Shareholder Update
March 2026
TSX-V: ZEN | NASDAQ: ZTEK
Dear Shareholders,
In February we laid out where we stood: a company with a sharpened strategy, real technical proof points, active government relationships, and commercial pathways beginning to open. We said the next 90 days would be about converting all of that into forward momentum you could see.
One month in, March started to deliver. A redesigned website that says plainly what we are building. A U.S. pilot program underway for ZenGUARD™ with a commercial partner engaged. Triera open for business as a contract research platform. Litigation resolved in our favour. And for Albany, something I didn’t expect - I got to see firsthand what it looks like when our material enters a real-world application and becomes the beginning of a supply-chain story, not just a lab result.
Here is the detail behind each of those.
Litigation Resolved
The Ontario Superior Court of Justice delivered its judgment in Eveleigh et al. v. Zentek Ltd. on March 12, 2026. The Court dismissed all monetary claims brought against the Company that exceeded $6 million. Zentek successfully defended every claim at trial. This removes a long-standing overhang and allows full management attention on execution.
New Front Door
The redesigned zentek.com is the clearest public expression of how we think about this company and what we are building. It lays out three structurally independent platforms - Albany, Graphene, and Triera - governed by a single model: industry funds the work, Zentek owns the IP. Client-funded development, IP retention, and government grants that offset a meaningful portion of R&D cost. Capital-efficient and IP-accumulating by design.
ZenGUARD™ — U.S. Pilot Active
In March, Quality Filters Inc., a U.S.-based HVAC and industrial air filtration manufacturer, initiated a formal pilot evaluation program designed to assess compatibility and real-world performance, with a potential long-term supply arrangement as the goal.
That kind of direct, commercial validation from a prospective partner matters. Our teams have been working closely together since the announcement, and that collaboration is already underway in a meaningful way. The U.S. air filtration market is several times the size of the Canadian market. This is the entry point we have been building toward.
Albany — In the Lab and Beyond the Battery
I had the opportunity to visit the University of Toronto (U of T) this month and spend time with Professor Mohini Sain, Ford Motor Canada Endowed Chair in Sustainable Materials, and Professor Ning Yan, Tier 1 Canada Research Chair in Sustainable Bioproducts.
What made it memorable: the coin cells, pouch batteries, and electrodes being carefully coated, hot-rolled, and assembled with Albany inside. Material formed ~1 billion years ago, now in a battery, here in Canada. Two of the country's most decorated research teams putting our graphite through its paces, with their own hands, in their own labs.
We talked about Albany's purity results. Seeing that material coated on copper foil, rolled through a hot press, and die-cut into an electrode ready to power something really brings those numbers to life in a way no press release can.
But the battery story is only part of what Albany can become, and this month we have been increasingly focused on saying so publicly.
The conversation around AI is quickly becoming a conversation about energy and infrastructure. As data centre demand rises, power grids strain, and nuclear and SMR pathways gain serious policy and investment attention, the materials required to support that buildout are becoming as important as the generation technologies themselves.
Graphite is one of those materials and not just any graphite. Nuclear reactors and SMRs require graphite of exceptional purity, with tightly controlled specifications. Based on our bench-scale testing, Albany may be positioned to meet that bar. With demonstrated purity at bench scale of 99.9992% and an equivalent boron content of 2.60 ppm well inside the nuclear threshold, these results support differentiation relative to nuclear‑grade requirements.
Why this matters: Nuclear reactors require graphite with equivalent boron concentration below 3 parts per million; boron absorbs the neutrons that sustain the nuclear reaction.
This was bench-scale testing laboratory demonstration of what is possible. The next stages are pilot-scale processing, then continuous-flow operations, then commercial production. Each stage validates that the laboratory result holds at increasing volumes.
That is what differentiation enables: not just a lab result, but the potential for a role in the buildout that is already underway. The energy transition is no longer only about power generation - it is increasingly about the materials beneath it. We believe Albany has the potential to be part of that story, and we are only beginning to tell it.
Ontario has a unique advantage that is easy to claim and rare to actually see: the entire value chain exists here from the Albany deposit in the north, to world-class institutions like U of T in the south, to the downstream industries in batteries, EVs, aerospace, nuclear, and defence that need what we have. I saw a part of that close up this month, and it is real.
Updated PEA The Right Partner, Not the Fastest Signing
As outlined in February, we are advancing toward an updated Preliminary Economic Assessment. Finding the right partner matters more than finding the fastest one. Albany is not a commodity graphite story it is a specialty materials opportunity that demands a team capable of modeling FBR thermal purification economics, nuclear-grade pricing tiers, and the multi-market commercial strategy across nuclear, defence, aerospace, and advanced battery applications. We are in detailed discussions with engineering firms that have this specific expertise. We will not sign an agreement simply to have one signed. We will provide updates as this work progresses.
Triera CRO Services Now Open
In late March, Triera Biosciences formally launched contract research services for custom aptamer discovery, biosensor enablement, and machine-learning classification opening a potential near-term, predictable revenue stream built on our underlying licensed IP.
The platform is built on a 20-year exclusive McMaster University licence and over 21,000 published papers of foundational science. This is a platform ready to serve pharmaceutical and biotech teams today.
The Team Behind This
None of this happens without people working nights and weekends, missing family dinners, and choosing to believe that what we are building matters. The progress you are seeing the government relationships, the U.S. commercial pathway, the litigation victory, the content we are putting into the market is the product of a small team operating with intensity that far exceeds our headcount. I want shareholders to know that the people behind Zentek are not treating this as a job. They are treating it as a mission. That is the only way a company our size competes.
Forward Look
A U.S. commercial partner working toward real-world pilots. Albany graphite being built into real electrodes at one of Canada's top universities. Triera open for business. Litigation behind us. That is what a month of forward motion looks like.
We are focused on converting pilots into partnerships, conversations into contracts, and science into revenue.
Thank you for your patience and your continued support. There is real work ahead and we are moving.
Moe
Mohammed (Moe) Jiwan
CEO, Zentek Ltd.
TSX-V: ZEN | NASDAQ: ZTEK | mjiwan2@zentek.com
All statements consistent with previously disclosed public information.
All statements consistent with previously disclosed public information
Forward-Looking Information: this letter contains forward-looking statements within the meaning of applicable Canadian and United States securities legislation. Forward-looking statements include, but are not limited to, statements regarding: (i) the Company's plans to advance toward an updated PEA and engage engineering firms; (ii) the QFI pilot evaluation timeline and potential outcomes; (iii) management's intention to monitor the bid price and pursue Nasdaq compliance options; (iv) anticipated government funding applications; (v) ongoing Health Canada and EPA engagement & assessments; (vi) the progression from bench-scale to pilot-scale to commercial production; and (vii) the Company's business strategy, plans, and objectives. Forward-looking statements are based on current expectations and assumptions subject to risks and uncertainties that may cause actual results to differ materially. Risks include, but are not limited to: market conditions, regulatory outcomes, financing availability, technology performance at scale, permitting timelines, and the ability to engage suitable engineering partners on acceptable terms. The Company undertakes no obligation to update forward-looking statements except as required by law.
