Clean Energy Technologies CEO Sends Letter To Shareholders; Discusses Vermont Renewable Gas Biomass Waste To Energy Project Including $12M Secured For Construction And $20M Long-Term O&M Agreement

Clean Energy Technologies, Inc. (NASDAQ:CETY) (the "Company" or "CETY").

Dear Shareholders,

As we navigate an ever-changing clean energy landscape shaped by global economic and political dynamics, I want to reaffirm our commitment to you of being both transparent and informative. My goal is to ensure you have a clear understanding of our company's short-term objectives and long-term strategies.

At Clean Energy Technologies, we understand the critical need for adaptability in this fast-evolving market. We are focused on positioning ourselves to capitalize on opportunities, overcome challenges, and drive sustainable growth and profitability while creating value for our shareholders.

Being a NASDAQ-listed clean energy company is both an opportunity and a challenge, especially with limited resources in a capital-intensive industry. But we remain focused on execution, innovation, and building long-term value.

Since our uplisting in 2023, we've gained better access to capital markets but truly haven't been able to take advantage of it for various reasons. We've made strategic moves to tighten operations and focus on areas that align with our strengths and form synergistic strategic partnerships to expand our capabilities across multiple applications in order to scale up.

One major milestone is our Vermont Renewable Gas (VRG) biomass waste to energy project:

• $12M secured for construction
• $20M long-term O&M agreement
• CETY serving as technology provider and O&M partner
  
   

The Vermont Renewable Gas (VRG) project serves as a model for how CETY plans to engage in future clean energy infrastructure—providing engineering, procurement, proprietary technology, and long-term operations and maintenance services. Several similar opportunities are currently in development, each with the potential to add significant value to our backlog through EPC and service agreements.

We have successfully navigated a year-long permitting process for VRG, with all permits we believe are necessary secured except for the final sign-off from the Public Utility Commission. With the other permits secured, we are in the final stages of regulatory review and are preparing to proceed with project execution upon approval.

We're also growing our pipeline in heat to power and geothermal, deploying our proprietary technology into sectors like industrial manufacturing, data centers, and utilities. The $500K Qymera project secured in Q1 2025 is as a result of that. We are currently preparing our shipment to Qymera.

In parallel, we've positioned CETY as a full-scope, eco-friendly energy and microgrid solutions provider by forming strategic partnerships with Metis Power and Exergy. Together, we offer integrated systems that encompass power generation, large-scale heat recovery, energy storage, and advanced energy management. As a result, we currently have multiple data center and large-scale heat-to-power project bids under consideration. These projects are capital-intensive and require financing through private equity or infrastructure funds, which can lead to longer lead times before contracts are finalized.

Due to macroeconomic factors such as declining natural gas prices and reduced industrial demand, we expect lower near-term revenues from our natural gas activities. As a result, CETY HK will defer the commencement of the Shenzhen Gas joint venture until market conditions are more favorable.

Tariffs are expected to affect the cost structure of our heat-to-power products at a time when we are actively focused on reducing production costs. To help mitigate these pressures, we are pursuing international manufacturing partnerships aimed at optimizing efficiency and maintaining our competitiveness in the market.

To support these efforts, we've built a talented, multidisciplinary team across engineering, systems integration, procurement, and technical services—with a focus on seamless project delivery from design to commissioning.

We continue to collaborate with project developers and private equity partners to expand our market reach. In these partnerships, CETY provides the core technology, execution capabilities, and long-term operations and maintenance services, while our partners lead on financing and asset ownership through power purchase agreement (PPA) structures.

Here's our strategy going forward:

• Deliver turnkey clean energy solutions including technology, EPC, and O&M services.
• Expand across multiple applications including power generation, waste to energy, and heat to power solutions.
• Strengthen strategic partnerships to offer integrated microgrid and energy systems.
• Establish captive partnerships to support developers and project financiers with the technical foundation to scale clean energy infrastructure.
• Prioritize markets where we can lead such as industrial manufacturing, data centers, and waste-to-energy, where our proprietary technologies can deliver reliable, scalable, and cost-effective clean energy solutions.
  
   

We remain committed to executing our strategy and building long-term value. While challenges remain, our recent developments and partnerships reflect meaningful progress toward establishing CETY as a reliable provider of clean energy technologies and solutions.