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Indigenous-Led Alliance to Deliver Arctic -Secured Energy Systems Across Canada's North

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Aegis Critical Energy Defence (CSE: QESS, OTCQB: QESSF), together with Acho Dene Koe Group of Companies and Malahat Energy Systems, has formed an Indigenous-led alliance to deploy rugged, Canadian-made energy storage and microgrid solutions across the Northwest Territories, Yukon, Nunavut and northern British Columbia.

The partners will target five sectors: defence and Arctic infrastructure, Indigenous community electrification, mining and industrial operations, marine electrification, and remote critical infrastructure. Malahat will lead engineering and lifecycle services, while ADK Holdings acts as preferred Indigenous partner. Aegis’ Tough Bhoy™ platform, featuring quantum-safe cybersecurity from Quantum eMotion, underpins the offering. The alliance includes a revenue-sharing mechanism, targeted employment and training, and preferential subcontracting to Acho Dene Koe Group of Companies, aligning with UNDRIP principles.

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Positive

  • Indigenous-led alliance opens Arctic and northern Canada markets, positioning Aegis and partners for projects across multiple territories.
  • Five targeted sectors (defence, community, mining, marine, remote infrastructure) diversify potential revenue streams for alliance participants.
  • Revenue-sharing model ties Malahat project gross revenue to local Indigenous partners, supporting community alignment and long-term cash-flow visibility.
  • Tough Bhoy™ platform with quantum-safe cybersecurity differentiates Aegis in defence, mining and critical-infrastructure applications.
  • Alignment with Canada’s 5% Indigenous procurement target may enhance eligibility for federal and defence-related contracts.

Negative

  • None.

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Fort Liard, Northwest Territories and Mill Bay, British Columbia--(Newsfile Corp. - August 13, 2026) - Acho Dene Koe First Nation, a Treaty 11 signatory, through its Indigenous-owned economic development holding company, ADK Holdings Ltd.(Acho Dene Koe Group of Companies), together with Malahat Energy Systems Inc. (majority-owned by the Malahat Nation) and Aegis Critical Energy Defence Corp. (CSE: QESS) (OTCQB: QESSF) (FSE: JG6), has formed an Indigenous-led alliance, with Malahat Energy Systems Inc joining Acho Dene Koe Group of Companies to deploy rugged, Canadian-made energy storage and microgrid solutions across the Northwest Territories, Yukon, Nunavut, and northern British Columbia. This partnership is designed to strengthen regional energy security, support community-driven infrastructure priorities, and advance Indigenous leadership in the clean energy sector.

Canada's northern communities, defence installations, and critical infrastructure require resilient power systems capable of operating in extreme climates. The alliance launches at a time when the federal government is implementing its mandatory minimum 5% Indigenous procurement target and advancing a C$35-billion plan to expand Arctic airfields, construct new operational support hubs, and modernize northern defence infrastructure. Together, these initiatives are driving significant demand for secure, reliable power solutions that support northern communities, resource development projects, and defence operations.

Offering

Under the agreement, Malahat Energy Systems Inc. and ADK Holdings Ltd will jointly deliver solutions across five priority sectors:

  • Defence and Arctic infrastructure

  • Indigenous community electrification

  • Mining and industrial operations

  • Marine electrification

  • Remote critical infrastructure.

Malahat will lead engineering, commissioning, and lifecycle services. ADK Holdings will serve as the preferred Indigenous partner and servicing from the First Nation's asserted traditional territory in the Yukon, British Columbia, and Northwest Territories to the remainder of the North of 60 of Canada.

At the core of the alliance is Tough Bhoy™, Aegis' rugged, mission-ready energy storage platform engineered specifically for harsh environments. Designed and controlled in Canada, the system integrates advanced thermal management and intelligent power controls with quantum-safe cybersecurity provided by Montreal-based Quantum eMotion Corp. (NYSE: QNC) (TSXV: QNC) (FSE: 34Q0). Its patented Quantum Random Number Generator (QRNG) delivers a quantum-secured communications layer that protects against spoofing, replay attacks, and command interception — making the platform suitable for defence, mining, and community applications in extreme conditions.

Strategic Benefits for Government and Shareholders

For Government and Prime Contractors

  • Provides a proven, Indigenous-controlled supplier to help meet the 5% Indigenous procurement target.

  • Supports Arctic sovereignty and defence readiness with secure, Canadian infrastructure.

  • Aligns with UNDRIP principles by ensuring fair access to jobs, training and long-term benefits for Indigenous communities.

For Shareholders and Investors

  • Targets a fast-growing northern market driven by multi-billion-dollar federal defence and infrastructure spending.

  • Leverages defence-grade, quantum-secured energy technology and Indigenous-led market access as key competitive advantages.

  • Uses a revenue-sharing model that links project performance to stable, long-term cash flows while supporting local communities.

Indigenous and Community Benefits

The alliance includes:

  • A revenue-sharing mechanism returning a portion of gross revenue from Malahat projects in the region to Acho Dene Koe Group of Companies.

  • Targeted employment and training for the First Nation members of Acho Dene Koe First Nation.

  • Preferential subcontracting to Acho Dene Koe Group of Companies and member-owned businesses.

The partners intend to align their work with the United Nations Declaration on the Rights of Indigenous Peoples (UNDRIP), ensuring that Acho Dene Koe First Nation and future partnering neighbouring First Nations benefit equitably from energy and infrastructure development across their territories.

About Acho Dene Koe First Nation

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Acho Dene Koe First Nation (ADKFN), a Treaty 11 signatory, is an Indigenous government located north of the 60th parallel in the Mackenzie Valley region of the Northwest Territories. Its Traditional Territory spans British Columbia, the Yukon Territory, and the Northwest Territories. ADKFN is advancing modern treaty, land claim, and self-government negotiations with federal, territorial, and provincial governments. The Nation is a member of the Dehcho First Nations and Dene Nation, a signatory to the Northwest Territories Devolution Agreement, and an active participant in the Northwest Territories Intergovernmental Council. ADKFN's governance is rooted in cultural strength, holistic decision-making, and the protection of inherent and treaty rights. As majority shareholder of ADK Holdings Ltd., the Nation is focused on strengthening governance, building economic stability, and expanding opportunities through self-government and strategic partnerships. For more information, visit https://adkfirstnation.ca.

About ADK Holdings Ltd.

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Established in 1976 with Beaver Enterprises Limited Partnership, the Acho Dene Koe Group of Companies has grown into a modern, diversified Indigenous-owned enterprise. Guided by its majority shareholder, Acho Dene Koe First Nation, the Group ensures commercial growth aligns with community priorities and long-term Nation-building.

ADK Holdings Ltd. oversees all operating businesses-wholly owned enterprises, joint ventures, and equity partnerships. Its current portfolio spans oil and gas, forestry, construction, camp services, drilling and energy transmission, real estate operations, heavy hauling, aviation, logistics, and road maintenance. The Group delivers reliable, regionally tailored services supported by strong governance, strategic partnerships, and Indigenous values. ADK Holdings leads economic development with a mandate to secure sustainable employment, training, and revenue return for its shareholder. For more information, visit https://adkfirstnation.ca/business.

About Malahat Energy Systems Inc.

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Malahat is an Indigenous-led Canadian energy company supplying grid-scale battery energy storage, community and site-scale microgrids, mission-critical energy for defence and security, and shore-power and vessel electrification solutions. Based in British Columbia and majority owned by the Malahat Nation, Malahat is building advanced battery and infrastructure capability to support energy security and economic reconciliation in Canada. For more information. For more information, visit https://malahatenergysystems.ca/.

About Quantum eMotion

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Quantum eMotion Corp. (NYSE: QNC) (TSXV: QNC) (FSE: 34Q0) is a Canadian deep-tech company developing quantum-safe cybersecurity solutions based on its patented Quantum Random Number Generator (QRNG) and Entropy-as-a-Service platform, securing data and communications for the quantum era. For more information, visit www.quantumemotion.com

About Aegis Critical Energy Defence Corp.

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Aegis Critical Energy Defence Corp. (CSE: QESS) (OTCQB: QESSF) (FSE: JG6) is a Canadian energy-technology company focused on secure, mobile and mission-ready battery energy storage systems for defence, remote and critical-infrastructure customers. Aegis brings advanced energy-management systems, quantum-cybersecurity integration and mobile BESS engineering expertise, and is a significant shareholder and strategic partner of Malahat Energy Systems Inc. For more information, visit www.aegiscriticalenergy.com.

Communications
Chris McGillivray
Shareholder and Client Relationships
Aegis Critical Energy Defence Corp.
Cellular: (604) 312.3996
Email: cmcgillivray@aegiscriticalenergy.com

Media Contact
Jason Dorey
Manager of Business & Economic Development
ADK Holdings Ltd
Cellular: (250) 318-9389
Email: jasondorey@adkcorporate.ca

Forward-Looking Statements
This news release contains statements that constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause Aegis Critical Energy Defence Corp.'s actual results, performance or achievements, or developments in the industry to differ materially from the anticipated results, performance or achievements expressed or implied by such 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. Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/309435

FAQ

What is the new Indigenous-led energy alliance involving Aegis Critical Energy Defence (QESSF)?

The alliance pairs Acho Dene Koe Group, Malahat Energy Systems and Aegis Critical Energy Defence to deploy rugged energy storage and microgrid systems across Canada’s North. According to Aegis Critical Energy Defence, it focuses on secure, Canadian-made solutions and Indigenous-led project delivery in remote and Arctic regions.

How does the Aegis (QESSF) alliance support energy security in northern Canada?

The alliance plans to install mission-ready storage and microgrids designed for extreme climates, improving reliability for communities, defence sites and industry. According to Aegis Critical Energy Defence, its Tough Bhoy™ platform and Malahat’s engineering services aim to strengthen regional energy resilience and sovereignty.

What role does Indigenous ownership play in the Aegis QESSF northern energy strategy?

Indigenous ownership is central, with Acho Dene Koe Group as preferred Indigenous partner and Malahat majority-owned by Malahat Nation. According to Aegis Critical Energy Defence, the structure aligns with UNDRIP, emphasizing jobs, training, revenue-sharing and preferential subcontracting for Indigenous businesses.

Which sectors will the Aegis Critical Energy Defence (QESSF) alliance target in Canada’s North?

The alliance targets defence and Arctic infrastructure, Indigenous community electrification, mining and industrial operations, marine electrification and remote critical infrastructure. According to Aegis Critical Energy Defence, these five priority sectors reflect strong demand for secure, resilient power in northern and remote environments.

How does the Aegis (QESSF) Tough Bhoy platform enhance security for Arctic energy projects?

Tough Bhoy™ integrates advanced thermal management, intelligent power controls and quantum-safe cybersecurity from Quantum eMotion. According to Aegis Critical Energy Defence, its patented QRNG technology protects against spoofing, replay attacks and command interception, supporting defence, mining and community systems in harsh conditions.

What revenue-sharing benefits are included for Indigenous partners in the Aegis QESSF alliance?

The alliance includes a mechanism returning a portion of gross revenue from Malahat’s regional projects to Acho Dene Koe Group. According to Aegis Critical Energy Defence, this model links project performance with long-term cash flows while supporting community development and economic reconciliation.

How might Canada’s 5% Indigenous procurement target impact the Aegis (QESSF) alliance?

The alliance creates an Indigenous-controlled supplier structure that can help meet the federal 5% Indigenous procurement target. According to Aegis Critical Energy Defence, this positioning may support participation in government and defence contracts tied to northern infrastructure and Arctic modernization plans.