(MENAFN- Newsfile Corp) Fort Lauderdale, Florida--(Newsfile Corp. - October 14, 2025) - ZEFIRO METHANE CORP. (Cboe CA: ZEFI) (FSE: Y6B) (OTCQB: ZEFIF) (the "Company", "Zefiro", or "ZEFI") is pleased to provide an update on its performance for the first quarter of fiscal year 2026 and overall business progress. The Company continues to execute on its mission to support emissions reductions all while focusing on delivering strong financial results. All dollar amounts are expressed in U.S. dollars unless otherwise noted.

Quarterly Results:

For the first quarter of fiscal year 2026, based on preliminary, unaudited results, Zefiro generated record revenue of approximately $12.0 million, which was ~20% higher than the highest quarterly revenue in the Company's history (the first quarter of fiscal year 2025). In addition to the robust first quarter of revenue in fiscal year 2026, expenses have continued to decline, which is driving positive Net Income and free cash flow for this first quarter. Free cash flow is a non-IFRS financial measure. Further details and reconciliations to comparable IFRS measures are available in the Company's most recent MD&A on SEDAR+.

This financial performance reflects continued demand for the Company's environmental remediation services and carbon credit offerings and management's concentrated focus on expense reduction, as well as operational efficiencies that have helped drive profitability early in the fiscal year.

Recent Highlights:

• Two of Zefiro's largest private sector customers have recently approached the Company about continuing operations throughout the remainder of the calendar year. This extension not only reflects the strong performance and value being delivered on-site but also provides additional incremental revenue that will further support the Company's financial performance during the winter season.
• On July 28, 2025, the Company announced that the West Virginia Department of Environmental Protection ("WVDEP") has awarded the Company a project consisting of pre-plugging and post-plugging methane quantification, in addition to locating oil/gas wells for the purpose of identifying them as candidates to be plugged. Based on an increased scope of work provided by the WVDEP, the Company will realize approximately USD $1,300,000 in revenue from carrying out this project as a subcontractor to North Wind Site Services.
• On August 19, 2025, the Company completed the first-ever publicly announced sale of Carbon Offsets originated under the America Carbon Registry's ("ACR") orphan well methodology Project 959 ("ACR959") and successfully delivered the first tranche of ACR959 carbon credits to Mercuria Energy America, LLC ("Mercuria"). The successful issuance under the ACR methodology of certified carbon credits confirmed emissions reductions of 92,956 metric tons of CO2. The Company has also completed delivery of carbon credits to two other strategic buyers.
• In September 2025, the Company repaid and retired its $350,000 promissory note from X Machina Capital Strategies Fund I LP. The note payable was entered into on March 13, 2025, with a six-month term and a 12% annual interest rate. This repayment further demonstrates Zefiro's commitment to financial discipline and reducing its debt obligations.
• The Company recently completed the renegotiation of the "Zefiro USA" note and is now in compliance. The maturity date of the note has been extended to March 1, 2026, providing Zefiro with greater financial flexibility and stability in the near term.

Looking Ahead:

• The Company is actively working to secure several additional contracts in both the Environmental Services and Environmental Markets spaces. These initiatives are designed to support consistent revenue generation and operational momentum, while reinforcing Zefiro's strategic positioning in the emissions reduction and well remediation sectors.
• As Zefiro enters the second quarter of fiscal year 2026, the Company remains committed to its deleveraging strategy, with a focus on retiring upcoming loan obligations in a timely and complete manner. Management is focused on maximizing free cash flow to meet upcoming debt payments, reflecting a disciplined approach to financial management. Strengthening the balance sheet continues to be a top priority, as the Company positions itself for long-term growth and financial resilience.

About Zefiro Methane Corp.

Zefiro is an Environmental Services Company, specializing in methane abatement. Zefiro strives to be a key commercial force towards Active Sustainability. Leveraging decades of operational expertise, Zefiro is building a new toolkit to clean up air, land, and water sources directly impacted by methane leaks. The Company has built a fully integrated ground operation driven by an innovative monetization solution for the emerging methane abatement marketplace. As an originator of high-quality U.S.-based methane offsets, Zefiro aims to generate long-term economic, environmental, and social returns.

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