Recent Highlights
- Announced the execution of a definitive credit agreement
for $8.75 million in senior secured
project debt from BDC for construction of the Empower Calgary
Facility
- Announced a US$10.0 million
strategic investment over two phases from TAMKO Building
Products
- Announced the execution of a contribution agreement with
ERA for the government grant award of up to $7.1 million for the Empower Calgary
Facility
- The combination of funding from ERA, BDC and TAMKO fully
funds the development and construction of the Empower Calgary
Facility
VANCOUVER, BC, Aug. 24,
2023 /CNW/ - Northstar Clean Technologies Inc. (TSXV:
ROOF) (OTCQB: ROOOF) ("Northstar" or the "Company") is pleased to
announce that it has filed its second quarter 2023 unaudited
financial statements and management's discussion and analysis on
SEDAR for the six months ended June 30,
2023. These documents are also available on the Company's
website at www.northstarcleantech.com.
Mr. Aidan Mills, President &
CEO and Director of Northstar, stated, "Our recent progress was
punctuated by the execution of a term sheet for $8.75 million in debt with BDC in mid-June and
shortly thereafter, we entered into a definitive credit agreement
on similar terms in early July 2023.
Securing attractive project debt was a key part of our strategy to
fully fund the development and construction of the planned Empower
Calgary Facility."
"In July, we secured a US$10.0
million strategic investment from TAMKO, one of America's
largest independent shingle manufacturers. By closing Phase 1 of
this strategic investment of approximately C$8.5 million in preferred shares, in conjunction
with ERA and BDC, we have now fully funded the construction and
development of the Empower Calgary Facility. To bring on a
strategic equity investor, in a particularly challenging capital
markets environment, marks a major milestone for the Company."
"In summary, we have delivered four major milestones for the
Empower Calgary Facility in 2023: (i) a major multi-national
off-take partner to purchase 100% of our highest value product for
a minimum of 5 years at market based pricing, (ii) up to
$7.1 million in non-repayable
government grants from ERA, (iii) $8.75
million in long-term project debt from BDC on attractive
terms, and (iv) US$10 million in a
strategic equity investment from a major shingle manufacturer.
Despite challenging market conditions, we have delivered for
shareholders and are proud of our accomplishments."
Q2 2023 Highlights
- April 2023 – Announced a
non-brokered private placement of up to $2.0
million.
- April 2023 – Announced the
upsizing of the non-brokered private placement.
- April 2023 – Closed an
upsized non-brokered private placement of $2.73 million.
- April 2023 – Announced
updated preliminary project economics and an internal capital
estimate for the Empower Calgary Facility.
- May 2023 – Provided an
update on site development work at the Empower Calgary
Facility.
- May 2023 – Announced
completion of milestones required to commence detailed engineering
of the Empower Calgary Facility.
- June 2023 – Announced the
execution of a non-binding term sheet for $8.75 million in senior secured project debt with
Business Development Bank of Canada ("BDC").
Subsequent to Q2 2023
- July 2023 – Executed a
binding credit agreement for $8.75
million in debt with BDC.
- July 2023 – Announced a
US$10 million strategic investment
from Allmine Paving, a subsidiary of TAMKO Building Products LLC
("TAMKO"), which included the closing of a $8.5 million Phase 1 non-brokered private
placement of preferred shares at $0.29 per preferred share. Northstar and TAMKO
also entered into a memorandum of understanding for Northstar's
expansion plan into the United
States. Phase 2 is expected to be completed upon the
attainment of certain milestones
- July 2023 – Entered into a
contribution agreement with Emissions Reduction Alberta ("ERA") for
a government grant award of up to $7.1
million.
- August 2023 – Announced
the 2023 Annual General and Special Meeting ("AGSM") results and
subsequently appointed the TAMKO nominee, Mr. Jeffrey Beyer, to the Northstar Board of
Directors.
The Company would also like to remind investors that a recording
of the investor update held on August 1,
2023 is available on demand here.
About Northstar
Northstar Clean Technologies Inc. is a Canadian-based clean
technology company focused on the sustainable recovery and
reprocessing of asphalt shingles. Northstar has developed a
proprietary design process for taking discarded asphalt shingles,
otherwise destined for already over-crowded landfills, and
extracting the liquid asphalt for use in new hot mix asphalt,
shingle manufacturing and asphalt flat roof systems, and aggregate
and fiber for use in construction products and other industrial
applications. Focused on the circular economy, Northstar plans to
reprocess used or defective asphalt shingle waste back into its
three primary components for reuse/resale at its first commercial
scale up facility in Calgary,
Alberta. As an emerging innovator in sustainable processing,
Northstar's mission is to be the leader in the recovery and
reprocessing of asphalt shingles in North
America, extracting the recovered components from asphalt
shingles that would otherwise be sent to landfill.
For further information about Northstar, please visit
www.northstarcleantech.com.
On Behalf of the Board of Directors,
Aidan Mills
President & CEO, Director
Neither the TSXV nor its Regulation Services
Provider (as that term is defined in the policies of the TSXV)
accepts responsibility for the adequacy or accuracy of this
release. The TSXV has neither approved nor disapproved the contents
of this press release.
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SOURCE Northstar Clean Technologies Inc.