Royalty Management Holding Corporation Portfolio Company Advanced Magnet Lab Secures $2 Million DLA Grant for Domestic Magnet Production

Royalty Management Holding Corporation (Nasdaq: RMCO) announced that its portfolio holding, Advanced Magnet Lab (AML), has been awarded a $2 million grant and contract from the United States Defense Logistics Agency (DLA). The funding supports the continued development and expansion of AML's domestically made, high-grade sintered NdFeB (Neodymium Iron Boron) permanent magnet technology for defense and other high-end applications. The DLA contract aims to enable AML to manufacture consistent, fully traceable patented magnets for the US defense supply chain.

AML is developing innovative magnet technologies, including its PM-Uniform and PM-Axial magnets, which feature wire-like configurations that improve thermal efficiency and power density in motors, dramatically increasing efficiency. The two-year contract with the DLA also covers supply chain management, alloying, and permanent magnet manufacturing, including optimization of alloy compositions for various magnet grades through advanced manufacturing techniques.

Thomas Sauve, Chief Executive Officer of Royalty Management, expressed optimism about the grant. “AML has consistently demonstrated that their technologies for magnet production are superior to the current paradigm of available options. With their technologies around permanent magnet production, we will see a new, more efficient use of how these magnets are used in specialty motors and high application systems. With this grant, we are pleased to see that the United States government has recognized the strategic and commercial value that AML brings to the market and we are excited for them as they continue to execute on their mission and vision.”

The significance of this grant lies in its potential to reduce US reliance on Chinese magnet technology. AML's innovations offer greater manufacturing efficiency and superior performance using less intrusive environmental methods and lower energy consumption compared to Chinese alternatives. This aligns with broader efforts to secure the US defense supply chain for critical materials.

Royalty Management participates in AML's growth through a convertible debt investment, which funds a sponsored research program with AML. In return, RMCO receives a royalty on all sales of products derived from the developed technologies. This structure allows Royalty Management to benefit from AML's success while supporting technological advancements.

The DLA grant underscores the strategic importance of domestic permanent magnet production for national security. As the US seeks to reduce dependency on foreign sources, particularly for defense applications, AML's technology could play a pivotal role in ensuring a reliable supply of high-performance magnets. For more information about Royalty Management Holding Corporation, visit www.royaltymgmtcorp.com. For details on Advanced Magnet Lab, visit www.mitusmagnets.com/.