Xebec and Fonds de solidarité FTQ launch an investment fund to increase renewable natural gas production in Québec - Seite 2

A first-of-its-kind investment vehicle for renewable natural gas projects in Canada
This partnership is an innovative initiative that brings together industry participants (waste management companies, gas utilities, farmers, municipalities) and major financial institutions with a clear mandate to invest in organic waste treatment facilities for the production of renewable natural gas. The market for renewable natural gas in Canada is still in its infancy. In this context, Xebec and the Fonds de solidarité FTQ view this partnership as an essential step to develop and promote the expertise and efforts needed to accelerate the replacement of fossil fuels while supporting sustainable and responsible long-term investment in a waste-to-renewable gas economy in Canada.

GNR Quebec Capital: in line with government objectives for GNR production and greenhouse gas emissions reduction
GNR Quebec Capital L.P. believes that it could play a significant catalyst role in helping to meet government objectives of reducing greenhouse gas emissions and increasing the use of renewable natural gas, while supporting existing developers.

Last March, the Quebec government's 2020-2021 budget allocated $70 million to support RNG production and distribution up to 2022. This measure follows the passing, in March 2019, of regulations mandating the minimum quantity of RNG to be delivered by natural gas distributors at 1% in 2020, and 5% in 2025.

For its part, the Government of Canada announced on April 24, 2020 an updated timeline for the introduction of the Clean Fuels Standard (CFS). The objective of this standard is to achieve an annual reduction in greenhouse gas emissions of 30 million tons by 2030. It will do so by stimulating investment and innovation in low-carbon-intensity fuels while enabling cost effective compliance. Xebec expects that the implementation of the ASC will create significant opportunities for the Canadian renewable gas industry over the next decade.

Xebec to host Webinar on the Partnership
On June 2, at 11:00 a.m. EDT (8:00 a.m. PDT), Xebec management invites shareholders, analysts, investors, media representatives and other stakeholders to participate in a webinar on this innovative partnership. For the occasion, Kurt Sorschak, Xebec's President and CEO, will be joined by Louis Dufour, Xebec's Chief Financial Officer, and Prabhu Rao, Xebec's Chief Operating Officer. The presentation will be followed by a question period.