Customer obtains 25,000 CFR credits in 2024 and an option for an additional 100,000 credits in 2025 under the purchase agreement.
Vancouver, British Columbia–(Newsfile Corp. – March 27, 2024) – DevvStream Holdings Inc. (CBOE: DESG) (OTCQB: DSTRF) (FSE: CQ0) (“DevvStream” or “company“, a leading carbon credit project co-development and commercialization company specializing in technology-based solutions, today announced that it has entered into a multi-year carbon credit purchase agreement (the “Agreement'') with a leading logistics and marketing company (the “Customer''). ”) was announced. is a wholesaler, transporter, supplier and distributor of liquid petroleum gas, crude oil, heavy oil, refined fuels and biofuel products. Under the terms of this Agreement, Customer will purchase 25,000 Compliance Carbon Credits from his DevvStream. Optionally 100,000 additional credits.
Compliance Credits purchased under this agreement will be used under the Canada Clean Fuels Regulation (“CFR”) program to provide fuel or energy to advanced vehicle technologies, such as Compliance Category 3 “electric vehicle (“EV”) charging stations. Generated based on 'supply'. The first delivery of CFR credits is expected to occur by December 31, 2024.
“This agreement reflects the strong demand for CFR credits and DevvStream’s commitment to foster long-term relationships with commercial buyers to encourage the adoption of innovation and clean technology and expand the use of low-carbon intensity fuels across the economy. It reflects our commitment,” said CEO Sunny Trinh. DevvStream. “The CFR credits sold under this agreement will be developed under Canada's CFR program, North America's first national low-carbon fuel program. Our ability to meet these stringent requirements will Demonstrates his DevvStream expertise in the field.”
CFR is a key component of Canada's climate change plan, which aims to reduce emissions, advance clean technologies and fuels, and foster sustainable jobs in a variety of sectors including clean technology, agriculture, and low-carbon energy. . CFR regulations are focused on making gasoline and diesel cleaner over time, promoting the adoption of cleaner fuels and technologies, and driving innovation across multiple industries. The company estimates that the expected price of compliance credits developed under the CFR program is between C$200 and C$300 per credit.
Dr. Michael Rensing, DevvStream's Low Carbon Fuels Advisor, will oversee the generation of CFR credits under this agreement. Dr. Lensing is instrumental in the development and implementation of successful Low Carbon Fuel Standard (“LCFS”) policy and legislation, including in the British Columbia, where his LCFS program is one of the most successful in North America. I've been doing it. Carbon credits sold in British Columbia's LCFS market are among the most valuable in the world, with prices averaging C$472 per credit in 2023.
The CFR program aims to reduce the carbon intensity of transportation fuels such as gasoline and diesel by approximately 15% below 2016 levels by 2030, resulting in significant greenhouse gas reductions of up to 26 megatons. The CFR replaces Canada's Renewable Fuels Regulations and focuses on life cycle greenhouse gas emissions rather than blending requirements. To comply with these regulations, tier 1 suppliers must be able to create credits and trade them through credit markets established to meet specific carbon intensity reduction requirements. The CFR Program was developed under the 2016 Pan-Canadian Framework on Clean Growth and Climate Change (“PCF”), which now provides a roadmap for the Canadian economy to achieve 40-45% emissions reductions in Canada. 2030 emissions reduction plan. Reduce reductions to below 2005 levels by 2030, based on actions outlined in Canada's previous climate change plan. The PCF is considered a foundational step for Canada to meet its commitments under the Paris Agreement and work toward a prosperous future with net-zero emissions by 2050.
About DevvStream
Founded in 2021, DevvStream is a leading authority on the use of technology in carbon project development. Our mission is to harmonize sustainability and profitability, helping organizations achieve climate action while directly improving their financial health. With a pipeline of over 140 technology-based projects around the world, DevvStream enables businesses and governments to easily address net-zero goals while generating premium carbon credits in the process. DevvStream takes a programmatic approach to evaluating project opportunities and co-develops projects spanning energy efficient buildings, facilities and housing, industrial facilities, LED systems, EV charging stations, and oil well sealing technologies doing. Our unique end-to-end solution removes risk and complexity from every step, allowing organizations to easily move from project ideation to credit monetization. The result is multi-year carbon credit returns, turning sustainability into a financial investment. We also offer premium carbon credits for purchase to organizations that need help offsetting their hardest-to-reduce emissions.
On September 13, 2023, DevvStream and Focus Impact Acquisition Corp (NASDAQ: FIAC) (“Focus Impact”) announced that the combined company (DevvStream) will be listed on the Nasdaq Stock Market under the ticker symbol “DEVS.” On December 11, 2023, DevvStream announced the proposed business combination between DevvStream and Focus Impact (the “Business Combination”). Upon completion of this business combination, DevvStream is expected to become the first publicly traded carbon credit company on a major U.S. stock exchange.
Disclaimer
Certain statements in this news release may be deemed forward-looking statements. Forward-looking statements are statements that are not historical facts and generally relate to future events and DevvStream's future financial and other performance indicators. In some cases, the words “may,” “should,” “anticipate,” “intend,” “will,” “estimate,” “expect,” “believe,” and “predict” You may identify forward-looking statements by terminology such as ''. , “possibility” or “continuation” or the negative of these terms, variations thereof, or similar terms. These forward-looking statements, including, without limitation, DevvStream's expectations regarding future performance and the expected financial impact of this Agreement and the Business Combination, involve risks and uncertainties and may differ from actual results. results may differ materially from those expressed or implied by such forward-looking statements. Appearance statement. These forward-looking statements are based on estimates and assumptions that, while believed to be reasonable by DevvStream and its management, are inherently uncertain and are subject to material change. New risks and uncertainties may emerge from time to time, and it is impossible to predict all risks and uncertainties. Factors that could cause actual results to differ materially from current expectations include, but are not limited to: (1) The ability to generate carbon credits under agreements that comply with the Carbon Core Principles and comply with the standards of the CFR Program. (2) the occurrence of events, changes or other circumstances that may cause the termination of negotiations and subsequent definitive agreements relating to the business combination; (3) the outcome of any legal proceedings that may be brought against Focus Impact, DevvStream, the combined company or others; (4) the Business Integration cannot be completed due to failure to obtain approval from the shareholders of Focus Impact and DevvStream or failure to meet other closing conditions; (5) any changes to the proposed structure of the business combination that may become necessary or appropriate as a result of applicable law or regulation; (6) the ability to meet the listing criteria of Nasdaq or other stock exchanges following the completion of the Business Combination; (7) the risk that the business combination will disrupt Focus Impact's or DevvStream's current plans and operations as a result of the announcement and consummation of the business combination; (8) the ability of the combined company to profitably grow and manage its growth, maintain customer relationships and operate its business; (9) costs of business combinations; and (10) changes in applicable laws or regulations. (11) the possibility that Focus Impact, DevvStream or the combined company may be adversely affected by other economic, business and/or competitive factors; (12) the underlying assumptions regarding expense and profitability estimates and stockholder redemptions and purchase prices and other adjustments; (13) general economic conditions and other risks, uncertainties and risks described in the sections entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” of the Registration Statement on Form S-4; various factors beyond management's control, including factors that Includes Focus Impact's proxy statement and prospectus (as amended, the “Registration Statement”) filed with the SEC on December 4, 2023, and other filings with the SEC. (14) certain other risks identified and discussed in DevvStream's Annual Information Form for the year ended July 31, 2023 and DevvStream's other public filings with Canadian securities regulators; These are available on his DevvStream profile on SEDAR at www.sedarplus.ca.
These forward-looking statements are expressed in good faith and DevvStream believes that there is a reasonable basis for them. However, there can be no assurance that the events, results or trends identified in these forward-looking statements will occur or be achieved. Forward-looking statements speak only as of the date on which they are made, and DevvStream reserves the right to update any forward-looking statements, whether as a result of new information, forward-looking statements or otherwise. We assume no obligation to make any changes or modifications and expressly disclaim any obligation to do so. events or otherwise, unless required by law. Readers should carefully consider statements made in public documents filed by DevvStream with Canadian securities regulators. This news release is not intended to be comprehensive or contain all the information you may need when considering an investment in DevvStream, but is intended to form the basis of a decision to invest in DevvStream. But not. All subsequent written and oral forward-looking statements attributable to DevvStream or representatives of DevvStream with respect to DevvStream, the proposed transaction or other matters are expressly qualified in their entirety by the cautionary statements above. .
On behalf of the Board of Directors,
Sunny Trinh, CEO
DevvStream Media Contact
DevvStream@icrinc.com and info@fcir.ca
Phone: (332) 242-4316
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/203352.
