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President von der Leyen presents Neo’s Made-in-Europe Permanent Magnet to G7 Leaders’ Summit

Marketing Announcement

NEWS

President von der Leyen presents Neo’s

Made-in-Europe Permanent Magnet to G7 Leaders’ Summit

TORONTO, Canada – June 18, 2025 - Neo Performance Materials Inc. ("Neo" or the “Company”) (TSX:

NEO)(OTCQX:NOPMF) is proud to announce that its Made-in-Europe permanent magnet, produced in

Estonia, was showcased by EU Commission President Ursula von der Leyen during the 2025 G7 Summit in

Kananaskis, Alberta. Neo is delivering on its commitment to its automotive customers by providing a localized

supply chain for these critical materials. Our magnets, manufactured in Estonia, are the first Made-in-Europe

magnets to meet the specifications of Tier 1 traction motor manufacturers and major automotive original

equipment manufacturers (OEMs).

President von der Leyen in a statement from the G7 2025:

“I brought with me a permanent magnet. Not just any magnet—this is a rare earth permanent magnet. It was

manufactured in Estonia, by a Canadian company using raw materials sourced from Australia, and supported

by the EU's Just Transition Fund… And where does it end up? In German and French electric vehicles and

wind turbines. This small object tells a much bigger story—a story we are writing together.”

Neo's President & CEO, Rahim Suleman, said:

"We thank President von der Leyen for highlighting our Made-in-Europe magnet at the G7 Summit. Our new

magnet facility marks a significant milestone for both Neo Performance Materials and the European

automotive supply chain. Delivering this facility on time and on budget demonstrates that focus, innovation,

and industry collaboration are essential to overcoming today’s supply chain challenges.”

Neo’s new Estonia facility marks substantial progress in the global expansion of its magnetics operations.

Phase 1 successfully implemented a multi-step production process—from raw materials to the final assembly

of traction motor magnets. Phases 2, 3 and 4 are expected to drive further growth, with expanded operations

in Estonia and new facilities planned in additional regions. These developments reflect Neo's technical

expertise and operational capacity, supported by its experienced global team.

Backed by over 30 years of expertise in rare earth magnetics and advanced R&D capabilities , Neo’s new

facility in Estonia represents a significant step in one of the key permanent magnet projects in Europe and

globally. This initiative aims to scale magnet production across Europe and beyond, contributing to Neo’s

efforts to serve our customers with diversified supply chains for rare earth magnetics and other critical

materials.

About Neo Performance Materials

Neo manufactures the building blocks of many modern technologies that enhance efficiency and

sustainability. Neo 's advanced industrial materials – magnetic powders, rare earth magnets, magnetic

assemblies, specialty chemicals, metals, and alloys – are critical to the performance of many everyday

products and emerging technologies. Neo 's products fast -forward technologies for the net -zero transition.

The business of Neo is organized along three segments: Magnequench, Chemicals & Oxides and Rare

Metals. Neo is headquartered in Toronto, Ontario, Canada; with corporate offices in Greenwood Village,

Colorado, United States; Singapore; and Beijing, China. Neo has a global platform that includes

manufacturing facilities in Canada, China, Estonia, Germany, Thailand and the United Kingdom, as well as

a dedicated research and development centre in Singapore.

For more information, please visit www.neomaterials.com.

Cautionary Statements Regarding Forward Looking Statements

This news release may contain "forward-looking information" within the meaning of applicable Canadian

securities legislation. Generally, but not always, forward -looking information and statements can be

identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates",

"forecasts", "intends", "anticipates", or "believes" or the negative connotation thereof or variations of such

words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will

be taken", "occur" or "be achieved" or the negative connotation thereof. Specific forward-looking statements

in this news release include, but are not limited to, the completion of construction and commissioning and

launch of operations of the facility in Narva; integration of operations of the new facility in Narva, Estonia

and Neo's rare earth separation facility in Sillamäe, Estonia ; and other matters relating thereto. In making

the forward -looking information in this news release, the Company has applied certain factors and

assumptions that are based on its current beliefs as well as assumptions made by and information currently

available to the Company. Although the Company considers these assumptions to be reasonable based on

information currently available to it, they may prove to be incorrect, and the forward-looking information in

this release is subject to numerous risks, uncertainties and other factors that may cause future results to differ

materially from those expressed or implied in such forward-looking information. There are many risk factors

associated with the negotiation and drafting of a definitive offtake agreement and the terms and conditions

of such agreement. A number of factors could cause actual results to differ materially from those anticipated

by the Company , including but not limited to the risks and uncertainties inherent in the nature of the

Transaction, including the risks of a material adverse change to the Company's assets or revenues, or risks

of unknown liabilities that may arise.

Readers are cautioned not to place undue reliance on forward-looking information. The Company does not

intend, and expressly disclaims any intention or obligation to, update or revise any forward -looking

information whether as a result of new information, future events or otherwise, except as required by law.

For more information on Neo, investors should review Neo's continuous disclosure filings that are available

under Neo's profile at www.sedarplus.ca.

Information Contacts

Irina Kuznetsova Vasileios Tsianos

Investor Relations Media Requests

(416) 367-8588 ext. 7334 (416) 367-8588 ext. 7335

[email protected]

[email protected]

Website: www.neomaterials.com