Hongli Group Provides Strategic Update on Proposed Advanced Battery Collaboration as Xell Energy Achieves Drone Customer Design Wins

Xell Energy completes product development and customer evaluation of ultra-high-energy-density 420 Wh/kg battery packs

WEIFANG, China, Oct. 13, 2026 /PRNewswire/ -- Hongli Group Inc. (the "Company") (Nasdaq: HLP), a cold roll-formed steel profile manufacturer advancing its strategic transition into high-growth clean energy sectors, today provided a corporate update regarding its proposed strategic collaboration with Xell Energy, Inc. ("Xell Energy"). Xell Energy has completed product development and customer evaluation of its high-energy-density battery packs incorporating advanced battery cells with an energy density of up to 420 Wh/kg.

According to information provided by Xell Energy, following customer testing and evaluation, Xell Energy has achieved initial design wins with commercial drone customers, representing a milestone in the commercialization of its advanced battery technology.

Xell Energy's battery solutions are designed for applications where energy density, weight, and operational performance are critical. Xell Energy believes its 420 Wh/kg cell technology can help drone manufacturers achieve longer flight duration, increased operating range and improved payload capability.

"The completion of customer evaluations and achievement of design wins demonstrate meaningful market validation of Xell Energy's technology," said Michael Zhang, Chairman of Hongli Group. "As we continue to evaluate manufacturing synergies and localized production frameworks, we believe high-energy-density cell architectures will play a critical role in addressing rising demand across drones, robotics, and next-generation mobility systems."

Building upon its foundational technology platform, Xell Energy remains focused on commercializing advanced battery cells and battery-pack solutions for drones, robotics, unmanned systems, advanced air mobility and other high-performance electric applications.

About Hongli Group Inc.

Hongli Group Inc. is a Cayman Islands holding company, and through a series of contractual arrangements, consolidates the financial results of Shandong Hongli Special Section Tube Co., Ltd. and its subsidiaries (collectively, "Hongli Operating Group"). Hongli Operating Group is a cold roll-formed steel profile manufacturer with operating subsidiaries in China. Hongli Operating Group designs, customizes and manufactures cold roll-formed steel profiles for machinery and equipment in a variety of sectors, including but not limited to mining and excavation, construction, agriculture and transportation. The Hongli Operating Group, with over 25 years of operating history, has developed customers in more than 30 major cities in China as well as a global network including South Korea, Japan and the United States. Hongli Operating Group currently has 11 cold roll forming production lines and produces a variety of distinct profile products in a broad range of materials, sizes and shapes.

About Xell Energy, Inc.

Xell Energy, Inc. is a Silicon Valley-based battery technology company with advanced high-energy-density battery cells and integrated battery-pack solutions for drones, robotics, unmanned systems and other demanding applications. For more information, visit www.xellenergy.com.

Forward-Looking Statements

Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events, performance, or underlying assumptions, and other statements that are not historical facts. When used in this press release, words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project," "estimate," "continue," "seek," "endeavor," or similar expressions identify forward-looking statements, including statements regarding the commercialization, customer adoption, production, market opportunities, and future applications of Xell Energy's technology. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause actual results to differ materially from expectations. These risks and uncertainties include, but are not limited to: the Company's ability to achieve its goals and strategies; future business development, financial condition, and results of operations; product and service demand and acceptance; reputation and brand strength; the impact of competition and pricing; technological changes; government regulations and import/export restrictions; fluctuations in general economic and business conditions; the Company's ability to maintain compliance with Nasdaq continued listing standards; and assumptions underlying any of the foregoing.

For these reasons, investors are cautioned not to place undue reliance on any forward-looking statements in this press release. Additional factors and risks are detailed in Hongli Group's filings with the U.S. Securities and Exchange Commission ("SEC"), available for review at www.sec.gov. The Company undertakes no obligation to publicly update or revise these forward-looking statements to reflect events or circumstances arising after the date hereof.

For more information, please contact:

Hongli Group Inc.

Mr. Jie Liu
Email: [email protected]
Tel: +86 0536-2180886

SOURCE Hongli Group Inc.