Cielo Unveils $2.6M Mortgage Loan Assignment: What It Means for You!
CALGARY, Alberta, Nov. 28, 2024 – Cielo Waste Solutions Corp. (TSXV:CMC; OTC PINK:CWSFF), known as Cielo, is making waves in the renewable energy sector with a pivotal announcement: we’re selling a segment of our inactive assets, which includes a significant $2.6 million mortgage loan!
What’s the Buzz?
In a strategic move that many are calling a game-changer, Cielo completed an asset acquisition back in November 2023. This acquisition wasn’t just any run-of-the-mill deal; we secured an exclusive license in Canada for the groundbreaking EBTL™ and BGTL™ technologies from Expander Energy Inc. This includes the rights to utilize these innovative technologies across all feedstocks! Plus, we have exclusive rights in the U.S. for creosote and treated wood waste. These Licensed Technologies are set to revolutionize how we process biomass into renewable fuels, and we couldn’t be more excited!
Strategic Shift to Innovation
Since sealing the 2023 Acquisition, Cielo has been laser-focused on leveraging these cutting-edge Licensed Technologies. We’re also in the midst of acquiring additional assets from Rocky Mountain Clean Fuels Inc., which will complement our current technologies seamlessly. In light of this progress, we’ve made a bold decision to divest our TCD Technology and related assets, including the land in Aldersyde, Alberta. By doing this, we’re not just decluttering our asset base; we’re also eliminating the mortgage loan burden tied to the Aldersyde Property. Our management team and Board of Directors are committed to sharpening our operations, emphasizing market-ready technologies that lead to immediate revenue generation.
As Ryan Jackson, our CEO, passionately stated, “This move allows Cielo to concentrate on becoming a prominent player in the renewable fuels arena, pivoting away from developing technologies. We are eager to push forward with the Rocky Transaction and enhance our Carseland Facility using these innovative Licensed Technologies.”
Transaction Details
Here’s the scoop: through the Asset Purchase Agreement dated November 28th, 2024, Cielo will be selling our assets to a private Alberta corporation for a total of $3.9 million. Here’s how the transaction shakes out:
- $300,000 will be paid on or before closing;
- The Purchaser will assume the $2.6 million mortgage loan, freeing Cielo from this obligation;
- And there’s a promissory note in favor of Cielo for $1 million, secured against the Aldersyde Property, with a 7.5% interest rate.
This isn’t just a sale; it’s a strategic realignment that positions Cielo to thrive in the renewable energy landscape.
About Cielo
At Cielo, we’re on a mission to lead the wood by-products-to-fuels industry with sustainable and market-ready technologies. Armed with exclusive licenses for our patented EBTL™ and BGTL™ technologies, we’re ready to make a significant impact. Our innovative approach, which avoids the use of food resources, and our access to abundant feedstocks—like those from treated wood waste—sets us apart. We’re committed to helping society “change the fuel, not the vehicle,” ultimately driving positive returns for our shareholders. You can find Cielo shares proudly listed on the TSX Venture Exchange under the symbol “CMC” and on the OTC Pink Market under “CWSFF.”
Want to Learn More?
Cielo Investor Relations
Ryan Jackson, CEO
Phone: (403) 348-2972
Email: [email protected]
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This announcement contains forward-looking statements that reflect our current expectations and plans. While we aim to provide accurate information, these statements involve risks and uncertainties that could impact future results. We urge investors to carefully consider all information and updates as we proceed with our strategic initiatives.
