VANCOUVER, BC, May 10, 2023 /CNW/ - Klimat X Developments Inc. ("Klimat X" or the "Company") (TSXV: KLX) a company that carries on the business of developing validated and verified carbon credits from afforestation and reforestation of degraded land areas and marine ecosystems, including mangroves, for sale into international voluntary carbon markets, is pleased to provide an update to the milestones for the remaining quarters of 2023.
Above: Sierra Leone Project (CNW Group/KLIMAT X Developments Inc.)
The company started the year with strong performance, announcing a national level agreement with the Government of Suriname to develop mangrove carbon credit project and agroforestry operations in the country. The Company has completed two extensive rounds of fieldwork in Suriname to identify areas for restoration within an initial area of at least 3,000 ha that has the potential to expand to an area many times larger. The company has completed extensive fieldwork in Sierra Leone to further develop mangrove restoration and conservation projects and has initiated greenhouse gas measurement work in Yucatan to finalize the design of a mangrove restoration project covering up to 25,000 hectares in the State of Yuctan. As previously announced, the company has received a term sheet for the first pre-purchase of tonnes for a minimum of 5,000 ha of rewilding reforestation in Sierra Leone.
Looking to the balance of the year, the company anticipates it will meet the following major milestones:
Completion of planting of up to 1,000 ha of seedling, already grown in local nurseries during the planting season that runs from May to September, which will achieve a total area of up to 1,400 ha since the company launched in 2022. The initial phase of 5,000 ha will produce up to 1.4m tonnes over the first 20 years and the project is expected to expand to up to 57,000 ha.
Complete project design in Sierra Leone for 3,000 ha mangrove conservation project and more than 7,000 ha of mangrove restoration potential. The project is currently under due diligence for a pre-purchase agreement, which is expected to close in Q3, 2023 allowing for a significant ramp up in planting and conservation efforts in Q3 and Q4, 2023.
Complete baseline data collection and project design for Suriname mangrove restoration project that drive changes that significantly reduce methane emissions. Methane is up to 30 times more potent as a greenhouse gas than carbon dioxide so the volume of carbon credits will be significant.
Finalization of greenhouse gas measurement for the restoration of mangroves in Yucatan and launch of pre-purchase bidding process for a flagship project to restore up to 25,000 ha within 100,000 ha of mangrove reserves working in partnership with the State Government, the Federal Government and the national university research laboratory.
Complete applications for non-dilutive and concessionary finance from development banks and Development Finance Institutions to support the growth and expansion of project capacity.
CEO, James Tansey states, 'Our progress since the listing of the company last July has been remarkable, as we expand project development activities within jurisdictions where we have a strong foundation in-country we are able to leverage local know-how and scientific expertise to secure carbon credits at scale. The validation of our contractual approach to project development over this last quarter will give confidence that we are recognized as a large-scale owner operator that is able to sell at strong prices to large final emitters.'
About Klimat X
Klimat X carries on the business of developing validated and verified carbon credits from afforestation and reforestation of degraded land areas and marine ecosystems, including mangroves, for sale into international voluntary carbon markets. In contrast to streaming and royalty companies, Klimat X works upstream as a direct owner and operator of projects, addressing a key supply constraint the current market and the rapidly growing demand for carbon credits in global voluntary and regulated markets. The Company intends to achieve this by investing in the exploration, restoration and management of terrestrial and marine systems that can either be protected to enhance the sequestration of greenhouse gases or restored from a degraded status to fully productive ecosystems. Klimat X will draw on the experience of a senior executive team and board that provide access into key target jurisdictions through relationships in the mining and natural resources sectors, combined with decades of experience in carbon markets. Klimat X plans to deploy capital at risk under various arrangements (including cooperation, assignment and production sharing agreements) with large landowners and governments in various suitable jurisdictions around the world.
ON BEHALF OF THE BOARD OF DIRECTORS
"James Tansey" James Tansey Chief Executive Officer
Cautionary Note Regarding Forward Looking Statements
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.
This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. Any statements that are contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "will", "intends" "expects" and similar expressions which are intended to identify forward-looking information or statements. More particularly and without limitation, this press release contains forward looking statements and information concerning the ongoing business of the Company. Klimat X cautions that all forward-looking statements are inherently uncertain, and that actual performance may be affected by a number of material factors, assumptions and expectations, many of which are beyond the control of Klimat X. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of Klimat X. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement.
The forward-looking statements contained in this press release are made as of the date of this press release, and Klimat X does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by securities law.