Cleantek Industries Inc. Provides Corporate Update

Calgary, Alberta--(Newsfile Corp. - November 8, 2021) - Cleantek Industries Inc. ("Cleantek" or the "Company") is pleased to provide an update with respect to the ongoing advancement of Cleantek's business strategy. As disclosed in the Company's news release dated October 29, 2021 the Company has completed the previously announced business combination (the "Transaction") with Raise Production Inc. to form "Cleantek Industries Inc." pursuant to an arrangement agreement (the "Arrangement Agreement") dated as of July 12, 2021. The Transaction involved the issuance of 18,600,269 common shares at $1.75 per share. Concurrent with the Transaction, Cleantek completed a brokered private placement of subscription receipts, resulting in the issuance of 5,716,123 common shares at $1.75 per share and 2,858,061 warrants exercisable at $2.25 for 36 months from closing. Additionally, Cleantek issued 57,142 common shares at $1.75 per share and 28,571 warrants exercisable at $1.75 for 24 months for financial advisor services and 205,013 common shares at a deemed price of $1.75 per share, in consideration of certain services provided by certain former employees pursuant to separation agreements dated October 29, 2021. 8,255,159 common shares issued to certain insiders pursuant to the Transaction will be subject to a Tier 1 Value Security Escrow Agreement to be released over an 18-month period.

Trading of the common shares of the Company is expected to commence as of the open of trading on November 10, 2021 under the trading symbol "CTEK".

Corporate Update

The Company continues to drive its strategic growth plans and further its efforts in global hydro-sustainability with the additional deployment of several mobile ZeroE systems throughout North America. The most recent deployments in Pennsylvania and Western Canada have bolstered the current utilization of its ZeroE fleet. The Company is also pleased to announce it has expanded its presence in the US market with the recent deployment of its patented "HALO" lighting technology int North Dakota. In addition, ongoing discussions with several clients regarding the process facility ZeroE systems bring great promise to the further roll out of this advanced technology, with the potential to treat and recycle over 10 million liters of water back to the natural hydraulic cycle annually per system. The advancement of these product lines continue to positively impact the carbon footprint of Cleantek's clients, adding measurable ESG benefits to their operations.

Executive Management Update

Cleantek is pleased to announce that, as part of the Company's long term strategic plans to optimize its executive management structure, Matt Gowanlock will today also assume the role of Chief Executive Officer, in addition to his current role as President of Cleantek.

"Matt has proven he is the right leader to take Cleantek forward as a publicly-listed company," said Richard McHardy, Cleantek's Chairman of the Board. "Matt's extensive background in executive leadership, business strategy and his experience in water treatment will further strengthen the Executive team while developing strategic alliances to expand our geographic presence. We believe his strong leadership experience will help focus Cleantek on growth and profitability."

"I am very excited to expand my leadership role with the Cleantek team," said Matt Gowanlock. "I believe Cleantek has built a solid platform of proprietary hydro-sustainability technologies that uniquely positions us to provide both economic and ESG value to our clients. As the energy market evolves with the ever-increasing requirements and regulations related environmentally responsible operations, Cleantek is well positioned with its product offerings that directly address these growing industry demands and climate initiatives."

Matt was a Founder and CEO of Apollo Energy Services ("Apollo"), a business that was acquired by Cleantek in 2018. Matt successfully led Apollo through the strategic merger and integration with Cleantek while helping to grow annual revenues of the merged businesses significantly. Before founding Apollo Energy in 2014, Matt had been Founder, President and Chief Executive Officer of a modular construction company, Aithra Projects Inc., which was acquired in 2020. Prior to, Matt was Director of Operations at Genalta Power Inc. and General Manager of Filterboxx Water and Environmental Inc..

Jesse Curlett will no longer serve as CEO of the Company. The Company wishes to thank Jesse for his significant contributions to the development of Cleantek.

Cleantek is also very pleased to announce that Jay McNeil has recently joined the Company as Vice President of Sales. Mr. McNeil brings a wealth of experience to Cleantek through his extensive career as a Sales and Marketing Executive with over 25 years of experience, including 20 years in Oil & Gas. Mr. McNeil previously held senior positions at Secure Energy Services Inc., Tervita Corporation, QMax Solutions, and Trinidad Drilling Ltd. where he held executive roles in Strategy, Sales & Marketing. He brings a wealth of strategic and hands-on experience in global sales, marketing, customer engagement, channel, and enterprise management.

About Cleantek

Cleantek is a clean energy technology company focused on hydro-sustainability with operations across North America. Cleantek has developed and commercialized its patented wastewater dehydration technology, the ZeroE, which it rents to its customers for use at gas processing facilities and on drilling rigs. The ZeroE technology is powered by the waste heat generated from engine exhaust. The Company also has a lighting division which includes its patented "HALO" and solar-hybrid lighting products.

Forward-Looking Statements

This news release contains certain "forward looking statements" including, for example, statements relating to the expected trading date of the Company's common shares. Such forward-looking statements involve risks and uncertainties, both known and unknown. The results or events depicted in these forward-looking statements may differ materially from actual results or events. In addition to other factors and assumptions which may be identified herein, assumptions have been made regarding and are implicit in, among other things: receipt of regulatory approvals, including final approval from the TSXV, the state of the capital markets, the impact of the COVID-19 pandemic, the ability of the Company to successfully manage the risks inherent in pursuing business opportunities in the oilfield services industry, and the ability of the Company to obtain qualified staff, equipment and services in a timely and cost efficient manner to develop its business. Any forward-looking statement reflects information available to Cleantek as of the date of this news release and, except as may be required by applicable securities laws, Cleantek disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.

Matt Gowanlock, President
E-mail: mgowanlock@cleantekinc.com

Orson Ross, Chief Financial Officer
E-mail: oross@cleantekinc.com

Cleantek Industries Inc.
Tel: 403-567-8700
www.cleantekinc.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/102369