H2O Innovation Adds $35.5 M of New O&M and WTS Projects, Showcasing Strong Client Retention and Growth Momentum

(TSX: HEO) – H₂O Innovation Inc. (“H₂O Innovation” or the “Corporation”) is pleased to announce that its Operation & Maintenance (O&M) business line obtained three new contracts and secured four renewals of existing contracts, while its Water Technologies & Services (WTS) business line was recently awarded five new contracts. The new and renewed business, with a total value of $35.5 M, increases the O&M backlog to $167.1 M and the WTS backlog to $83.1 M, bringing the consolidated backlog to $250.0 M.

The Corporation was awarded three new O&M contracts, highlighted by a five-year contract with the City of Gautier, MS. This marks the eighth contract of its kind in south Mississippi, and includes water treatment, utility distribution, collection and public works operations. “This is a strategic win for us in a region where we already have multiple O&M clients. It should also create synergies with the rest of the team in Mississippi, further strengthening our presence and fostering collaborative growth opportunities within the area,” stated Gregory Madden, Chief Strategy Officer of H₂O Innovation. The other new contracts include the provision of O&M services to the Town of Courtlandt, NY, at its Dickerson Wastewater Recovery facility, and a food and beverage company located in New York. In addition to the new O&M contracts, H₂O Innovation has also renewed four existing contracts across the US.

In its WTS business, the Corporation secured five new projects, four of which with existing customers returning to H₂O Innovation for additional equipment. Two of these new projects, including the largest, are ultrafiltration (UF) systems that use the FiberFlex^TM open platform and that will be installed at two data centers. These systems are for a customer from whom the Corporation has now been awarded five different contracts.

Another WTS project is for a containerized membrane bioreactor (MBR) system that will be installed at a mine in Alaska, United States. This challenging application will employ MBR technology with biological nutrient removal (BNR) using a combination of shipping containers and cylindrical tanks and will be designed to withstand the cold temperatures of Alaska.

The remaining two WTS projects include expansions of existing facilities that were installed by H₂O Innovation within the past few years. One is for the addition of a coagulation and flocculation system at a First Nations installation in Northern Alberta and the other is for an additional nanofiltration (NF) for the City of Delaware, Ohio. “This repeat customer activity speaks volumes about the trust and satisfaction our clients find in working with our team to design and execute capital equipment projects. With 80% of these new WTS projects coming from returning clients, we believe that we are creating lasting and symbiotic relationships,” added Frédéric Dugré, President, Chief Executive Officer and co-Founder of H₂O Innovation.