Aqua Metals Advances Sierra-ARC Lithium Battery Recycling Campus and Secures Offtake Partnership; Reports Full-Year 2023 Financial Results - Seite 2

Financial

• Completed an equity raise, and strategic investment and partnership with Yulho, Co., Ltd., which provided $25 million in gross proceeds.
• Advanced flexible business model strategy, supporting partnerships, licensing models, and proprietary production, enabling growth with limited capital expenditures and an asset-lite approach relative to others in the industry.

Global Industry Distinction

• Aqua Metals has an alliance in Asia with its strategic investor and partner, Yulho Co., Ltd., and was a featured presenter at the APEC multistakeholder forum in San Francisco where global leaders convened to foster collaboration and dialogue around equitable energy transition principles.
• Company executives attended a trade delegation to Lower Saxony, Germany to explore opportunities for recycling with government leaders and regional companies; and recently hosted a Dutch delegation in Reno, NV.
• Received commendation as a "Leader in Sustainability" alongside Patagonia by the Economic Development Authority of Western Nevada (EDAWN) and from US Senator Catherine Cortez Masto and US Congressman Mark Amodei.
  

“Aqua Metals achieved our goal of proving out the pilot plant in 2023, a facility that continues to operate 24x5,” commented Steve Cotton, President and Chief Executive Officer of Aqua Metals. “Simultaneously, the Company is prudently and methodically outfitting Phase 1 of our Sierra ARC and we plan to become the first commercial-scale operator to establish a sustainable circular supply chain of critical minerals for lithium battery production in the US. This progress is a major milestone for Aqua Metals, advancing our commercial initiatives. We have secured a reliable supply of black mass, developed US and global partnerships, and commissioned production capacity, operating at a measured pace that minimizes risk and avoids major capital requirements as the industry continues to mature.”

“Phase 1 of our Sierra ARC is expected to be capable of generating the critical battery minerals for approximately 30,000 average-sized EV battery packs, representing potential revenue of $30 million annually based on current metals pricing,” continued Mr. Cotton. “We have input material secured and have progressed the building infrastructure upgrades on time and within budget including utility, power distribution, all new concrete flooring with epoxy, office space, equipment platform and we are now actively placing and installing equipment. We expect to complete installing the remainder of the equipment and to commission our first processes this summer with expected financing. We have also just finalized our key off-take agreement with our partner 6K Energy to solidify our circular supply chain approach. We also expect to finalize more commercial agreements with existing and new partners during 2024 as we enter commercial production.”