Ecolomondo Concludes $3 Million Loan with EDC
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Montreal, QC, July 18, 2024 – TheNewswire – Ecolomondo Corporation (TSXV: ECM) (OTC: ECLMF) (the “Company” or “Ecolomondo”), a cleantech company specializing in the commercialization of its Thermal Decomposition Process (“TDP”) proprietary recycling technology and the global deployment of TDP turnkey facilities, has concluded the final documentation to the previously announced $3 million loan (the “Loan”) with Export Development Canada (“EDC”).
This Loan, previously announced on May 28, 2024, is in addition and separate to the original Loan of $32.1 million that was executed in April 2019 and restructured in December 2023 with a restated capital amount of $37,903,920. The original $32.1 million project financing Loan with EDC was to finance the construction of the Company’s first of its kind new turnkey thermal decomposition facility in the Town of Hawkesbury, Ontario (the “Hawkesbury facility”) that will process end-of-life tires to produce re-usable sustainable resources.
The Loan of $3 million is extended to the Company’s subsidiary, Ecolomondo Environmental (Hawkesbury) Inc., owner of the Hawkesbury facility. The additional funds will improve the Hawkesbury subsidiary’s cash position and pay for additional equipment needed to bring the Hawkesbury plant to full commercial operation.
The Loan calls for a 2-year term, with a floating interest rate of prime plus 8%. Interest payments will be capitalized until February 28, 2025 and payable thereafter on a monthly basis. Principal along with the interest will be repaid in monthly installments over a period of 12 months starting April 2025.
The collateral to the Loan is a first rank security interest and hypothec of $3 million on all of the borrower’s future and present personal/movable property, and real immovable property owned by Ecolomondo Environmental (Hawkesbury) Inc.
“We are pleased to receive EDC’s confidence and their continuous support. This important step will enable Ecolomondo to reach its full potential and significantly contribute to the global circular economy”, says Gary Economo, Ecolomondo’s CEO.
Issuance of Stock Options to An Employee
The Company’s subsidiary, Ecolomondo Environmental (Hawkesbury) Inc., hired Mr. Ross Burt on June 10, 2024 as Plant Manager for the Hawkesbury facility. Concurrent with his appointment and subject to the acceptance of the TSX Venture Exchange where applicable, the Company announces the grant of 250,000 stock options for the purchase of 250,000 common shares of the Company at an exercise price of $0.26875 per share for a period of five years from the date of grant.
All options issued were granted in accordance with and subject to the Company’s stock option plan and are also subject to the applicable policies of the TSX Venture Exchange.
Correction to a Previous Press Release on Mr. Gary Economo
The press release dated May 1, 2024, announcing the appointment of Mr. Gary Economo as CEO, indicated that “Concurrent with the appointment of Mr. Economo and subject to the acceptance of the TSX Venture Exchange where applicable, the Company announces the grant of 1,100,000 stock options at a price of $0.165 (the “Options”). The Options shall be exercised at the latest on the first-year anniversary of the appointment (…)”.
The text should have read “(…) Options shall be exercised at the latest on the second-year anniversary of the appointment(…)” (emphasis added).
About Ecolomondo Corporation
Ecolomondo Corporation is a Canadian cleantech company that prides itself after its proprietary Thermal Decomposition technology TDP which is headquartered in Québec, Canada. It has a 25-year history and during this time has been focused on its development of its technology and the deployment of TDP turnkey facilities. TDP recovers high value re-usable commodities from scrap tire waste, notably rCB, oil, syngas, fiber and steel. Ecolomondo expects to be a leading player in the cleantech space and be an active contributor to the global circular economy. Ecolomondo trades in Canada on the TSX Venture Exchange under the symbol (TSXV:ECM) and in the United States under the symbol (OTCQB:ECLMF). To learn more, visit www.ecolomondo.com
About the Hawkesbury Plant – A 2-Reactor TDP Facility
The Hawkesbury facility building is 46,200 sq.ft and has an impressive indoor clearance of 28 feet. It is state-of-the-art and houses 4 main production departments, tire shredding, thermal decomposition, recycled carbon black refining and oil fractionation. Once fully operational, this facility is expected to process 1.3M of scrap tires per year and produce 8.7M lbs of recovered carbon black, 34,608 barrels of oil, 2.9M lbs of steel, and 2.6M lbs of process gas.
About the Shamrock Project – A 6-Reactor TDP Facility
Processing capabilities for the Shamrock facility is projected at 5.5M per year of end-of-life tires, yielding approximately 35.1M lbs of recovered carbon black, 128,100 barrels of oil, 11.9M lbs of steel, and 10.6M lbs of syngas; roughly three times the size of the Company’s Hawkesbury (Ontario) plant output. Facility construction is expected to begin by the third quarter of 2024 with completion expected by the end of the fourth quarter of 2025. Projected cost to build is approximately US $93 million.
Our Mission, Vision & Strategy
Ecolomondo’s mission is to be a contributing participant in a dynamic Circular Economy and to increase shareholder value by producing and supplying large quantities of recovered resources to be re-used in the manufacture of new products.
Ecolomondo’s vision is to be a leading producer and reseller of recovered resources by building and operating TDP facilities, strategically located in industrialized countries, close to feedstock, labor and offtake clients.
Our strategy is to become a major global builder and operator of TDP turnkey facilities, for now specializing in the processing of ELTs. Our intent is to expand aggressively in North America and Europe. Our experience and modular technology should help us get there faster and better. We plan to keep performing ongoing research and development to ensure that Ecolomondo remains technologically advanced.
ISCC Certification
ISO Certification
The Company has obtained ISO 9001:2015, ISO 14001:2015 & ISO 45001:2018 certification of its Integrated Management System (IMS), which acknowledges Ecolomondo’s commitment for quality, environmental impact and health and safety at work.
Environmental, Social & Governance (ESG)
On the social aspect the Company plans to measure global health and safety, injury rate and gender diversity, and finally in the corporate governance aspect, the Company is measuring ethics and anticorruption, ESG reporting and board independence.
About TDP
The TDP process is technically proven and more advanced than most other pyrolysis technologies. Over the years, our Technological teams were able to overcome all uncertainties that plagued most competitors especially in these areas: pre-filtration, reactor cooling, reactor rotation, water recycling, processing of rCB, (hydrocarbon removal), mass monitoring, heat curve development, humidity and water removal, safety testing, system automation, emissions control and monitoring.
TDP is Environmentally Friendly – CO2 Reduction
By producing rCB, TDP reduces GHG emissions by 90% versus the production of virgin carbon black. The production of rCB at the Hawkesbury and Shamrock facilities are expected to reduce CO2 emissions by 22,400 and 67,200 tons per year, respectively.
Please follow Ecolomondo on Twitter, Facebook, LinkedIn, Instagram and YouTube.
Twitter: https://twitter.com/EcolomondoECM
Facebook: https://www.facebook.com/EcolomondoECM
LinkedIn: https://www.linkedin.com/company/ecolomondo/
Instagram: https://www.instagram.com/ecolomondoecm/
YouTube: https://www.youtube.com/@Ecolomondo
Ecolomondo Corporation Contact
Gary Economo
Chief Executive Officer, Ecolomondo
Tel: (450) 587-5999
geconomo@ecolomondocorp.com
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 assurance 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.