Cielo provides update on intent to acquire synthetic fuel facility

Cielo Waste Solutions Corp., a Canada-based waste-to-fuel environmental technology company, has provided an update regarding the June 12 binding letter of intent to acquire an Alberta facility from Rocky Mountain Clean Fuels Inc., an Alberta-based company that designs, constructs and operates small-scale gas-to-liquids plants to convert natural gas and natural gas liquids into synthetic diesel and jet fuels.

Cielo had previously announced an intended closing date of Sept. 6, 2024, however Cielo and Rocky Mountain have executed an amendment to provide for an additional few weeks to complete the due diligence process to be followed by the execution of the definitive agreement and the closing of the proposed transaction.

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The synthetic fuel facility located in Carseland, Alberta, deploys patented enhanced gas-to-liquids (EGTL) technology developed by Expander Energy Inc. and designed to make synthetic diesel and jet fuel from natural gas and natural gas liquids. Cielo holds an exclusive license from Expander in Canada for a patented enhanced biomass-to-liquids (EBTL) technology and related intellectual property.

Cielo says it intends to build a gasifier on the land adjacent to the EGTL facility that will support deployment of EBTL technology with a goal to diversify the inputs used to process synthetic diesel and jet fuel, resulting in a fully operational facility capable of producing bio-syngas from biomass inputs. The facility will be able to process bio-syngas into Bio-SynJet and Bio-SynDiesel, the company says.

Cielo says it has retained Integral Wealth Securities Limited to provide market-making in accordance with TSX Venture Exchange.