Hello Gentlemen,

I spoke with James this week regarding the Red River project in Texas. It
appears the Military intends to handle the entire operation internally at
their facility.

Their preferred approach is to purchase the necessary equipment directly
from us and then have us train their in-house team. Given our current
operational commitments, pursuing this approach doesn't align with our
current strategy or capacity.  Unless we want to sell them equipment.

It seems the proposal from Forge Nano would be a better fit for their
needs. Forge Nano's angle involves supplying them with everything required
to manufacture their cells at the Red River location, following the setup
of a new production facility.

Second part of this email is the term sheet attached with Forge Nano.  The
term sheet lays out the roadmap for LBC to source US-made lithium-ion cells
from Forge Nano across development and production phases, with commitments
expected in the final agreement. It also outlines the mutual interest in
joint development and commercialization of battery products and leaves open
the door for other future collaborations as a co-packer for FN.

Let me know your thoughts.

Best,

Jordan G. Wroblewski
Partner | President
Lithium Battery Company
Direct: (917) 266-5336
jordan@lithiumbatterycompany.com
Lithium Battery Company <http://lithiumbatterycompany.com>