financial structure of this deal highlights innovative approaches to funding clean energy infrastructure while maintaining financial flexibility.

Notably, Harnois elected to receive a substantial portion of the consideration in CHARBONE equity at market value, signaling confidence in CHARBONE's strategic position as Quebec's leading clean UHP hydrogen supplier. This equity-based arrangement creates alignment between the companies while allowing Harnois to focus on its core energy distribution businesses. The transaction structure could influence future deals in the clean energy sector, where strategic partnerships and equity arrangements may become more common.

Dave B. Gagnon, CEO of CHARBONE, described the acquisition as "a transformative moment for CHARBONE" that will enable the company to begin producing clean UHP hydrogen in Sorel-Tracy much sooner than anticipated while optimizing capital efficiency. The accelerated timeline for hydrogen production comes at a critical moment as global demand for clean hydrogen continues to grow across industrial, transportation, and energy storage applications.

This development matters because it demonstrates how strategic asset acquisitions can accelerate the deployment of clean energy infrastructure. The ability to repurpose existing hydrogen production equipment rather than building new facilities from scratch could significantly reduce the capital requirements and implementation timelines for clean hydrogen projects across North America. For industries seeking to decarbonize, including manufacturing, transportation, and energy storage, this approach could make clean hydrogen more accessible and cost-effective in the near term.

The transaction also highlights the growing importance of Quebec in North America's clean hydrogen ecosystem. As companies like CHARBONE build distributed networks of green hydrogen production plants, the region could become a hub for clean hydrogen development, creating economic opportunities while supporting climate goals. Investors and industry stakeholders can find additional information about CHARBONE's corporate profile and regulatory filings at https://www.charbone.com and through regulatory documents available at https://www.sedar.com.