Cielo Confirms Key Equipment Order and Environmental Permit Application, Advancing the Company’s Carseland Bio-SynDiesel Project Towards Commercialization and Shares for Debt Transaction

CALGARY, Alberta, April 29, 2024 (GLOBE NEWSWIRE) -- Cielo Waste Solutions Corp. (TSXV:CMC; OTCQB:CWSFF) (“Cielo” or the “Company”), a renewable fuel company leveraging market ready licensed technology to produce low carbon fuel from wood by-products, announces today that it has ordered a Biomass Gasifier (the “Gasifier”), a key piece of equipment required to continue driving its Carseland, Alberta project (the “Carseland Project”) towards commercialization, and has submitted an environmental permit application to Alberta Environment and Protected Areas (AEPA) for the project’s construction.

The Carseland Project is Cielo’s first commercial by-product-to-fuels facility designed to convert wood by-products into low carbon intensity renewable Bio-SynDiesel fuel (“Bio-SynDiesel”) and Sustainable Aviation Fuel Bio-SynJet (“Bio-SynJet”), which is targeting first commercial production in 2026. Once complete, the Carseland Project is projected to produce eight million liters per year of Bio-SynDiesel and Bio-SynJet, exemplifying Cielo’s commitment to changing the fuel, not the vehicle, and creating sustainable fuel that does not rely on food competitive inputs.

Biomass Gasifier Order

Cielo has executed a Limited Notice to Proceed with Expander Technologies Inc., an affiliate of Cielo’s strategic partner, Expander Energy Inc., for the design, fabrication and supply of the Gasifier for the Carseland Project.

The innovative patented Gasifier design produces clean, tar-free synthesis gas (syn-gas) from various biogenic inputs, such as wood by-products, including discarded railway ties. The Gasifier integrates with Cielo’s licensed Enhanced Biomass to Liquids (EBTL) process, and the high-quality syn-gas is utilized to produce Bio-SynDiesel and Bio-SynJet, with the former featuring an estimated Carbon Intensity (CI) of 32.5gCO2e/MJ. This low carbon-intensive project significantly exceeds Canada's Clean Fuel regulatory requirement for diesel fuel of 79.0 gCO2e/MJ by 2030 and will meet current specifications for RD100 Renewable Diesel fuel that is compatible with today’s existing diesel engines.

Expander Technologies Inc. plans to fabricate the Gasifier at its Penticton, BC fabrication centre, and expects that the components could be ready to ship to the Carseland Project site as early as mid-2025.

Environmental Permit Application

Cielo has submitted a full and comprehensive environmental permit application to Alberta Environment and Protected Areas (AEPA) for approval to construct the Carseland Project under the Environmental Protection and Enhancement Act (EPEA). Cielo is well positioned to leverage its early mover advantage in tandem with the Company’s prime location, existing infrastructure and the team’s proven operational capabilities. Engineering and procurement activities will continue in parallel with the environmental review process so that Cielo is ready to break ground upon receiving regulatory approval, while working towards a final investment decision in Q3 2024.