Zentek and 1Click Heating and Cooling Sign Distribution Agreement

GUELPH, ON / ACCESSWIRE / December 8, 2023 / Zentek Ltd. ("Zentek" or the "Company") (Nasdaq:ZTEK)(TSX-V:ZEN), an intellectual property development and commercialization company and 1Click Heating and Cooling Inc. ("1Click"), a private Heating, Ventilation and Air Conditioning ("HVAC") company focused on the heat pump market are pleased to announce that they have signed a distribution agreement on December 7^th, 2023, for an initial 2-year term from the Pesticide Management Regulatory Agency approval date and can be extended by mutual agreement. The initial product to be distributed will be ZenGUARD enhanced viral filtration efficiency Minimum Efficiency Reporting Value ("MERV") 9 rated filters in various sizes and is expected to include other ZenGUARD-enhanced MERV-rated filters in the future.

This agreement will see 1Click utilize ZenGUARD filters for its regular customer service maintenance programs, along with making ZenGUARD filters available to customers from inventory held in various provinces.

Global Heat Pump Market

The International Energy Agency ("IAE") estimates that global sales of heat pumps have experienced double digit growth over the last two years and at current growth rates, are expected to double their share of heating in buildings by 2030. The IAE points to policy support and incentives globally due to high natural gas prices and efforts to reduce greenhouse gas emissions as the key drivers behind robust growth.

1Click Heating and Cooling Inc.

1Click is one of Canada's largest e-commerce platforms for heat pump based heating and cooling solutions for homes, offices, and commercial buildings. Heat pumps offer up to 80% CO₂ reductions when using clean-sourced electricity according to the IAE. In Canada, federal and most provincial governments offer significant financial incentives for the installation of new heat pumps making this a significant growing market in Canada. 1Click with its national footprint is well positioned to capitalize on this growth.

"At 1Click, we pride ourselves on growing our company by utilizing technology and innovation, and we are proud to add ZenGUARD HVAC filters to our environmentally friendly heat pump systems." said Nathan Horton, CEO of 1Click. "The energy efficient ZenGUARD technology combined with its ability to enhance viral filtration efficiency is a natural addition to our company's culture of delivering the best products available to our customers."