BluMetric Announces Notice to Proceed for $12.2M Production of Mission Ready Water ASUWPS Systems

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Ottawa, Ontario--(Newsfile Corp. - May 5, 2025) - BluMetric Environmental Inc. (TSXV: BLM) (OTCQX: BLMWF) ("BluMetric" or "the Company"), an engineering WaterTech and full-service environmental consulting firm, today announced that it has received a notice to proceed for production of its Mission Ready Water systems under the previously announced Rheinmetall Canada contract for the Canadian Armed Forces.

In accordance with the contract, which is now valued at $12.2 million, BluMetric will produce a total of 26 self-contained water treatment units, their associated miscellaneous equipment units, and a portion of cold weather ancillary packages. Production will be at the Company's Carp, Ontario facility and is expected to be delivered within the next 18 months.

"Our team is thrilled to advance to this crucial stage of production and see the Canadian military's commitment to our Mission Ready Water solutions," said Scott MacFabe, Chair & CEO of BluMetric. "This notice to proceed is a testament to our ability to deliver on a high-quality and robust system that meets the highly demanding needs of a military organization. We look forward to executing this contract while further strengthening our military partnerships worldwide."

This notice follows rigorous testing of the first production unit which was subject to road and cross-country tests at the 5th Canadian Division Support Base (5 CDSB) Gagetown in New Brunswick, Canada. It also passed water challenge tests for biofouling and hardness, bacteria, virus, organic, and inorganic contaminants.

This product, known as the Advanced Sub-Unit Water Purification System (ASUWPS), is derived from the established and proven Reverse Osmosis Water Purification Unit (ROWPU) and Shipboard Reverse Osmosis Desalination (SROD) designs. These systems have been deployed and supported by BluMetric for the Canadian Armed Forces for over ten years, demonstrating their reliability and effectiveness.

Additionally, there remains the possibility for authorization of further units under the Rheinmetall contract. Since the initial contract announcement on May 23, 2023, three additional packages of cold weather ancillary equipment have been included.

Lastly, pursuant to the Company's Board recommendation, BluMetric has granted options of 402,000 common shares to Directors and Employees of the Company. These options are granted effective February 26, 2025, vest over two years, and are exercisable into Common Shares of BluMetric at a price of $0.99 per share for a period of seven years.