HPQ Silicon : PUREVAP™ pilot plant testing enters reactor startup phase

MONTREAL, Canada - HPQ Silicon Inc. ("HPQ" or the "Company") (TSX-V: HPQ) (OTCQX: HPQFF) (FRA: O08), an innovative silicon solutions and technology development company, would like to inform shareholders of a significant milestone achieved in the ongoing PUREVAP™ Pilot Plant testing process, as reported in our August 10th, 2022 press release.

Technology provider, PyroGenesis Canada Inc. (TSX: PYR) (NASDAQ: PYR) (FRA: 8PY) has completed the GEN3 PUREVAP™ Quartz Reduction Reactor (QRR) Pilot Plant system integration validation phase. This first phase is a key milestone of the research and development program.

HPQ GEN3 PUREVAP™ QRR PILOT PLANT R&D TESTING PROGRAM ADVANCING ON SCHEDULE

The GEN3 PUREVAP™ QRR Pilot plant is a first-of-its-kind, state-of-the-art prototype comprised of multiple systems that must operate under harsh conditions, extremely high temperatures and under vacuum. With the systems integration now completed, the next milestones in PyroGenesis' meticulous approach are:

• Reactor start-up, a duration of about one (1) month will be allocated to this phase,
• Four (4) process improvement tests, a duration of about two (2) months, will be allocated to this phase, and
• Operating the GEN3 QRR continuously, with non-stop production, during the remaining time.

As with all R&D projects, particularly with new process technology, the timeline is subject to change. PyroGenesis is confident that the program will allow HPQ to validate and quantify the previously completed GEN1 and GEN2 PUREVAP™ QRR testing phase results:

1. Produce Silicon (Si) material of higher purity than any traditional processes in a single step,
2. That it can do so from raw material sources without the need for extremely pure feedstock as required by conventional processes,
3. That it only requires 4.5 MT of raw material to make 1 MT of Silicon versus the 6 MT required by conventional processes, a 25% reduction,
4. That it can do so at a lower cost advantage versus all traditional Silicon producers.

Furthermore, once process improvement tests start (see point b above), HPQ will commence:

• Using the Si produced for downstream testing and production of HPQ high-value-add products,
• Providing samples to potential off-takers to allow for product customization,
• Planning the deployment of commercial-scale production systems (PUREVAP™ QRR 4.0) capable of producing 2,500 tonnes per year of high-purity silicon material.

"Some investors will question our need to allocate about a month to the PUREVAP™ GEN3 QRR pilot plant reactor startup, but they need to realize that the GEN3 is a scaled-up version of our GEN1 and GEN2 test platforms by a factor of about 200 (X). Starting the reactor on this "first-of-its-kind, state-of-the-art prototype" requires more steps than flipping on a switch. Our goal is to disrupt Silicon manufacturing, an industry that still relies on a conventional process developed back in the 1890s. Following our methodical approach, we are on the right path to validate our disruptive potential," said Mr. Bernard Tourillon, President and CEO of HPQ Silicon Inc. "HPQ is the only company that will bring to market a new process for manufacturing Silicon that is perfectly suited to the new demands and realities of today's Silicon market. With ESG principles playing an active role in materials sourcing and recent geopolitical unrest emphasizing the need for stable trade partners and supply security, global corporations are becoming more aware of the difficulties in securing the ESG-compliant Silicon needed to meet their needs renewable energy agenda. The reality of chronic underinvestment in new technologies combined with the offshoring of Silicon production capacity, is creating massive opportunities for HPQ and its PUREVAP™ QRR patented process."

Team HPQ

HPQ Silicon Resources $HPQ $HPQFF is a Quebec-based company that is developing the high value-added silicon products sought after by battery and electric vehicle manufacturers.