Published On: November 17th, 2023
Figure 1: Carbonxt Group Limited
Carbonxt Group Limited (ASX: CG1) (“Carbonxt” or the “Company”), the leading Cleantech Company directed by Managing Director Mr Warren Murphy, shared operation updates on the development of its state-of-the-art Activated Carbon production facility in Kentucky, USA. Carbonxt Group Limited also expects to demonstrate cost savings due to streamlining the operation at its existing Activated Carbon Production (ACP) facility to ramp up the construction and development of its state-of-the-art ACP facility, NewCarbon LLC, in Kentucky. This is intended to be a 50% owned operation with a US-based partner, Kentucky Carbon Processing (KCP).
Operation Update
At the Kentucky facility, work programs are advancing the schedule and are monitored by Dr David Mazyck. They are delivering complete focus on the NewCarbon, LLC project to achieve faster commissioning in production. The plant is almost ready to commence operations with the bulk of technical mechanical work already completed (see Figures 1 to 4 for scale of progress).
The critical construction equipment has been successfully delivered to the site. The Company confirms the milestone payment of USD 500,000 from Carbonxt to NewCarbon, LLC, per the terms of the KCP and NewCarbon, LLC agreement. Further updates on the Company’s other manufacturing facility will be shared in its next Quarterly Activities Report.
This proposed plant is expected to initially produce 10,000 tons per annum of high-grade activated carbon products with the capacity to expand to 20,000 tons. As per the US Environmental Protection Agency’s strategic roadmap to protect public health from Per- and Polyfluorinated Substances (PFAS) from water supplies, activated carbon products will play a key role in water treatment and air purification processes for multiple sectors. The new production plant also enables Carbonxt to expand and consolidate its position in a fast-growing market.
Figure 2: Different Images of the facility indicating the scale of progress; 1) Drying and Baking 2) Front view of the Facility 3) Coal Milling 4) Aerial Overview of the Facility
Managing Director’s comment
Managing Director Mr Warren Murphy expressed pleasure by saying that the plant’s development at the Kentucky facility is ramping up ahead of schedule. He shared that the Company is making commendable progress toward the commencement of production and sales from the Kentucky facility.
He said, “We are delighted with the progress of construction in Kentucky, with commissioning only now a few months away. This is a credit to our KCP partners in NewCarbon, as well as the US team at Carbonxt, who have successfully managed the ramp-up in activity. We are now moving expeditiously into production and sales, and expect to announce first sales from Kentucky in early calendar 2024. It is an exciting time for the Company, with several years of hard work now positioning the Company very favourably in a major US growth industry that have the potential to materially increase Carbonxt’s revenue and earnings profile from CY 2024 onwards.”
About Mr Warren Murphy, Managing Director of Carbonxt Group Limited
Mr Warren Murphy is a market veteran with exceptional experience in finance and brings expertise from several industries. He was pivotal in esteemed energy organisations such as Project Finance Group, Alinta Limited, Sydney Gas Limited, etc.
Managing Director Mr Warren Murphy’s expertise has shaped Carbonxt’s continuous growth and expansion of the vision. Under Warren Murphy’s guidance, Carbonxt Group Limited is set to track its intended trajectory of a bright future.
Figure 3: Mr Warren Murphy, Managing Director of Carbonxt Group Limited
About Carbonxt Group Limited
Carbonxt Group Limited is a US-based cleantech Company that develops and markets specialised Activated Carbon Products primarily focused on capturing contaminants in industrial processes that emit substantial amounts of harmful pollutants. The Company manufactures Powdered Activated Carbon and Activated Carbon Pellets for industrial air purification, wastewater treatment, and other liquid phase markets.
Investor’s Outlook
● The progress of the flagship Activated Carbon production facility in Kentucky, USA, is ahead of schedule, suggesting that Carbonxt is effectively executing its expansion plans
● The Company’s Joint-Venture (JV) with Kentucky Carbon Processing, LLC (KCP) is poised to produce 10,000 tonnes of high-grade Activated Carbon products annually, expandable up to 20,000 tons to cater to increasing demand
● Kentucky Plant also enables it to enter the liquid phase of the Activated Carbon market. The market is expected to be around USD 300 million today and expected to grow 3x with the introduction of PFSA rules by the end of the calendar year by EPA
● Carbonxt’s share price stood at AUD 0.065 per share as of November 15th, 2023, with an average 52-week range of AUD 0.046 to AUD 0.110 per share
● The Company has a market capitalisation of AUD 17.89 million as of November 15th, 2023
● Carbonxt’s unwavering focus on operational efficiency, sustainable solutions, and forward-looking growth positions it as a resilient contender in the cleantech sector, offering investors an opportunity to support a company poised for emerging market trends and a cleaner, safer future
To learn more about Carbonxt Group Limited, visit their website.
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