Arsenal Digital Holdings Announces Strategic Divestiture of Blackrock Midstream While Continuing Existing Operations and Advancing Strategy

Boca Raton, FL — 17^th February 2026 — Arsenal Digital Holdings, Inc. (OTC: ADHI) today announced that it has made a strategic decision to divest its ownership interest in Blackrock Midstream, as part of a broader initiative to refine its long-term focus on non-oil energy, infrastructure, and technology-enabled market opportunities. The Company emphasized that this decision does not impact Arsenal’s existing operations, which will continue uninterrupted.

Strategic Realignment with Operational Continuity

Arsenal’s decision reflects an intentional portfolio realignment designed to better align capital allocation, management focus, and strategic resources with markets offering scalable growth and long-term demand. Throughout this process, Arsenal will continue its existing operations, including its ongoing project development, advisory, and infrastructure-related activities, which remain core to the Company’s business.

Continued Collaboration with Blackrock Midstream

While Arsenal intends to divest its direct ownership in Blackrock Midstream, the Company remains actively engaged in discussions with Blackrock regarding potential joint venture and co-development arrangements. These discussions are focused on selectively pursuing projects that align with the strategic objectives of each company, allowing both organizations to collaborate where appropriate without requiring full balance sheet consolidation.

Arsenal believes a JV-based framework may provide a more flexible, capital-efficient structure to advance mutually beneficial projects, while enabling each company to independently execute its core strategy.

Refined Strategic Focus

Following the divestiture, Arsenal plans to increase its emphasis on non-oil-related opportunities, including energy transition infrastructure, power development, technology-enabled services, and vertically integrated verticals that support modern industrial and digital infrastructure. This strategic refinement is intended to enhance long-term value creation while preserving optionality across multiple sectors.

Capital Markets and Governance Initiatives

In parallel, Arsenal Chairman Jordan Mandel has been tasked to engage an independent audit firm within the coming weeks and complete the PCAOB-compliant audit, followed by the registration of its common stock. These steps represent important milestones in strengthening the Company’s governance framework. The organization will then be prepared to finalize opportunities that would reposition the company as it looks to advance its capital markets strategy.

Management Commentary

“This is a deliberate step in refining Arsenal’s strategy alignment while maintaining continuity across our existing operations,” said Ryan Messer, COO & Executive Director of Arsenal Digital Holdings. “Blackrock Midstream remains a strong operating business, and we believe a divestiture—combined with a potential JV structure—creates strategic flexibility for both organizations. At the same time, Arsenal continues to execute on its active projects and advance initiatives that align with where we see long-term growth.”

Outlook

Arsenal expects to provide additional updates as the divestiture process advances, discussions with Blackrock evolve, and the Company progresses through its audit and stock registration initiatives.