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MONTREAL, April 3, 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 entered this day into a loan agreement
("Loan") for an amount of CAD 32.1
million in project financing ("Financing") with
Export Development Canada ("EDC"), the proceeds of which are
to be used 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.
This Loan Facility reflects the term sheet that was previously
entered into on February 27, 2019 and
as announced in a previous press release. The Loan will bear a
floating interest rate using a Canadian reference base rate plus a
market-based margin. Scheduled drawdowns are to begin in
August 2019 upon completion of
conditions precedent to funding, which are customary to financings
of this nature. Repayment of the Loan is scheduled to commence on
March 31, 2021 and the Loan will
mature on June 30, 2031.
Once built and fully operational, this turnkey TDP facility is
expected to process a minimum of 14,000 tons of tire waste per year
and to produce 5,300 tons of recycled carbon black, 42,700 barrels
of oil, 1,800 tons of steel and 1,600 tons of process gas.
Management now expects to break ground by June 2019 and to begin commissioning of the TDP
facility in the first quarter of 2020, as originally scheduled.
"Ecolomondo is proud to conclude this loan agreement for this
innovative project and proud to do so with an extremely
professional organization such as Export Development Canada. EDC
will be a key player in the commercialization of our cleantech
proprietary technology and in doing so EDC is supporting the
development of Ecolomondo's future expansion both in Canada and overseas", 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, EDC equips 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 EDC 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.
SOURCE Ecolomondo Corp
