Ecolomondo Corporation has announced that it has concluded amending agreements to loans with Export Development Canada (“EDC”)
The conclusion with EDC of these amending agreements is an extremely important step forward that should allow the company to not only benefit from improved working capital but also give investors a higher level of confidence, which is pivotal for Ecolomondo to achieve its strategic goals.
The successful commissioning of the new milling line, which is nearing completion, is expected to allow the Hawkesbury facility to have the capacity to process up to 2,200 lbs of rCB per hour with a particle size distribution of 96 per cent between 10-15 microns, enough capacity to allow both TDP reactors and shredding line to operate at full capacity.
The original loan of C$32.5 million was used to finance the construction of the Company’s first of its kind new turnkey thermal decomposition facility in the Town of Hawkesbury, Ontario that will process end-of-life tyres to produce re-usable resources. In the revised terms, EDC agreed to a temporary principal and interest payment holiday.
Two other loans were extended to the Company’s subsidiary, Ecolomondo Environmental (Hawkesbury) Inc., owner of the Hawkesbury facility, one for C$3 million, announced in May 2024, and the second for C$2 million, announced in November 2024. EDC has also agreed to a temporary principal and interest payment holiday.
“The conclusion of these agreements to allow principal and interest payment holidays is a major step forward for Ecolomondo. It should allow the company to fully ramp-up Hawkesbury and to begin to focus on its global expansion, beginning with the construction of the Ecolomondo Shamrock (Texas) facility”, said Jean-François Labbé, Interim CEO of the Company.
