Element One Hydrogen & Critical Minerals Corp. has entered into a definitive option and earn-in agreement with Stone to H2, Inc., a New York corporation that owns proprietary technology for critical mineral extraction and geologic hydrogen production.

“I am pleased to be working with Element One to advance and commercialize this important technology,” stated Dr. Gadikota, CEO of Stone to H2. “Harnessing reactions that facilitate in-situ mining of critical minerals and production of hydrogen as a new energy source is the future of mining and energy production.”

The technology developed by Stone to H2 is focused on staged recovery of hydrogen and critical minerals from ultramafic rock in the subsurface environment by way of fluid injection and solution mining. Additional development by Stone to H2 also contemplates the storage of CO₂ in the same geological setting from which hydrogen and critical metals are produced. Production of hydrogen from ultramafic rock in this manner has the potential to represent one of the lowest-cost and lowest-carbon-intensity sources of hydrogen, while co-producing critical metals.

“This agreement positions Element One at the forefront of geologic hydrogen innovation and technology and critical metal extraction through solution mining as well as strengthening our strategic relationship with leading academic partners,” said Timothy Johnson, Chief Operating Officer of Element One Hydrogen. “Stone to H2‘s proprietary methods for subsurface hydrogen production align perfectly with our vision to commercialize next-generation hydrogen technologies and provides a unique competitive advantage to others in the natural hydrogen industry.”

Subsequent to Stone to H2 signing a licensing agreement with Cornell University relating to subsurface hydrogen and critical mineral research, Element One elected to advance the parties’ relationship by entering into the Definitive Agreement, reflecting increased technical validation and alignment with leading academic research.

The licensing agreement with Cornell University is between Stone to H2 and Cornell University only. Cornell University is not a party to the definitive agreement, has no ownership interest in Element One, and has not reviewed or endorsed this press release or the commercial activities contemplated herein.

The definitive agreement replaces the previously announced letter of intent and sets out binding terms pursuant to which Element One has secured an exclusive option to acquire up to 100% of the issued and outstanding shares of Stone to H2 through a staged earn – in structure.

Under the definitive agreement, Stone to H2 would operate as a subsidiary of Element One upon any ownership acquisition.

Key Earn-In Terms

• Year 1: Within 1 year of receiving CSE approval, Element One will issue 1,000,000 common shares and fund US $446,000 in technology development, earning a 10% interest.
• Year 2: Within 1 year of the anniversary of receiving CSE approval Element One will issue an additional 2,000,000 shares and US $1,230,000 in funding to reach a 30% interest.
• Year 3: Within 2 years of the anniversary of receiving CSE approval Element One will issue an additional 3,000,000 shares and US $2,000,000 in funding to reach a 60% interest.
• Further milestones: Element One may earn up to 96% ownership by providing up to $6,000,000 in additional cash or share consideration and $10,000,000 in field-trial funding as the technology achieves defined readiness levels and successful field testing.

During the earn-in period, Element One receives access to Stone to H2‘s technology for development, testing and commercialization. Intellectual property improvements created during this period will be jointly owned in proportion to Element One’s earned interest.