ECM:CC - Ecolomondo Releases its Interim Consolidated Financial Statements for the Third Quarter of 2022
(TheNewswire)
Montreal, QC – TheNewswire- November 28, 2022 -- 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 building andoperating of turnkey TDP facilities globally, announces that it has released its unaudited consolidatedfinancial statements and notes thereto and its related managementdiscussion and analysis for the interim period ended September 30,2022 (the “ Interim FinancialStatements ”). The documents are available onSEDAR at www.sedar.com
Highlights of the Q3 Interim Financial Statementsare:
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As of September 30, 2022, total assets were$43,072,364, compared to $41,587,914 as of December 31, 2021, anincrease of $1,484,450 during the period.
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As of September 30, 2022, the Company invested$40,798,531, an increase of $5,861,332 compared to December 31, 2021in its Hawkesbury TDP turnkey facility.
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The Company signed a Third Amending Agreement with thefinancing organization, Export Development Canada ( EDC ”), on August25, 2022.
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General and administrative expenses and Operating,research and development expenses increased marginally compared to thethird quarter of 2021, mostly due to increases in managerial costs forthe Hawkesbury project and costs related to its commissioning, alongwith costs related to the Company’s marketing and expansionactivities.
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Despite a working capital deficit, management expectsthat it will materially improve with (i) the recent exercise of$1,000,000 of stock options by Mr. Eliot Sorella, President CEOo f the Company , (ii) thecompletion of the transaction with the joint venture partner in theHawkesbury project, (iii) the soon anticipated start-up of operationsat the Hawkesbury facility, (iv) the execution of the Third AmendingAgreement with Export Development Canada, and (v) the anticipatedcapital raise. The Company is currently assessing its working capitalneeds to determine the final amount that it will plan to raise.
For more details on these Q3 Interim FinancialStatements of Ecolomondo, visit www.sedar.com or www.ecolomondo.com
Management expects to soon begin to generate positiverevenues because of the imminent start of commercial operation at theHawkesbury TDP facility.
As detailed in the Management’s Discussion andAnalysis of the Interim Financial statements ( “ MDA ”) , the Hawkesbury facility was still the focus of the Companyduring the third quarter of 2022.
Subsequent Events to theQuarter
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On November 16, 2022, the Company received finalcertification from TSSA (Technical Standards and Safety Authority). Assoon as the thermal reactors are safety and leak tested one last time,the Company expects to start processing rubber waste with a gradualramp-up of production to follow.
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Mr. Hari K. Mynampati was appointed as the new facilitymanager. Mr. Mynampati brings with him extensive experience in thecarbon black industry, including 1½ years at Ecolomondo as GlobalSales Director, End-Products. Mr. Mynampati will supervise thestart-up and the beginning of operations of the Hawkesbury plant.
In line with its global expansion strategy, the Companyrecently announced its latest project, a six-reactor TDP facility tobe located in Shamrock, Texas, which is expected to be 3 times thesize and capacity of the Hawkesbury facility. The Company alsoannounced on October 3, 2022, that the total budgeted cost of theShamrock project is approximately US$93 million, and that the Companyhas engaged the services of a leading U.S. Investment Bank to adviseon the financing, which is projected to be approximately US$73million. It is anticipated that the financing to close in the secondquarter of 2023, with ground breaking to begin soon thereafter.
TDP is Environmentally Friendly –CO 2 Reduction
By producing rCB, TDP reduces GHG emissions by 90% versus theproduction if virgin carbon black. The production of rCB at theHawkesbury and Shamrock facilities will reduce CO 2 emissions by 22,400 and 67,200 tonsper year, respectively.
About TDP
The TDP system is technically proven and issuperior to other pyrolysis technologies. Over the years, ourTechnical Teams were able to overcome all uncertainties that plaguedmost competitors especially in these areas: pre-filtration, reactorcooling, reactor rotation, reactor evacuation, water recycling,cleaning of rCB (hydrocarbon removal), mass monitoring, heat curvedevelopment, humidity and water removal, safety testing, full systemautomation, emissions control and monitoring, rCB and pyrolysis oilpost processing, efficient syngas reuse.
About Ecolomondo Corporation
Ecolomondo Corporation is a Canadian cleantech company headquarteredin Québec, Canada with an over 25-year history focused onwaste-to-resource technology development and deployment. Ecolomondohas developed the proprietary TDP which recovers high value circularcommodities from end-of-life tires including rCB, oil and steel. TDPlowers carbon emissions by up to 90% versus virgin carbon blackproduction. Ecolomondo has adopted a triple bottom line approach tobusiness focused on people, planet, and profit.Ecolomondo trades on the TSX Venture Exchange under the symbol(TSXV:ECM). To learn more, visit www.ecolomondo.com
Ecolomondo Corporation Contact
Eliot Sorella
Chairman and Chief Executive Officer, Ecolomondo
Tel: (450) 587-5999
esorella@ecolomondocorp.com
www.ecolomondo.com
Cautionary NoteRegarding Forward Looking Statements
The information in this news release includes certaininformation and statements about management's view of future events,expectations, plans and prospects that constitute forward lookingstatements. These statements are based upon assumptions that aresubject to significant risks and uncertainties. Because of these risksand uncertainties and as a result of a variety of factors, the actualresults, expectations, achievements or performance may differmaterially from those anticipated and indicated by theseforward-looking statements. Although Ecolomondo believes that theexpectations reflected in forward looking statements are reasonable,it can give no assurance that the expectations of any forward-lookingstatements will prove to be correct. Except as required by law,Ecolomondo disclaims any intention and assumes no obligation to updateor revise any forward-looking statements to reflect actual results,whether as a result of new information, future events, changes inassumptions, changes in factors affecting such forward-lookingstatements or otherwise.
Neither TSX Venture Exchange nor its RegulationServices Provider (as that term is defined in the policies of the TSXVenture Exchange) accepts responsibility for the adequacy or accuracyof this release.
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