Press Release
CALGARY, ALBERTA – (February 7, 2024) – CVW CleanTech Inc. (the “Company” or “CVW CleanTech”) (TSX-V: CVW) is pleased to announce that it has received an economic impact assessment detailing the significant economic and social impacts which would be expected through the implementation of its ready-to-deploy Creating Value from WasteTM (“CVWTM”) technology.
Report Highlights:
All values are expressed in 2023 Canadian dollars, except employment which is expressed in person-years. The economic impact analysis was prepared by Ron Schlenker, Senior Instructor Emeritus at the University of Calgary’s Department of Economics. Readers are encouraged to review the full economic impact analysis report available on the Company’s website, which is accessible using the link below:
https://cvwcleantech.com/technology/economic-impact/
CVW CleanTech’s CEO, Akshay Dubey, said “The independent economic impact analysis further confirms the economic and social benefits which would be achieved through the implementation of a CVWTM project. The Company’s ready-to-deploy technology would provide the Government of Alberta and the Federal Government with revenue through the commercialization of bitumen and green critical minerals currently being treated as waste and sent into the vast oil sands tailings ponds. This creates a significant opportunity to maximize our resource wealth while increasing the environmental performance of the oil sands mining industry. This is in addition to the abatement of up to 5,000,000 tonnes of carbon dioxide equivalents, primarily methane. Importantly, this would also provide an incredible new employment opportunity for communities in the region, including Indigenous groups, as well as an attractive diversification opportunity.”
The economic impact assessment outlines the potential economic benefits, in Alberta and in Canada broadly, of implementing the Company’s technologies. The assessment is based upon certain assumptions made by the author, and information provided by the Company, as described within the full report. Actual conditions may differ significantly from those assumed in the assessment.
Summary Estimated Economic Contributions – per Schlenker Consulting Limited Economic Impact Report
The values below are presented in millions of 2023 Canadian dollars except employment figures which are presented in person-years. The potential economic impacts are presented for CVW CleanTech’s EcoMax and EcoBase development options:
CVWTM EcoMax Development Option – Construction Phase
Single Site | Industry Wide | |||
Alberta | Canada | Alberta | Canada | |
GDP | 1,040 | 1,283 | 6,242 | 7,696 |
Labour Income | 732 | 867 | 4,393 | 5,199 |
Provincial Government Revenue | 74 | 100 | 446 | 601 |
Federal Government Revenue | 210 | 252 | 1,257 | 1,511 |
Employment | 6,680 | 8,745 | 40,081 | 52,468 |
CVWTM EcoMax Development Option – 20 Year Operating Phase
Single Site | Industry Wide | |||
Alberta | Canada | Alberta | Canada | |
GDP | 5,903 | 6,613 | 35,417 | 39,678 |
Labour Income | 1,070 | 1,435 | 6,420 | 8,611 |
Provincial Government Revenue | 1,288 | 1,360 | 7,725 | 8,159 |
Federal Government Revenue | 1,109 | 1,233 | 6,654 | 7,398 |
Employment | 9,841 | 15,299 | 59,048 | 91,794 |
CVWTM EcoBase Development Option – Construction Phase
Single Site | Industry Wide | |||
Alberta | Canada | Alberta | Canada | |
GDP | 366 | 452 | 2,193 | 2,711 |
Labour Income | 260 | 308 | 1,563 | 1,850 |
Provincial Government Revenue | 26 | 36 | 158 | 213 |
Federal Government Revenue | 74 | 89 | 445 | 536 |
Employment | 2,351 | 3,083 | 14,108 | 18,498 |
CVWTM EcoBase Development Option – 20 Year Operating Phase
Single Site | Industry Wide | |||
Alberta | Canada | Alberta | Canada | |
GDP | 2,898 | 2,989 | 17,387 | 17,934 |
Labour Income | 344 | 393 | 2,062 | 2,357 |
Provincial Government Revenue | 688 | 698 | 4,128 | 4,186 |
Federal Government Revenue | 667 | 683 | 4,001 | 4,099 |
Employment | 3,144 | 3,922 | 18,861 | 23,533 |
Grant of Management Equity Awards
The Company also announces that it has granted 1,099,692 stock options and 886,457 restricted share units (RSUs) to certain employees as part of the 2023 year end performance incentive program. The stock options include both time and performance based vesting conditions, are exercisable at a price of $0.80 per share, and expire five years from the grant date. The RSUs vest after one year of continued service.
The stock options and RSUs have been granted to officers and employees of the Company under the terms of the Company’s equity incentive plan (EIP). The EIP was approved by Shareholders of the Company at the annual and special meeting of the Shareholders on September 12, 2023. The EIP allows the grant of options, RSUs, and deferred share units to directors, officers, key employees, and consultants of the Company, as determined by the Company’s Board of Directors. The EIP is a ‘rolling’ plan which provides that the aggregate maximum number of common shares that may be issued upon the exercise or settlement of awards granted under the EIP shall not exceed 10% of the Company’s issued and outstanding common shares from time to time. The EIP is subject to provisions for long-term incentive plans under the policies of the TSX Venture Exchange. The full text of the EIP is available in the Company’s management information circular for the annual and special meeting of the Shareholders on September 12, 2023 on SEDAR+ at www.sedarplus.ca.
About CVW CleanTech Inc.
CVW CleanTech Inc. is a clean technology innovator working to develop sustainable technology solutions. The Company has developed a suite of proprietary technologies called Creating Value from Waste™ that recover bitumen, solvents, critical minerals, and water from oil sands froth treatment tailings while significantly reducing tailings pond emissions and enhancing tailings management.
On an annual basis, an industry wide implementation of CVWTM‘s EcoMax development option could be expected to:
Diverting the froth treatment tailings stream to a CVWTM EcoMax operation could recover up to 90% of bitumen and solvent that are currently lost into tailings ponds, avoid the associated fugitive methane emissions, as well as capture valuable zircon and titanium mineral concentrates. This patented and ready-to-deploy process would produce “Ready-to-Reclaim” tailings to meet the Alberta Energy Regulator’s Directive 85 standards which would provide a step change in tailings management and allow for progressive remediation.
CVW CleanTech has invested over $100 million and over 15 years to advance the CVWTM technology to ready-to-deploy status. This technology has been supported by large scale integrated piloting and progressive commercial engineering studies resulting in 20 active patents. The development of the Company’s technology has been supported by the Government of Alberta and the Federal Government along with oil sands industry partners. Additional information on CVW CleanTech and its proprietary technology can be found within the Company’s Process and Technology Overview which is accessible using the link below:
https://cvwcleantech.com/technology/process-and-technology-overview/
About Schlenker Consulting Limited
Ron Schlenker is the president of Schlenker Consulting Limited, a Senior Instructor Emeritus at the University of Calgary’s Department of Economics, and a former Research Associate at the Institute for Sustainable Energy, Environment and Economy (ISEEE). Ron has appeared as an expert witness in regulatory hearings and has undertaken numerous studies presenting the cost benefit and economic impact analyses of industrial development projects, efficiency analyses in the natural gas and pipeline industries, macroeconomic modelling and economic indicators in the Alberta economy, and damage assessments for cases of contract abrogation and land claim disputes. Ron holds a Bachelor of Science in Engineering and a Master of Arts in Economics.
For further information, please contact:
Akshay Dubey
CEO
403.460.8135
Akshay.Dubey@CVWCleanTech.com
Joshua Grant
CFO
403.460.8135
Joshua.Grant@CVWCleanTech.com
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