J-Star Holding Co., Ltd. today outlines foundational milestones supporting its proposed $122.5 million solid-state battery manufacturing facility in Baytown, Texas: a Taiwan Central Bank authorisation supporting a proposed $60 million outbound investment, and a formal site commitment from the Baytown West Chambers County Economic Development Foundation. Together, these developments advance key project development elements, including capital formation activities and site readiness, as the Company's DOE Grant application remains under review. The Company's previously disclosed Full Application under the U.S. Department of Energy's IIJA Section 40207 battery manufacturing grant program remains listed as "In Review" on the DOE eXCHANGE portal. No funding determination has been made at this time.

Milestone 1: Taiwan Central Bank Authorisation Supporting Proposed $60 Million Outbound Investment

On May 26, 2026, J-Star announced that its subsidiary YMA Corporation received authorisation from the Central Bank of Taiwan permitting it to pursue financing activities through designated Taiwanese banking institutions in support of an intended US$60 million investment in the Baytown facility. This authorisation, disclosed in the Company's Form 6-K filed with the SEC, advances the Company's capital formation activities for the facility and represents a significant regulatory milestone in that process. This authorisation was received following submission of the Company's Full Application to DOE and represents additional progress in the Company's capital formation efforts supporting the proposed facility.

Milestone 2: Baytown EDF Formal Letter of Intent and Site Commitment

On April 14, 2026, the Baytown West Chambers County Economic Development Foundation ("EDF") issued a formal Letter of Intent to YMA(TX) INC. committing to site identification, infrastructure provision, and long-term lease facilitation. The EDF committed to an 18-month site reservation and exclusivity period specifically structured to satisfy the Site Control requirements of DE-FOA-0003585. The EDF's Letter of Intent provides a framework for site control, infrastructure support, and long-term facility development, addressing several key requirements outlined in the DOE funding solicitation.

Infrastructure commitments include:

– A minimum five-acre site within TGS Cedar Port Industrial Park, one of the largest master-planned rail and barge-served industrial parks in the United States.

– A critical 12,000 square foot ISO-7 Ultra-Dry Room and external mechanical yards.

– Access to 4,000-amp high-capacity electrical service essential for automated assembly and NAEPE coating processes.

– A long-term lease framework with a Purchase Option, providing a path to full property ownership.

The EDF also formally acknowledged the Company's patented solvent-free PSSB technology (Patent No. US 2022/0209218 A1) and the venture-backed partnership with Taiwan's Industrial Technology Research Institute (ITRI).

Management Commentary

Commented Jonathan Chiang, CEO and Chairman of J-Star Holding, "These developments represent meaningful progress as we continue advancing plans for a U.S.-based solid-state battery manufacturing operation. The Taiwan Central Bank authorisation supports our capital formation efforts, while the Baytown EDF commitment advances site readiness and infrastructure planning. Together, they strengthen important components of the project framework as our DOE application remains under review."

Policy Context

The proposed Baytown facility is aligned with U.S. federal priorities supporting domestic battery manufacturing, drone supply chain resilience, advanced industrial capacity, and energy security. The Company believes the facility's planned focus on solid-state battery production for UAV, defence, aerospace, energy storage, and advanced industrial markets addresses a critical domestic supply chain need.