Lead Institutional Investor, Mandel Innovation Fund, Commits to Convertible Note

BOCA RATON, FLORIDA / ACCESS Newswire / December 5, 2025 / Arsenal Digital Holdings, Inc. (OTC:ADHI) - a company capitalizing on opportunities in inefficient niches within midstream oil and gas - today updated shareholders regarding proactive steps toward a future uplisting, an enhanced capital commitment to support acquisitions, and the commencement of consulting and project development activities.

Capital Markets Progress

Arsenal is nearing completion of its pre-audit preparation, an important milestone ahead of engaging a PCAOB-registered audit firm in the coming weeks. This forthcoming audit will support the Company's plan to initiate the SEC registration process to qualify its shares. These foundational steps signal Arsenal's intention and methodical pursuit of uplisting in due course, and enhance corporate transparency, investor access, and institutional readiness.

Operational Updates & Expansion Initiatives

Arsenal continues to expand its role in the energy and infrastructure sectors through active consulting engagements and strategic evaluation of potential new assets.

The Company is now providing project development and energy-related consulting services to datacenter infrastructure developers, supporting power planning, resource strategy, and early-stage feasibility work tied to next-generation compute facilities. As demand for reliable, cost-effective power solutions grows, Arsenal's expertise in midstream and natural gas resource integration positions the Company to add meaningful value.

Additionally, Arsenal is evaluating several potential acquisition targets within the hydrocarbon processing and liquids-handling sectors, with special emphasis on those businesses operating within deeply inefficient spaces. These targeted opportunities include the collection, transportation, separation, treatment, and monetization of hydrocarbon byproducts. Such additions would strengthen Arsenal's operating footprint, increase downstream revenue capture, and create efficiency-driven synergies with existing midstream assets. By expanding across multiple stages of the hydrocarbon value chain, the Company aims to build a resilient, high-margin, scalable platform.

Strengthening the Balance Sheet & M&A Support

Arsenal also reaffirmed its strong relationship with the Mandel Innovation Fund, the Company's cornerstone institutional investor with $750,000 invested to date. The Fund has committed to reinforcing Arsenal's capacity to execute its acquisition and growth strategy, and participate in the Company's current financing through a convertible note.

Leadership Commentary

"We are nearing key milestones in our capital markets progression with the completion of our pre-audit preparation and our upcoming SEC registration filing," said Ryan Messer, COO & Executive Director. "At the same time, our operational pipeline continues to expand. Supporting datacenter infrastructure developers on energy strategy underscores the relevance of our platform, while the vertically integrated hydrocarbon opportunities we are pursuing stand to materially enhance our scale, margins, and revenue diversity. With strong backing from Mandel Innovation Fund, we are executing a disciplined and focused strategy to position Arsenal for long-term growth."

"Arsenal Digital Holdings Inc. continues to position itself for growth through it's tech-enabled logistics and infrastructure development. For more information, visit www.arsenalholdingscorp.com or contact Investor Relations at ir@arsenalholdingscorp.com.

SOURCE: Arsenal Digital Holdings Inc.