BURNABY, BC / ACCESS Newswire / December 18, 2025 / Ostrom Climate Solutions Inc. ("Ostrom" or the "Company") (TSXV:COO)(Frankfurt:9EAA), a leading provider of carbon project development, net-zero climate solutions, and carbon credit marketing and trading, today announced that it has entered into a mutual settlement and termination agreement with its counterparty to fully exit the Emission Reduction Purchase Agreement ("ERPA") originally executed on April 17, 2024, in respect of the Climate-Smart Agriculture Project in the Upper Pampanga region of the Philippines ("UPRIIS"). The ERPA is terminated effective December 8, 2025. Due to confidentiality obligations, further settlement details cannot be disclosed.

Strategic Rationale

The decision reflects Ostrom's refined strategy to prioritize compliance-oriented carbon markets, where the Company sees stronger long-term commercial and financing opportunities. As regional compliance mechanisms continue to develop, including emerging frameworks such as Japan's Joint Crediting Mechanism ("JCM"), the Company intends to reposition UPRIIS via a phased approach under an ultimate compliance-driven structure rather than its prior voluntary-market design.

Management Commentary

"Ostrom's new strategy is focused on high-integrity, compliance-focused carbon markets," said Navdeep Dhaliwal, Chairman & CEO of Ostrom. "Exiting the prior ERPA allows us to realign the UPRIIS project under this strategy and pursue pathways that we believe offer stronger long-term value for our shareholders. UPRIIS remains a highly promising rice methane-reduction initiative, and we look forward to advancing it under this new strategic direction."

Ostrom will provide further updates on UPRIIS as development plans progress.

About Ostrom Climate Solutions Inc.

Ostrom is one of North America's leading providers of carbon project development, net-zero climate solutions, and carbon credit marketing and trading. Over the past 12 years, Ostrom has validated and verified forest carbon projects globally for voluntary and regulated markets, having developed 16 million acres of forest land for conservation and monetized over 10 million carbon credits. Based out of British Columbia, Canada, the Ostrom team has a global reach, has worked with over 200 organizations globally, including Fortune 500 companies, managed projects in partnership with indigenous stakeholders and has extensive on-ground experience in emerging markets.

Ostrom is focused on developing high-quality carbon projects that have a positive impact on the environment, local communities and biodiversity. Ostrom is publicly listed on the TSX Venture Exchange (COO) and the Frankfurt Stock Exchange (9EAA).

Please visit us at www.ostromclimate.com.

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For more information regarding the Company, please contact:

Navdeep Dhaliwal
Chairman & Chief Executive Officer
Ostrom Climate Solutions Inc.
380-4111 Hastings St, Burnaby, BC V5C 2J3, Canada
Email: investors@ostromclimate.com

Neither 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 Release.

Cautionary Statement Regarding Forward Looking Statements

This news release contains certain statements that may be deemed "forward-looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or realities may differ materially from those in forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

SOURCE: Ostrom Climate Solutions Inc.