NEO Battery Materials Ltd. has received its first direct purchase order from a division of the Republic of Korea Army for military-grade drone battery packs intended for field validation and use.

The order represents a direct supply agreement bypassing traditional procurement intermediaries. Earlier in May 2026, NEO entered a non-binding supply intent letter contemplating a projected supply volume of over 45,000 battery cells, translating to 7,584 battery packs, for an ROK Army program. NEO scheduled supply delivery of high-performance battery cells and packs for the program from July through October 2026.

Alongside the military contract, NEO has advanced its relationship with strategic defense collaborator Assetta Inc. by securing a development order for battery management systems supporting drone platforms under a government procurement program. The scope covers state-of-charge indication, cell voltage monitoring and balancing, and communications system integration. The companies previously entered into a joint development agreement on July 15, 2026, to develop non-Chinese battery products.

Additional commercial order flow has continued from international drone value chain participants, including a major U.S. drone components manufacturer, an established South Korean UAV company, and one of Japan's largest standalone drone companies by revenue.

To support its expanding manufacturing footprint, NEO acquired an additional 10% interest in operating subsidiary NEO Battery Korea Co., Ltd. on June 26, 2026, strengthening its ownership of the Gimje battery manufacturing facility.

“NEO is widening its drone battery business offerings to provide a true, one-stop energy solution from cell-to-pack-to-BMS,” said Mr. Spencer Huh, President & CEO of NEO. “ This has translated into increased traction from Korean, Japanese, and American drone and drone components manufacturers. Across these engagements, two considerations are recurring: the ability to enhance performance of cells and packs given the constraints imposed by the customers' systems, and the access to a robust supply source situated outside of adversarial jurisdictions.”

— Mr. Spencer Huh, President & CEO of NEO

Read the full announcement: NEO Battery Receives First Direct Order from Republic of Korea Army and Secures Additional International Drone Battery Orders