Published On: November 2nd, 2022
Carbonxt Group LTD (ASX: CG1) (“Carbonxt” or the “Company”) announces the renewal and extension of its partnership with Wisconsin Public Service (WPS) to supply activated carbon pellets. The term of the contract got extended till December 31, 2030.
Carbonxt has also relieved its investors with its recent announcement of extending the Share Purchase Plan’s (SPP) closing date to October 28, 2022. The aim is to enable the shareholders to take a reasonable amount of time to consider the announcement concerning the supply contract extension with Wisconsin Public Service.
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A Long Withstanding Partnership
Although the collaboration of Carbonxt Group LTD (ASX: CG1) and WPS has been firmly existing since 2016, the recent renewal will meet a significant milestone as the Company extends the supply terms for its proprietary AC Pellet product. The parties to the contract have also agreed to terms at a 20% higher premium than the existing price point, effective from January 1, 2023.
CG1 has an affirmative background of working with WPS at its Weston Power Plant, near Wausau, towards the larger goal of curbing emissions by creating sustainable solutions. The capacity of the plant is 1,076MW.
The partnership’s operational details entail producing a 9mm AC Pellet as a part of WPS’ ReACT system, which rigorously enables the Weston Power Plant to meet environmental rules and regulations. It also facilitates comprehensive lab services to test, validate, and analyze mercury and sulphur dioxide alongside other pollutants. Furthermore, it also encompasses consultation concerning emissions and cleantech solutions.
About Carbonxt Group LTD (CG1)
Carbonxt Group LTD (CG1) produces and markets specialized Activated Carbon (AC) products for industrial air purification and wastewater treatment. It aims to eliminate harmful pollutants, such as mercury and sulphur, thus drastically reducing environmental emissions per global regulations. The specialized Activated Carbon products manufactured by the Company include Powdered Activated Carbon (PAC) and AC pellets that aid in eradicating toxic substances. The company has gained solid ground in the US AC Pellet market by converging its strategic R&D initiatives and unparalleled operational expertise.
Carbonxt Group LTD (CG1) Managing Director Warren Murphy states that the contract renewal has paved the way for a higher margin revenue for the next eight years. Murphy also staunchly believes that the move will propel further sales growth in the US market.
The Growth Trajectory of CG1
Carbonxt Group Ltd has grown exponentially, with a market cap of AUD22,611,938. It has witnessed a significant rise of share price by +12.24% in the latest week. It has delivered 12,000 tons of the proprietary pellet technology in a relatively short span of 6 years with a striking revenue of $30 million. The Company also has a well-equipped production facility based in Arden Hills, Minnesota. It built the plant to cater to the emission-reduction requirements of Wisconsin Public Service (WPS).
Why Should Investors Keep an Eye on Carbonxt?
- Carbonxt allows its partners to control their environmental impact and reduce their carbon footprint by deciding on and delivering advanced carbon products.
- It consistently strives to identify new ways of using renewable raw materials for creating environmental solutions with the help of advanced carbon technology.
- The company also sources raw material byproducts to design top-quality activated carbons and maintain high absorption rates while utilizing sustainable materials.
- Carbonxt also specializes in offering superior oxidizing, non-brominated activated carbons. These carbons are non-corrosive and maintain maximum efficiency, thus discarding the gradual deterioration caused by brominated carbons.
|Record date||September 23, 2022|
|Announcement of SPP||September 26, 2022|
|Dispatch of SPP booklet||September 30, 2022|
|SPP opening date||October 4, 2022|
|SPP closing date||October 28, 2022|
|Announcement of results||November 1, 2022|
|Allotment of SPP Shares||On or before November 3, 2022|
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