Hillcrest Energy Technologies Announces Strategic Venture with Pasqua First Nation #79 and Apeiron Resources Ltd. and Private Placement

Core Viewpoint - Hillcrest Energy Technologies has announced a strategic partnership with Pasqua First Nation 79 and Apeiron Resources Ltd. to create an Indigenous-majority owned entity focused on commercializing its Zero Voltage Switching power conversion technology in Canada [1][3]. Partnership Structure - Under the Memorandum of Understanding (MOU), Pasqua First Nation may invest up to CAD 3 million in Hillcrest to support the development and commercialization of the ZVS technology [2]. - The new entity, referred to as NEWCO, will be majority-owned by Pasqua First Nation at 51%, while Hillcrest and Apeiron will hold the remaining 49% [3]. Market Opportunity - Canada's clean energy market is projected to grow from 115 GW to 149 GW by 2030, with energy storage capacity expected to expand from 1 GW to 12-16 GW by 2035, representing over CAD 143 billion in investment opportunities [6]. - Indigenous-led partnerships are increasingly central to this expansion, with Indigenous communities participating in nearly 20% of Canada's clean electricity infrastructure development [6]. Funding and Licensing - The venture is pursuing at least CAD 10 million in operating capital through various funding sources, including grants and loans from the Government of Canada and Government of Saskatchewan [7]. - Hillcrest may license its ZVS technology to NEWCO for manufacturing ZVS products, with terms to be agreed upon [9]. Management Commentary - The CEO of Hillcrest emphasized that the partnership will accelerate the commercialization of power electronics products featuring ZVS technology, creating value for all stakeholders [10]. - The Chief of Pasqua First Nation highlighted the initiative's role in building community capacity and contributing to a sustainable energy future [10]. Hillcrest Private Placement - Hillcrest plans to complete a private placement offering of units totaling up to CAD 7.2 million, which includes a cash offering and a debt offering [11]. - Each unit consists of one common share and one warrant, with the warrant allowing the holder to acquire a common share at an exercise price of CAD 0.12 for 24 months [12]. Other Hillcrest Updates - The company has canceled a previously announced non-brokered private placement and continues to explore future investments with a strategic investor [17]. - Hillcrest confirmed the extension of 4,350,000 warrants from an expiry date of October 4, 2025, to October 4, 2027 [18].