Q1 2024 Highlights
- Entered into a five-year asphalt shingle supply agreement with leading Canadian shingle manufacturer IKO Industries and received IKO's first delivery of shingles under the agreement at the Empower Calgary Facility
- Closed final tranche of over-subscribed private placement, totaling over $3.6 million
- Cumulative capital expenditures for the Empower Calgary Facility reaches $4.4 million, a 67% increase over the previous quarter
VANCOUVER, BC and CALGARY, AB, May 31, 2024 /PRNewswire/ - Northstar Clean Technologies Inc. (TSXV: ROOF) (OTCQB: ROOOF) ("Northstar" or the "Company") is pleased to announce that it has filed its first quarter 2024 unaudited financial statements and management's discussion and analysis for the three months ended March 31, 2024 on the Company's profile at SEDAR+ at www.sedarplus.ca. These documents are also available on the Company's website at www.northstarcleantech.com.
Mr. Aidan Mills, President & CEO and Director of Northstar, stated, "In the first quarter of 2024 we continued to secure our feedstock supply by signing a five-year supply agreement for asphalt shingles with IKO Industries, one of Canada's leading asphalt shingle manufacturers. This agreement, coupled with the recently announced Ecco Recycling supply agreement, places the Empower Calgary Facility in a strong position for both pre- and post-commissioning supply. The potential for 500,000 tonnes of shingle supply from Ecco Recycling's Calgary C&D landfill could be game-changing. We continue to remain on track and focused on commencing commissioning at the Empower Calgary Facility by the end of this year. Northstar is well on its way at the Empower Calgary Facility and we are now only two quarters away from delivering a first-of-its-kind clean technology."
Mr. Mills continued, "Looking forward, we have initiated planning for our first U.S. facility in the Mid-Atlantic Region, which is expected to be near TAMKO's Maryland shingle manufacturing facility. While our core focus is on the Empower Calgary Facility in 2024, the U.S. expansion will be a core focus for our company in 2025. Given the high population density and the prevalence of asphalt shingles, we believe the northeast U.S. offers an incredibly attractive market for us and we intend on expanding there as soon as practically possible."
Q1 2024 Highlights
- January 2024 - Announced a five-year manufacturing waste asphalt shingle supply agreement with IKO Industries Ltd. ("IKO") for the Empower Calgary Facility.
- January 2024 - Received the first delivery of asphalt shingles from IKO at the Empower Calgary Facility.
- February 2024 - Announced the closing of final tranche of over-subscribed private placement, totaling over $3.6 million.
Subsequent to Q1 2024
- April 2024 - Received approval from Emissions Reduction Alberta ("ERA") for the first grant funding milestone following completion of detailed engineering design.
- April 2024 - Northstar and TAMKO Building Products ("TAMKO") selected TAMKO's Frederick, Maryland plant as the first U.S. supply location.
- April 2024 - Received $1.34 million from ERA following approval of the first grant funding milestone following completion of detailed engineering design.
- April 2024 - Announced a three-year asphalt shingle supply agreement with Ecco Recycling & Energy Corporation ("Ecco Recycling") for the Empower Calgary Facility and plans to complete a landfill supply study for Ecco Recycling's C&D landfill in Calgary, which has an estimated 500,000 tonnes of potential shingle supply.
- April 2024 - Received the first delivery of asphalt shingles from Ecco Recycling at the Empower Calgary Facility.
- April 2024 - Received the first long-lead equipment item, an advanced shingle grinding machine from Rotochopper, at the Empower Calgary Facility.
- May 2024 - Issued a follow-on patent by the United States Patent and Trademark Office ("USPTO") for the Company's proprietary technology for reprocessing asphalt shingles. This was the second patent issued to Northstar by the USPTO.
- May 2024 - Accelerated TAMKO's Phase 2A investment and closed a US$1.8 million private placement of convertible debentures.
Q1 2024 Financial Summary
(in '000s CAD) | Q1'23 | Q2'23 | Q3'23 | Q4'23 | Q1'24 |
Cash Balance | 1,114 | 655 | 8,545 | 7,648 | 5,987 |
Empower Calgary Facility | 439 | 439 | 581 | 2,623 | 4,371 |
Cumulative Capital Expenditures | |||||
Revenue | 21 | 55 | 64 | 67 | 71 |
Expenses | |||||
R&D Expense | 329 | 244 | 174 | 31 | - |
G&A Expense | 1,462 | 1,510 | 1,493 | 2,018 | 1,884 |
About Northstar
Northstar Clean Technologies Inc. is a Canadian 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
Cautionary Statement on Forward-Looking Information
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.
This press release may contain forward-looking information within the meaning of applicable securities legislation, which forward-looking information reflects the Company's current expectations regarding future events. Forward-looking statements are often identified by the words "may", "would", "could", "should", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" or similar expressions. Forward-looking statements in this press release include, but are not limited to, statements concerning: (i) the anticipated development and building of the Empower Calgary Facility; (ii) the continued supply of asphalt shingles to Northstar's Calgary Facility; (iii) the potential for supply of 500,000 tonnes of shingles from Ecco Recycling & Energy Corporation; (iv) the building of a Northstar facility in the US; and (iv) Northstar's ability to become a leader in the recovery and reprocessing of asphalt shingles in North America . Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including risks related to factors beyond the control of the Company as well as those risks and uncertainties which are more fully described under the heading "Risk Factors" in the final prospectus of the Company dated June 18, 2021 and in the Company's annual and quarterly management's discussion and analysis and other filings with the Canadian securities regulatory authorities under the Company's profile on SEDAR+. Further, the ongoing labour shortages, high energy costs, inflationary pressures, rising interest rates, the global financial climate and the conflicts in Ukraine and Palestine and surrounding regions are some additional factors that are affecting current economic conditions and increasing economic uncertainty, which may impact the Company's operating performance, financial position, and future prospects. Collectively, the potential impacts of this economic environment pose risks that are currently indescribable and immeasurable. Readers are cautioned that forward-looking statements are not guarantees of future performance or events and, accordingly, are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty of such statements. These forward-looking statements are made as of the date of this news release and, unless required by applicable law, the Company assumes no obligation to update these forward-looking statements.
SOURCE Northstar Clean Technologies Inc.
