HPQ and Apollon Solar Extend Agreement to Work on Porous Silicon for Batteries and Expand Collaboration to Include Hydrogen Production - Seite 3

With a goal of increasing the efficiency of the system, HPQ and Apollon will explore the technical and commercial potential of creating a new generation of more efficient, economical and environmentally friendly powders for the Gennao^TM system using either:

1. Silicon nanopowders made by HPQ's PUREVAP^TM Nano Silicon Reactor to increase the H₂ generation potential of the Gennao^TM H2 system by 40% (based on the mass capacity production of H₂ of 14% of Silicon Nanopowders);
      a. By December 2020, HPQ-NANO plans to send Apollon the first samples of silicon nanopowders manufactured by PUREVAP^TM NSiR for H₂ generation testing;
   
   
2. Porous silicon nanopowders manufactured with the transformation of Silicon produced by HPQ's PUREVAP^TM QRR process in Apollon's patented process, to increase the H₂ generation potential of the Gennao^TM H2 system by 100% (based on the mass capacity production of H₂ of 20% of Silicon Nanopowders);

Also included in the agreement is the right for HPQ to commercialize, exclusively in Canada, and non-exclusive in the U.S.A., the Gennao^TM H2 system, as well as, also distribute and sell the powders required for the hydrolysis production of Hydrogen ("H2").

Apollon will support HPQ North American marketing of the Gennao^TM H2 system and the powder bags.  By November 2020, Apollon will make available to HPQ a Gennao^TM H2 system and the bags of powder needed for demonstration to potential buyers.

During the term of this fifth renewal, Apollon and HPQ will work to finalize a long-term commercial agreement that will grant HPQ (or one of its subsidiaries) a Canadian exclusivity for the sale of Gennao^TM H2 system and associated powders bags, and the exclusivity for all customers located in the United States to whom HPQ is marketing Gennao^TM H2 system.

Finally, the parties have agreed that during the renewal period, or until the date of the signing of a long-term commercial agreement, that HPQ will have Canadian exclusivity on the distribution, sale, marketing and representation of Gennao^TM H2 system and associated powders, and that it will be able to distribute, sell, market and represent Gennao^TM H2 system and associated powders with customers in the United States.

About Silicon

Silicon (Si), also known as silicon metal, is one of today’s strategic materials needed to fulfil the Renewable Energy Revolution (“RER”) and the decarbonization of the economy presently under way.  Silicon does not exist in its pure state; it must be extracted from quartz (SiO₂), in what has historically been a capital and energy intensive process.