Montreal, QC – TheNewswire - May 29, 2025 -- Ecolomondo Corporation (TSXV: ECM) (OTCQB: ECLMF) (the “Company” or “Ecolomondo”), a leading Canadian innovator in sustainable scrap tire recycling technology, announces the release of its unaudited consolidated financial statements and notes thereto and its related management discussion and analysis for the three-month period ended March 31, 2025. The documents are available on SEDAR at www.sedar.com

 

During the quarter ended March 31, 2025, the Company achieved some important milestones and continued to work on its final ramp-up at its Hawkesbury TDP turnkey facility in Ontario, Canada.

 

During the first quarter of 2025, the Company concluded important financial agreements with Export Development Canada (“EDC”), beginning with a $2 million credit facility. In April 2025, the Company also received a temporary principal and interest postponement from its bankers (EDC) on its 3 loans ($37.9M signed in December 2023, the credit facility of $3M signed in July 2024, and the credit facility of $2M signed in January 2025), with final documentation signed in April 2025. These agreements with EDC help the Company improve its working capital and should bring investors a higher confidence, which is crucial for the Company to raise capital.

 

During the quarter, an important achievement was to complete the installation and start of commissioning of the new milling equipment, in the recovered Carbon Black (“rCB”) department. The new milling machine is fully automated, using Human-Machine Interface (“HMI”) technology. During the first quarter of 2025, the new milling machine was tested and the results produced an output of 3,000 lbs per hour of rCB, with a particle size distribution of at least 97% below 15 microns. The rCB throughput achieved more than satisfies the rCB requirements of the total Hawkesbury plant output and the particle size achieved at D97 below 15 microns should more than satisfy the most stringent demands of the Company’s off-take customers. The particle size distribution achieved was also independently tested by a third party, Polytechnique de Montréal. The installation of the new equipment has been completed and the commissioning is currently ongoing; management expects to complete the commissioning in the second quarter of 2025. The commissioning and start-up of the milling line should allow the Hawkesbury facility to achieve full ramp-up in the coming month.

 

Even though the production of the Hawkesbury plant was limited by the bottleneck caused by not having the capacity to process rCB, the plant continued shredding more scrap tires, collecting more tipping fees, selling more steel and selling more pyrolysis oil, resulting with higher revenues every quarter since early 2024. As announced in early January 2025, the Company completed successfully its 100th TDP batch, some of them in simultaneous production cycles at optimal payload using both reactors, and took delivery of its new milling machine and completed its installation. Thanks to these minimal operations, during the first quarter of 2025, revenues were $193,681, compared to $104,995 for the same period of 2024, representing an increase of 84%.

 

During the first quarter of 2025, the Company also executed key agreements:

• It appointed Forvis Mazars LLP (“Forvis Mazars”) as its independent auditor, effective February 10, 2025, until the next annual general meeting of the Company.  

• It signed a letter of intent, announced on January 14, 2025, for a joint venture with Alternativas Riojanas Eolicas y Solares S.L. (ARESOL”) to build a 20,000 metric tons/year of end-of-life tires TDP facility in Spain.  

• It is currently in advanced discussions with several strategic partners for the Shamrock project, now expected to begin in the first quarter of 2026.  

 

Highlights of the unaudited consolidated financial statements and notes thereto for the interim period ended March 31, 2025, are:

• The Company had revenues of $193,681, representing an increase of 84% over the same period in 2024, mostly from the sale of end-products produced at the Hawkesbury facility. 

• Loss for the quarter was reduced to $1,295,443, compared to $1,531,713 for the same period in 2024, mainly due to a reduction in General and administrative expenses and increased revenues from the sale of end-products and tipping fees. 

• As of March 31, 2025, capital expenditures for the Hawkesbury TDP turnkey facility totaled $49,856,991, net of depreciation.  

 

As of March 31, 2025, the Company had cash on hand of $449,019. The Company expects to use a total of $3,000,000 over the next fiscal year, mostly for working capital, commissioning, ramp-up and maintenance of equipment at its Hawkesbury facility. Besides the $2M loan from EDC received in January and March 2025, the Company recently completed a capital raise via a LIFE private placement in May 2025 for $1,000,000 (see section below “Subsequent events” for details).

 

For subsequent events to the quarter ended March 31, 2025:

• Final documentation with EDC was signed in April 2025 for a temporary principal and interest postponement on its 3 loans that were extended to the Company (the main Amended and Restated Loan Agreement of $37.9M signed in December 2023, the credit facility of $3M signed in July 2024, and the credit facility of $2M signed in January 2025). 

• On April 30, 2025, the Company announced a non-brokered private placement for gross proceeds of up to $1,000,000 by issuing 6,201,550 units of the Company (each, a "Unit") at a price of $0.16125 per Unit, which closed on May 20, 2025. Each Unit consists of one common share and one common share purchase warrant.  Each Warrant shall entitle the holder to purchase one Common Share of the Company at a price of C$0.24 at any time on or before that date which is 2 years after the closing date of the Offering, provided that if the closing price of the Common Shares on the TSX Venture Exchange is equal to or greater than $0.35 for a period of 15 consecutive trading days, the Company may accelerate the expiry date of the Warrants by disseminating a press release within 7 calendar days after the 15th trading day, and in such case the Warrants will expire on the 30th day after the date on which such press release is disseminated. 

 

CURRENT EVENTS

New Ecolomondo Podcast Available

The Company’s Executive Chairman, Eliot Sorella, recently participated in a podcast in the series “Stock to Watch”. The video is available on:

• Youtube (), and  

• Spotify (https://open.spotify.com/episode/6HljIzrVFnhuVoItF7VKRs).
   

About Ecolomondo Corporation

Ecolomondo Corporation, headquartered in Québec, is a Canadian cleantech company that takes pride in its proprietary Thermal Decomposition technology (TDP). 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

 

Revenue Streams of TDP Facilities

Revenues from TDP turnkey facilities will come from selling of the end-products they produce, namely recovered carbon black, oil, gas, fiber and steel and from tipping fees (or disposal fees) for the processing of scrap tires.

 

About the Hawkesbury Plant – A 2-Reactor TDP Facility

The Hawkesbury facility building is 46,200 sq.ft and has an indoor clearance of 28 feet. It is modern and houses 3 main production departments, tire shredding, thermal decomposition and recovered carbon black refining. Once fully operational, this facility is expected to process approximately 1.3M to 1.5M scrap tires per year and produce on the average approximately 4,000 MT of recovered carbon black, 5,000 MT of pyrolysis oil, 2,000MT of steel, and 1,200 MT of process gas.

 

About the Shamrock Project – A 6-Reactor TDP Facility

Processing capabilities for the Shamrock facility is projected at 5 million end-of-life tires per year, yielding approximately 15,000 MT of recovered carbon black, 18,000 MT of oil, 7,500 MT of steel, and to process 4,500 MT of syngas; roughly three times the size of the Company’s Hawkesbury (Ontario) plant output that is expected to soon commence regular commercial operations. Facility construction is expected to begin by the third quarter of 2025 and projected to cost 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

A confirmation of the Company’s successful process lies in the recent International Sustainability and Carbon Certification (“ISCC”) for its Hawkesbury TDP facility, another step forward that should help improve demand for TDP. ISCC is a Global Sustainability Certification System and offers chain-of-custody certification systems to ensure traceability and feedstock identity, which can add commercial value to the Company’s end-products as they remain traceable in the supply chain.

 

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 15,000 and 45,000 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

JF Labbé

Interim CEO, Ecolomondo

Tel: (450) 587-5999

jflabbe@ecolomondocorp.com

www.ecolomondo.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.