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Additional Information and Where to Find It; Participants in the
Solicitation In connection with the proposed transaction, IKONICS intends to file relevant materials with the United States Securities
and Exchange Commission (the “SEC”), including a combined proxy statement and registration statement on Form S-4. Following
the filing of the definitive proxy statement with the SEC, IKONICS will mail the definitive proxy statement and a proxy card to each
shareholder entitled to vote at the special meeting relating to the proposed transaction. The proxy statement, any other relevant documents,
and all other materials filed with the SEC concerning IKONICS are (or, when filed, will be) available free of charge at http://www.sec.gov
and http:/www.ikonics.com/investor-relations. Shareholders should read carefully the proxy statement and any other relevant documents
that IKONICS files with the SEC when they become available before making any voting decision because they will contain important information.
This communication does not constitute a solicitation of proxy, an offer to purchase, or a solicitation of an offer to sell any securities.
IKONICS its directors and executive officers are deemed to be participants in the solicitation of proxies from shareholders in connection
with the proposed transaction. Information regarding the names of such persons and their respective interests in the transaction, by
securities holdings or otherwise, will be set forth in the definitive proxy statement when it is filed with the SEC. Additional information
regarding these individuals is set forth in its annual report on Form 10-K for the fiscal year ended December 31, 2020, its definitive
proxy statement for the annual meeting held on April 29, 2021, and the revised definitive proxy statement for the same meeting, which
were filed with the SEC on March 3, 2021, March 23, 2021, and April 6, 2021, respectively. To the extent IKONICS directors and executive
officers or their holdings of IKONICS securities have changed from the amounts disclosed in those filings, to IKONICS knowledge, such
changes have been reflected on initial statements of beneficial ownership on Form 3 or statements of change in ownership on Form 4
on file with the SEC. These materials are (or, when filed, will be) available free of charge at http://www.Ikonics.com/investor-relations.
Forward Looking Statements This communication contains “forward-looking statements” within the meaning of the U.S. federal
securities laws. Such statements include statements concerning anticipated future events and expectations that are not historical facts.
All statements other than statements of historical fact are statements that could be deemed forward-looking statements. Actual results
may vary materially from those expressed or implied by forward-looking statements based on a number of factors, including, without
limitation: (1) risks related to the consummation of the mergers, including the risks that (a) the mergers may not be consummated within
the anticipated time period, or at all, (b) the parties may fail to obtain shareholder approval of the merger agreement, (c) other
conditions to the consummation of the mergers under the merger agreement may not be satisfied, (d) all or part of TeraWulf’s
contemplated financing in connection with the mergers may not become available, and (e) the significant limitations on remedies contained
in the merger agreement may limit or entirely prevent a party from specifically enforcing another party’s obligations under the
merger agreement or recovering damages for any breach; (2) approval of the combined company's application to list its shares on the
Nasdaq; (3) no assurance that future developments affecting TeraWulf will be those that it has anticipated; (4) the effects that any
termination of the merger agreement may have on a party or its business, including the risks that (a) the price of IKONICS common stock
may decline significantly if the mergers are not completed, (b) the merger agreement may be terminated in circumstances requiring IKONICS
to pay TeraWulf a termination fee of $1.2 million, or (c) the circumstances of the termination, may have a chilling effect on alternatives
to the mergers; (5) the effects that the announcement or pendency of the mergers may have on IKONICS and its business, including the
risks that as a result (a) the business, operating results or stock price of IKONICS may suffer, (b) its current plans and operations
may be disrupted, (c) the ability of IKONICS to retain or recruit key employees may be adversely affected, (d) its business relationships
(including, customers, franchisees and suppliers) may be adversely affected, or (e) management and employee attention may be diverted
from other important matters; (6) the effect of limitations that the merger agreement places on IKONICS’s ability to operate
its business, return capital to shareholders or engage in alternative transactions; (7) the nature, cost and outcome of pending and
future litigation and other legal proceedings, including any such proceedings related to the transactions and instituted against IKONICS
and others; (8) the risk that the transaction may involve unexpected costs, liabilities or delays; (9) other economic, business, competitive,
legal, regulatory, and/or tax factors; (10) the possibility that less than all or none of the legacy IKONICS business will be sold
prior to the expiration of the CVRs; and (11) other factors described under the heading “Risk Factors” in Part I, Item
1A of IKONICS’s annual report on Form 10-K for the fiscal year ended December 31, 2020, as updated or supplemented by subsequent
reports that IKONICS has filed or files with the SEC. Potential investors, shareholders and other readers are cautioned not to place
undue reliance on these forward-looking statements, which speak only as of the date on which they are made. Neither TeraWulf nor IKONICS
assumes any obligation to publicly update any forward-looking statement after it is made, whether as a result of new information, future
events or otherwise, except as required by law. For additional information, please visit www.TeraWulf.com or follow @TeraWulfInc on
Twitter.
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