Update on First Production of Modular Housing

15^th June 2023

Eco Buildings Group plc

("Eco Buildings" or the "Company" or "the Group")

Update on First Production of Modular Housing

Highlights

·      New purpose-built factory building in Albania completed close to the new port terminal at Durres

·      All plant, equipment and vehicles previously operated in Dubai now located in Albania

·      Operational team relocated from Dubai to Albania

·      Reassembly and commissioning of plant and equipment proceeding apace at the new factory

·      Two supply and manufacturing contracts signed in place ready to be fulfilled valued at €114 million

Eco Buildings is pleased to provide an update on the ongoing works currently being undertaken in Albania ahead of first production and sales of its modular housing product. The purpose-built 3,000m² factory building, located near the new commercial port of Durres in Albania has been completed. All the plant and equipment required for production, which was previously operated in Dubai, has now been shipped and hauled to the new factory site. The team that operated the factory in Dubai and decommissioned the plant and equipment there has now relocated to Albania and is leading the local workforce in the reassembly and commissioning in Durres. Progress is continuing apace. Eco expects the factory to be operational and fully commissioned in Q3 this year. This will enable the Company to commence production and sales under two existing supply and manufacture contracts with a value of €114 million.

Sanjay Bowry said:

"We are pleased to announce the completion of the factory building, and the safe arrival of all the plant and equipment at our new factory in Albania, one of the lowest cost production environments in Europe. It is very encouraging to see the joint team formed and working ahead rapidly to commission the factory production line for commercial output in the near future. This will enable the production of Eco modular buildings to commence later this year against our contracted €114 million order book of single dwelling units deliverable within the next three years.

We are currently well advanced in several further negotiations in other markets where our fast, green building system is generating significant interest as a tool to address the acute social deficit in affordable housing. Following the successful completion of the RTO, we are now well positioned to conclude these discussions and I look forward to providing updates on additional contracts over the coming weeks."

Further information is available on Eco Buildings website: www.eco-buildings.net

For more information contact:

Notes

The Company has acquired proven and innovative prefabricated modular technology which has been in development and commercial use since 2006. Eco Buildings' range of modular housing products from glass fibre reinforced gypsum ("GFRG") provides a solution for the construction of both affordable and high-end housing, with Eco Buildings' products being up to 50% cheaper, two-thirds lighter and five times faster to deploy than conventionally built homes.

Eco Buildings has already secured two sales contracts with major construction companies, one in Albania, the other in Kosovo, which are expected to generate gross sales revenue of approximately up to €38 million in total per annum over the first three years (approximately €114 million in total) following Admission.

In addition, the Group has entered into a manufacturing and licence agreement with North Eco, a third-party company proposing to build modular housing in the United Kingdom utilising the intellectual property of Eco Buildings. Under the terms of the agreement with North Eco, Eco Buildings will receive 30% of the gross receipts of each unit sold by North Eco. The Company is also in ongoing discussions with potential additional customers for its modular housing product.

Modular housing market share is expected to grow significantly over the coming years as developers and nations seek to address the substantial shortage of stock and issues surrounding quality and affordability.

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