Syntholene produces 500 kg hydrogen at Husavik facility

Milestone Demonstrates Successful Operation of World's First Geothermally-Integrated SOEC Hydrogen Production System Chicago, Illinois--(Newsfile Corp. - July 7, 2026) - Syntholene Energy Corp. (TSXV: ESAF) (OTCQB: SYNTF) (FSE: 3DD0) ("Syntholene" or the "Company") is pleased to announce that it has successfully produced its first 500 kilograms of 'green' electrolytic hydrogen at its geothermally-integrated Solid Oxide Electrolyzer Cell ("SOEC") demonstration facility in Húsavík, Iceland (the "Demonstration Facility"). Overhead View of Syntholene Demonstration Facility Thermal Coupling Housing and SOEC Infrastructure in Húsavík, Iceland To view an enhanced version of this graphic, please visit: https://images.newsfilecorp.com/files/11636/304046_883f68dc94e66950_001full.jpg "We are actively producing Hydrogen. Today." Stated Dan Sutton, Chief Executive Officer of Syntholene.

"Production from Syntholene's thermally integrated SOEC system demonstrates that the facility is operating as designed. With commissioning now complete, our focus shifts toward extended effects testing and independent validation of system performance over the coming months." Initial analytical testing at the Demonstration Facility indicates hydrogen purity above 99.9%, consistent with anticipated system performance. Hydrogen is the dominant cost driver of synthetic aviation fuel production ( IEA ), and producing it at low cost is central to achieving cost competitive synthetic fuels.

Based on preliminary operational data collected at the Demonstration Facility to date, the Company believes stack and overall system electrical performance are tracking in line with the equipment manufacturer's factory specifications, including stack electrical consumption of approximately 33.5 kWh/kg H₂ and overall system electrical consumption of approximately 37.8-40.0 kWh/kg H₂ . These preliminary observations and estimates remain subject to continued operational testing and independent third-party validation. Green electrolytic hydrogen refers to hydrogen produced through the electrolysis of water using renewable or other non-fossil electricity, with minimal direct greenhouse gas emissions associated with the production process.

This production milestone marks the successful commencement of integrated operations following completion of construction and commissioning of the Company's Demonstration Facility. Initial operating results indicate that major process systems are performing in line with design expectations, including successful thermal integration between the geothermal heat source and the SOEC hydrogen production system. The Company has commenced continuous operational testing of the Demonstration Facility, including evaluation of stack performance, system efficiency, thermal integration, reliability, and operating economics under sustained operating conditions.

Data generated during the testing campaign is expected to support future engineering optimization, commercial project development, financing initiatives, and strategic partnerships. Syntholene continues to target publication of independently validated performance data from a full effects test campaign in Q42026. The Demonstration Facility has been designed to evaluate the integration of geothermal heat with high-temperature electrolysis as a pathway toward low cost hydrogen production for synthetic fuel manufacturing.

About Syntholene Syntholene is actively commercializing its novel Hybrid Thermal Production System for low-cost clean fuel synthesis. The target output is ultrapure synthetic jet fuel, which the Company seeks to manufacture at 70% lower cost than the nearest competing technology today. The Company's mission is to deliver the world's first truly high-performance, low-cost, and carbon-neutral synthetic fuel at an industrial scale, unlocking the potential to produce clean synthetic fuel at lower cost than fossil fuels, for the first time.

Syntholene operates the world's first geothermally-integrated high temperature electrolysis demonstration facility in Husavik, Iceland, actively producing high purity Hydrogen. Founded by experienced operators across advanced energy infrastructure, nuclear technology, low-emissions steel refining, process engineering, and capital markets, Syntholene aims to be the first team to deliver a scalable modular production platform for cost-competitive synthetic fuel, thus accelerating the commercialization of carbon-neutral eFuels across global markets. For further information, please contact: Dan Sutton, CEO comms@syntholene.com www.syntholene.com +1 608-305-4835 X: @Syntholene Linkedin: Syntholene Energy Youtube: Syntholene Energy Investor Relations KIN Communications Inc. 604-684-6730 ESAF@kincommunications.com Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements This press release contains forward-looking statements within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate", "aims", "continue", "estimate", "objective", "may", "will", "project", "should", "believe", "plans", "intends", "targets" and similar expressions are intended to identify forward-looking information or statements. All statements, other than statements of historical fact, including but not limited to statements regarding the expected operational results of the Demonstration Facility to date Demonstration Facility, expected performance of the Demonstration Facility and the the SOEC hydrogen production system, testing planned at the Demonstration Facility, including the timing and reporting thereof and and the proposed use of data from such testing, expected characteristics of hydrogen produced at the Demonstration Facility, commercial scalability, proposed benefits to the project from the skills of the engaged service providers, economic benefits of the Company's products relative to competitive products, the Company's ability to execute on its plans for advancement and commercialization of its technology, technical and economic viability, anticipated geothermal power availability, anticipated benefit of eFuel, and future commercial opportunities, are forward-looking statements.

The forward-looking statements and information are based on certain key expectations and assumptions made by the Company, including without limitation the assumption that the Company will be able to execute its business plan in the manner and timeline set forth in its public disclosure or at all, that the Demonstration Facility will operate as expected, that the engaged service providers have the skills to advance the Company's business plans, that the eFuel will have its expected benefits, that there will be market adoption, that the Company's review of the competitive landscape and that its understanding of being the world's first Company to have geothermal-SOEC integration remain accurate, that any potential competitors to the Company would not be able to develop or execute geothermal-SOEC integration as quickly or as well as the Company, that the Company will be able to produce the eFuel at competitive pricing in the range anticipated in this news release or at all, that the proposed testing will be able to be completed on the anticipated timelines, or at all, and that the results from such tests will validate the Company's technology and support further commercialization, that geothermal heat will be available to the Company at the necessary levels, that the Company will continue to have access to skilled personnel with relevant experience, that regulatory requirements remain favourable for the Company, and that the Company will be able to access financing as needed to fund its business plan. Although the Company believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking statements and information because the Company can give no assurance that they will prove to be correct. Since forward-looking statements and information address future events and conditions, by their very nature, they involve inherent risks and uncertainties.

Actual results could differ materially from those currently anticipated due to a number of factors and risks, including, without limitation, Syntholene's ability to operate the Demonstration Facility and complete the testing, the Demonstration Facility and the the SOEC hydrogen production system may not perform as designed or expected, that the results of the testing will support continued commercialization and the Company's technology, that the engaged service providers do not have the necessary skills to and do not advance the Company's business plan, that there are competitors in geothermal-SOEC integration that are unknown to the Company, that the Company may not be able to produce eFuel at the targeted prices or at a price that is lower than potential competitors, that definitive commercial purchase orders for Syntholene's eFuel may not materialize, Syntholene's ability to meet production targets, realize projected economic benefits, overcome technical challenges, secure financing, maintain regulatory compliance, manage geopolitical risks, and successfully negotiate definitive terms. Syntholene does not undertake any obligation to update or revise these forward-looking statements, except as required by applicable securities laws. This news release contains future-oriented financial information and financial outlook information (collectively, "FOFI") about the cost and pricing of the eFuel product that Syntholene is seeking to commercialize, including hydrogen production costs, which is subject to the same assumptions, risk factors, limitations, and qualifications as set forth in the above paragraphs.

FOFI contained in this news release was made as of the date hereof and was provided for the purpose of describing the anticipated effects of advancement of Syntholene's business operations. Syntholene's actual results, performance or achievement could differ materially from those expressed in, or implied by, such FOFI. Syntholene disclaims any intention or obligation to update or revise any FOFI contained in this news release, whether as a result of new information, future events or otherwise, unless required pursuant to applicable law.

Readers are cautioned that the FOFI contained herein should not be used for purposes other than for which it is disclosed herein. Readers are advised to exercise caution and not to place undue reliance on the forward-looking statements and FOFI in this news release. To view the source version of this press release, please visit https://www.newsfilecorp.com/release/304046 Newsfile Corp. July 7, 2026 - 6:00 AM PDT News by QuoteMedia www.quotemedia.com