First Hydrogen receives $310,000 from private placement

• First Hydrogen Corp. closed a non-brokered private placement of 1,000,000 units at $0.31 per unit for gross proceeds of $310,000.
• The company settled approximately $2.86 million in debt (principal and accrued interest) by issuing 9,234,687 units to convertible debentureholders on the same terms as the private placement.
• Net proceeds from the private placement are earmarked for working capital and general corporate purposes.
• Unit composition includes one common share and one warrant exercisable at $0.45 for two years.
• Finder's fees included cash ($24,800) and warrants (80,000 units).
• All securities issued are subject to a statutory four-month-and-one-day hold period.

• The financing is expected execution of the April 2nd announcement regarding a $3-million private placement; therefore, it lacks surprise factor.
• Debt settlement via equity issuance significantly increases share count (9.2M units for debt + 1M new units), creating substantial dilution risk for existing shareholders.
• The placement price ($0.31) is approximately 34% below the recent market close ($0.47), indicating management prioritizes liquidity over share price stability or believes intrinsic value is lower than current trading levels.
• While the cash infusion prevents immediate default, the reliance on equity swaps for debt suggests ongoing liquidity constraints rather than operational profitability.
• The news confirms the company's ability to manage obligations but highlights a capital-intensive strategy with no near-term revenue catalysts mentioned in this release.

• First Hydrogen Corp. operates in clean energy with a focus on hydrogen fuel-cell vehicles, green hydrogen production, and Small Modular Reactors (SMRs).
• Flagship Project: Hybrid-powered unmanned ground vehicle (UGV) developed via partnership with Exodus Actuation Solutions Inc., targeting autonomous logistics and defense applications under a "Drones as a Service" model.
• Secondary Focus: SMR integration for powering data centers and AI infrastructure, currently in the research phase with University of Alberta regarding molten-salt fuel surrogates.
• Operational Status: Two hydrogen-fuel-cell light commercial vehicles built and tested (~6,000 km range >630 km), but no revenue generation reported in news releases.