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MARKHAM, ON, Aug. 26, 2021 /CNW/ - Pond Technologies
Holdings Inc. (the "Corporation" or
"Pond") (TSXV: POND); (OTCQB: PNDHF); (FSE:
4Oo), announces that the unaudited interim condensed
consolidated financial statements of the Corporation for the three
and six months ended June 30, 2021
and the related management's discussion and analysis have been
filed and are available for review on the SEDAR website at
www.sedar.com or on the Corporation's website at www.pondtech.com.
Q2 Highlights and a brief business update follow below:
Q2 2021 Highlights
Group operating and working capital highlights:
- Decrease in Net Comprehensive Loss – The
Q2 net loss of $697,000 (2020:
$775,000) was $78,000 lower as compared to Q2 2020 and
$346,000 lower as compared to Q1
2021.
- Pond Naturals/Nutraceutical Revenue – Pond
Naturals revenue for the three months ended June 30, 2021 was $682,000 (2020: $950,000) or lower by $268,000. For the six months ended June 30, 2021, however, year-to-date revenues of
$2,169,000 (2020: $1,894,000) increased by $275,000 (14.5%). The year-to-date revenue
increase is a result of increases in both the sale of ingredients
and astaxanthin products.
- Pond Technologies – Pond has been
engaged through our licensee, Remediiate, to complete preliminary
engineering work for the installation of a commercial facility in
the UK with SIMEC Atlantis, hosted by the 220 MW Uskmouth
power station.
- Divestiture of Discontinued Operations –
Pond completed a transaction with Grizzly Resources Ltd.
effective June 1, 2021 to sell all of
its interest in the Pembina oil and gas property. As part of the
divestiture, Grizzly assumed all abandonment and reclamation
liabilities and will pay up to $2.25
million in future conditional consideration to Pond upon the
sale of the assets and/or upon the resumption of production.
Business Update:
In June 2021, Pond announced that
it had received a purchase order for an initial engineering study
from CSV Midstream Solutions Corp ("CSV"). With 3 operating
plants in Alberta, CSV is a
Calgary-based, midstream natural
gas and liquids infrastructure company with a mission to create a
sustainable footprint in the Western Canadian natural gas industry.
The initial engineering study was for the design and construction
of an algae plant utilizing CO2 from an on-site natural gas plant.
The initial engineering study follows an executed LOI for Pond to
support the design, procurement and construction of an algae plant
utilizing emissions from one of CSV's natural gas facilities near
Grande Prairie, Alberta. Upon
completion of the engineering study and a positive Final Investment
Decision by CSV, the first stage of development would be an algae
plant that would enhance Pond's supply of astaxanthin. Pond would
provide engineering services, proprietary equipment and operational
support to the project. Both Pond and CSV anticipate further
scale-up opportunities to absorb more carbon emissions upon
successful completion of the first stage.
In a subsequent event to the second quarter, Pond's ability to
grow unique algae strains for the expression of complex proteins
used in diagnostics and therapeutic treatments was acknowledged as
Pond announced on August 10, 2021 a
commercial agreement with a major Canadian oilsands producer and
Fortune 500 company to grow algae for the expression of COVID-19
antigens for use in rapid diagnostics testing. As part of this
agreement, Pond will collect up to CAD $1
Million in milestone payments and success fees over an
anticipated period of the next 8 months.
Grant Smith, President and
CEO of Pond, said: "The recent validation of our technology by one
of Canada's largest companies represents the culmination
of our efforts over the past twelve months and serves to advance
our discussions with other multinationals. As for Pond Naturals, we
anticipate seeing improvement over the remainder of the year based
on current order flow and the gradual remediation of pandemic
related supply chain disruptions."
About Pond Technologies Holdings Inc.:
Located in Markham, Ontario,
Pond is a technology company that provides profitable solutions to
the global health and wellness challenges of climate change and
nutrition. Pond's proprietary growth platform, including patented
advanced photonics, optimizes key growth inputs in order to provide
a controlled environment that maximizes the growth of algae and
other organisms. This enables industrial emitters to generate new
revenue streams from the transformation of underutilized CO2 to
valuable algae-based products, such as protein for animal feed and
nutraceutical products like Chlorella, Spirulina, and Astaxanthin
for human consumption. For more information visit
https://www.pondtech.com/.
Forward Looking Statements
This press release contains forward-looking statements within
the meaning of applicable securities laws, including statements
regarding Pond's relationship with CSV and the associated final
investment decision, algae plant construction and services to be
provided; the satisfaction of milestones associated with the
growing of algae for the expression of COVID-19 antigens for use in
rapid diagnostics testing and the anticipated revenue associated
therewith; and future conditional consideration in respect of the
sale of the Pembina oil and gas assets. Such forward-looking
statements are based on certain key expectations and assumptions
made by Pond, including, among others, assumptions regarding the
continued legislative (including tax) regime in which Pond
operates, the a positive final investment decision by CSV, Pond's
ability to achieve the milestones in respect of the
above-referenced antigens, availability of cost-effective labour
and supplies, the proper functioning of Pond's technology, the
quality of the algae produced, the demand for Pond's technology,
the ability of Pond to successfully compete, cash flow and
expenses, and obtaining and maintaining intellectual property
protection. Although Pond believes that the expectations and
assumptions on which such forward-looking statements are based are
reasonable, undue reliance should not be placed thereon and Pond
can give no assurance that they will prove to be correct. By its
nature, such forward-looking statements are subject to various
risks and uncertainties, which could cause the actual results and
expectations to differ materially from the anticipated results or
expectations expressed, including the risks set forth in Pond's
management's discussion and analysis of financial condition and
results of operations for its year ended December 30, 2020 and for the period ended
June 30, 2021, available on Pond's
profile on SEDAR at www.sedar.com. Readers are cautioned not to
place undue reliance on this forward-looking information, which is
given as of the date hereof, and to not use such forward–looking
information for anything other than its intended purpose. Pond does
not undertake any obligation to update publicly or revise any
forward-looking information, whether as a result of new
information, future events or otherwise, except as required by
law.
Neither the TSXV nor its Regulation Services Provider (as
that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this
release.
SOURCE Pond Technologies Holdings Inc.
