CarbonOne Technologies Inc.
TSX VENTURE : CX

CarbonOne Technologies Inc.

November 30, 2015 07:30 ET

CarbonOne Technologies Commences Production of XBar™ Rebar, Announces Q3 Financial Results

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Nov. 30, 2015) - CarbonOne Technologies Inc. (TSX VENTURE:CX) ("CarbonOne" or the "Company") is pleased to announce that C1 Pultrusions LLC, a majority owned subsidiary of CarbonOne, has commissioned its XBar™ rebar Production Machine and has commenced production. The Production Machine has the capacity to produce up to one million feet of XBar™ rebar per month, and is ready to fill commercial sale orders of XBar™ rebar for use in pre-cast concrete, road construction, parking slabs, retaining walls, rail ties, mining and marine applications. In conjunction with the commencement of production, CarbonOne has initiated ICC-ES, ACI 440 and ASTM testing with North Carolina State University and University of Miami to expand XBar™ rebar's potential across a range of industries, including bridges and building construction.

XBar™ rebar is a composite rebar that is lighter yet stronger than steel, and also rust proof, providing an alternate concrete reinforcement product with significant advantages over steel rebar. CarbonOne's approach to manufacturing composite rebar allows the Company to quickly and cost-effectively manufacture a high-quality product that will outperform its competitors on both a performance and cost perspective.

"XBar™ rebar provides a number of safety and engineering advantages over steel rebar and is part of an integrated solution that will bring significant improvements across a wide range of applications," said John Proust, Chairman and CEO of CarbonOne. "While achieving XBar™ rebar production has been our primary objective in recent months, we continue to develop a number of products that are expected to generate additional cash flow and business opportunities for the Company. Every member of the CarbonOne team is focused on building a leading Company with a portfolio of advanced materials products."

XBar Rebar Certification Testing

CarbonOne has completed a number of tests to date using XBar™ rebar samples from the Company's pilot machine. XBar™ rebar has consistently outperformed other composite rebars in tensile (strength), modulus (stiffness) and strain tests. Testing to date has been conducted by independent labs at Sherbrooke University under the supervision of Dr. Brahim Benmokrane, and at the University of Illinois under the supervision of Dr. Mohsen Issa.

With the commencement of commercial production from the Production Machine, the Company has now engaged North Carolina State University, under the supervision of Dr. Sami Rizkalla, and University of Miami, under the supervision of Dr. Antonio Nanni, to perform independent ICC-ES (International Code Council Evaluation Service) testing on XBar™ rebar. ICC-ES tests are based on the standards outlined by ACI 440 (American Concrete Institute) and ASTM (American Society for Testing and Materials). For decades, ICC-ES has been the industry leader in performing technical evaluations for code compliance, providing regulators and construction professionals with clear evidence that products comply with codes and standards. These tests set the industry standard for individuals and organizations involved in concrete design, construction and materials, and are anticipated to further confirm XBar™ rebar's application as a steel rebar replacement in reinforced concrete structures.

North Carolina State University and University of Miami will perform a suite of independent tests on XBar™ rebar produced from the Company's Production Machine. Both universities are equipped with state-of-the-art ISO-certified laboratories and testing facilities and are considered experts in the field of advanced materials. ICC-ES testing will provide the highest level of industry certification, confirming that the manufacturing process and XBar™ rebar meet the highest quality control standards. The full suite of tests is expected to be completed within 2016. Completion of the testing process should give CarbonOne the ICC-ES Evaluation Service Report ("ESR") that includes both material certification and also the information that engineers need to design their construction projects using XBar™ rebar.

"The results of these ICC-ES tests will be recognized worldwide, expanding market awareness and establishing engineering standards for CarbonOne's XBar™ composite rebar," said John Proust, Chairman and CEO of CarbonOne. "We are pleased to be completing these tests with institutions as prestigious as North Carolina State University and University of Miami. We are confident that these tests will provide independent validation of our initial tests and provide new business opportunities for CarbonOne in the advanced materials industry."

Q3-2015 Financial Snapshot

As at quarter ended
September 30, 2015
$
As at year ended
December 31, 2014
$
Total assets 3,491,904 868,768
Machinery and equipment 636,137 485,666
Working capital 1,106,735 (1,357,523 )
Comprehensive loss (3,986,811 ) (3,320,920 )
Basic and diluted loss per share (0.10 ) (0.05 )

Additional information regarding the Company's financial results is available in the unaudited condensed consolidated interim financial statements and Management's Discussion and Analysis, which are available for download on the Company's website at www.carbononetech.com and on SEDAR at www.sedar.com.

About CarbonOne Technologies Inc.

CarbonOne, through its subsidiaries, is engaged in the development, production, manufacturing and commercialization of advanced materials. The Company holds exclusive world-wide licenses for a suite of intellectual property. With its proprietary developments in resin, furnace, and milling technologies, CarbonOne can cost-effectively produce low-cost, high-performance composite materials for industrial and structural applications. CarbonOne's products have disruptive implications in a number of industries, competing with traditional materials including wood, metal, concrete, panel insulation and plastic. CarbonOne has established a research and development and manufacturing facility in Buffalo, NY, allowing the Company to commercialize existing products and advance new products to launch in the future.

The TSX Venture Exchange has in no way passed upon the merits of the proposed Transaction. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This news release contains certain forward-looking information and forward-looking statements within the meaning of applicable securities legislation (collectively "forward-looking statements"). Certain information contained herein constitutes "forward-looking information" under Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "commissioning", "undertaking", "will", "expected", "expect", "continue", "could" or variations of such words and phrases or statements that certain actions, events or results "will" occur. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed by such forward-looking statements or forward-looking information, including the business of the Company, CarbonOne's ability to achieve commercial production of and generate cash flow from XBar™ rebar, the results of XBar™ rebar testing and how this will affect CarbonOne's ability to market and sell XBar™ rebar, Carbon's ability to advance additional products to cash flow, and CarbonOne's ability to capitalize on additional business opportunities. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward looking information. The Company does not undertake to update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.

Contact Information

  • CarbonOne Technologies Inc.
    John Proust
    CEO and Chairman
    604-609-6136

    CarbonOne Technologies Inc.
    Rhylin Bailie
    Vice President, Investor Relations and Communications
    604-609-6136
    info@carbononetech.com
    www.carbononetech.com