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MONTREAL, Feb. 27, 2019 /CNW Telbec/ - Ecolomondo
Environmental (Hawkesbury)
Inc., a subsidiary of Ecolomondo Corporation (TSXV:
ECM) ("the Company" or "Ecolomondo"), is pleased
to announce that it has secured an amount of CAD 32.1 million in project financing
("Financing") from Export Development Canada ("EDC")
to build the Company's new, first of its kind turnkey Thermal
Decomposition ("TDP") facility that will be located on
Tessier Street in the Town of Hawkesbury,
Ontario.
Ecolomondo expects to achieve financial close by the end of
March 2019, subject to satisfactory
documentation of the loan agreement and satisfaction of customary
representations, warranties, covenants and conditions that are
customary to these types of loans. The loan will bear a floating
interest rate using a Canadian reference base rate plus a
market-based margin and it will mature on March 31, 2031.
Proceeds of the financing are to be used for engineering,
construction and commissioning of the Company's new TDP turnkey
facility. The facility will be equipped with 2 of the latest
generation reactors capable of processing at least 14,000 tons of
tire waste per year yielding 5,300 tons of recycled carbon black,
42,700 barrels of oil, 1,800 tons of steel and 1,600 tons of
gas.
Management plans to break ground for the construction of the
building in April 2019 and expects to
begin commercial operations in the first quarter of 2020.
"The Hawkesbury turnkey
facility will be one of the most technologically advanced thermal
decomposition facilities in the world. It will be a technological
showpiece that will demonstrate the commercial viability of our
turnkey plants and that will set the stage for Ecolomondo's future
expansion", said Elio Sorella,
President and CEO, Ecolomondo.
About EDC
Export Development Canada (EDC) is a financial Crown corporation
dedicated to helping Canadian companies of all sizes succeed on the
world stage. As international risk experts, we equip Canadian
companies with the tools they need – the trade knowledge, financing
solutions, investments, insurance, and connections – to take on the
world with confidence. Underlying all our support is a commitment
to sustainable and responsible business.
About Ecolomondo Corporation
Ecolomondo is a cleantech Canadian company that is
commercializing its waste-to-products technology. The Thermal
Decomposition Process ("TDP") converts hydrocarbon waste
into marketable commodity end-products, namely carbon black
substitute, oil, gas and steel. Technologies such as Ecolomondo's
are expected to play an important role in resource recovery needed
in today's circular economy.
Management believes that technological breakthroughs in areas of
emissions, process optimization, automation, end-product processing
and safety, position Ecolomondo to become an industry leader.
The Company's main revenues will come from the sale of TDP
turnkey facilities and royalties from their operations. TDP
facilities will generate revenues from the sale of end-products,
tipping fees and carbon credits. Ecolomondo's first focus is to
market TDP turnkey facilities that use scrap tires as a feedstock,
because scrap tires yield end-products with a higher commercial
value, especially the recycled carbon black.
Cautionary Note Regarding Forward Looking Statements
The information in this news release includes certain
information and statements about management's view of future
events, expectations, plans and prospects that constitute forward
looking statements. These statements are based upon assumptions
that are subject to significant risks and uncertainties. Because of
these risks and uncertainties and as a result of a variety of
factors, the actual results, expectations, achievements or
performance may differ materially from those anticipated and
indicated by these forward looking statements. Although Ecolomondo
believes that the expectations reflected in forward looking
statements are reasonable, it can give no assurances that the
expectations of any forward looking statements will prove to be
correct. Except as required by law, Ecolomondo disclaims any
intention and assumes no obligation to update or revise any forward
looking statements to reflect actual results, whether as a result
of new information, future events, changes in assumptions, changes
in factors affecting such forward looking statements or
otherwise.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
www.ecolomondo.com
SOURCE Ecolomondo Corp