#Canada #Calgary #Northstar Clean #Empower Calgary #CVW CleanTech

Northstar Clean Technologies Reports Q3 2024 Financial Results

In a major announcement, Northstar Clean Technologies Inc. released its financial results for the third quarter of 2024, reflecting noteworthy advancements and strategic milestones in their operational journey. The company has been making significant strides, particularly in securing funding and progressing with the construction of their Empower Calgary Facility.

Key Highlights from Q3 2024

One of the most significant accomplishments in this quarter was the closing of a $14.0 million royalty transaction with CVW CleanTech Inc. ("CVW"). This collaboration is perceived as groundbreaking for the cleantech sector globally, underscoring the growing interest in innovative technologies aimed at improving municipal waste management across Canada and the United States. Aidan Mills, President, CEO, and Director of Northstar, expressed his enthusiasm about this deal with CVW, appreciating the continuous support from shareholders throughout the process.

In addition to financial accomplishments, Northstar also focused on the Empower Calgary Facility, which is currently under construction. The company successfully achieved numerous milestones in the construction process, including crucial procurement steps that involved the arrival and testing of essential equipment. With active efforts to complete the shingle collection, Northstar is gearing up for the commissioning and operational phase of the facility.

Financial Thoughts

Mr. Mills commented on Northstar's financial trajectory, illustrating the growth in cash balances which reached $15.5 million by the end of September 2024. The firm’s cumulative capital expenditures relating to the Empower Calgary Facility demonstrated substantial investment, amassing $15.1 million for the same period. He reassured stakeholders that the company is on track with its projected timeline for commencing facility operations, aiming to become the first globally to operate such a commercial facility focused on the recovery and reprocessing of asphalt shingles.

Additional Developments

The third quarter also witnessed Northstar receiving a significant patent from the Canadian Intellectual Property Office (CIPO) for its leading-edge technology designed specifically for reprocessing asphalt shingles. This recognition is crucial for establishing Northstar’s proprietary technologies in an ever-competitive market.

Following the third quarter, more progress was made in October and November, including an update on construction status and a draw of approximately $2.7 million from the senior secured project loan with the Business Development Bank of Canada (BDC) as the facility continues to take shape. Furthermore, in mid-November, the company announced key changes in senior management aiming to bolster its growth and strategic direction moving forward. This transition aims to solidify Northstar’s existing momentum while laying a robust foundation for future successes.

Q3 Financial Summary

In terms of revenue, Northstar reported earnings of $165,000, showcasing a steady trajectory despite the challenges presented by the broader market space. Expenditures were highlighted, with a notable increase in general administrative expenses, totaling $1.474 million for the third quarter. The firm has managed to maintain a focused approach towards research and development expenses, which weren’t recorded for this quarter, reflecting strategic allocations in budget management.

Conclusion

As Northstar Clean Technologies moves forward, investors and stakeholders can hold a positive outlook given these achievements. With clear plans in place for the future, especially concerning the Empower Calgary Facility's operational readiness expected in 2025, the company is poised to lead the way in asphalt shingle recovery and reprocessing across North America. This approach not only emphasizes Northstar's role in sustainability and waste management but also positions it as a pioneering entity in the cleantech industry.

For more updates and insights into Northstar Clean Technologies' progress, visit their website at www.northstarcleantech.com.