Ecolomondo Reports on The Progress of Its New Hawkesbury TDP Turnkey Facility
Montreal – TheNewswire - April 6, 2021 Ecolomondo Corporation (TSXV:ECM) (the “Company” or “Ecolomondo”) reports on the progress of construction of its new, first of its kind, Thermal Decomposition (“TDP”) turnkey facility that is being built in Hawkesbury, Ontario.
Construction continues to progress at a very rapid pace and is nearing completion. Mechanical assembly and installation are scheduled to be completed by the end of May 2021, with commissioning to begin in June 2021. Once built, the plant will be equipped with the latest technology and is designed to ensure efficient handling of large quantities of feedstock (scrap tires) and end-products: oil, steel, fiber, recycled carbon black and process gas). The building is 46,200 sq.ft and has an impressive indoor clearance of 28 feet. It is state-of-the-art and houses 3 main production departments, tire shredding, thermal decomposition and recycled carbon black refining.
“Every time I visit the Hawkesbury site, it is gratifying to see its progress. It is exciting to see the actual result and to know that the production kick-off date will be happen very soon!”, says Eliot Sorella, Chairman & CEO of the Company.
In spite of the delays to the start-up date mostly caused by the pandemic, the project cost and cash flows remain mostly within the guidelines of the loan covenants with Export Development Canada (EDC).
Total estimated budget for the Hawkesbury TDP turnkey facility stands at approximately $37.6 million, of which approximately $32.1 million comes from the loan facility from EDC and the balance of approximately $5.5 million from the Company, which the Company has already contributed.
As of March 31, 2021, total drawdowns from the loan facility with EDC totaled $25.8 million and as of April 30, 2021, capital expenditures for the Hawkesbury facility are expected to be approximately $31.3 million, including approximately $5.5 million paid by the Company, mostly used for site purchase, engineering, site preparation, building construction, labor, permitting, equipment purchases and installation.
Below are various pictures taken on April 1, 2021, showing the Hawkesbury TDP turnkey facility:
Please visit the Company’s website at www.ecolomondo.com to view more pictures on the progress of construction.
Once built and fully operational, the Hawkesbury TDP turnkey 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, 850 tons of fiber and 1,600 tons of process gas.
The Hawkesbury TDP turnkey facility is expected to be the first of its kind and consist of four different departments: shredding, thermal process, recovered carbon black processing and oil distillation.
Management expects to use the Hawkesbury facility as the technological showcase of a TDP turnkey facility in commercial operations, an important step in the Company’s marketing and future global growth strategy.
Impact of the COVID-19 Pandemic
The Company has taken and will continue to take all necessary precautions needed to reduce the impact of the crisis created by the coronavirus. The Company notes that the pandemic was responsible for certain delays to the project schedule by as much as 6 months and it may be further impacted if the current situation persists. Consequently it is impossible to determine with accuracy future disruptions that may arise or that may negatively impact the project schedule and costs due to a persistent pandemic.
About Ecolomondo Corporation
Ecolomondo is a cleantech Canadian company that is commercializing its waste-to-products technology. The TDP process 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 many 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.
For further information please contact:
Chairman and Chief Executive Officer, Ecolomondo
Tel: (450) 587-5999
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.
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