Carbon Streaming Announces Quarterly Financial Results
Carbon market momentum continues to build with MarVivo Stream agreement, transaction upgrade to OTCQB market, and strategic additions to board and management
( BUSINESS WIRE )–Carbon Streaming Corporation (NEO: NETZ ) (OTCQB: OFSTF ) (FSE: M2Q ) (“ Carbon Streaming ” or the “ Company ”) has announced a 2021 Financial results for the three and six months ended December 31. All figures are in U.S. dollars unless otherwise noted. The company will host a live audio conference call on Tuesday, February 15, 2022 at 11 a.m. EST. See below for details on how to register and participate in the conference call.
Justin Cochrane, CEO of Carbon Streaming, commented: “We enter 2022 with ample cash reserves and strong foundations to deliver on our corporate mission to combat climate change and to positively impact the surrounding communities and ecosystems in which we invest. “The next 12 months will be a formative period for the company, and we will continue to deliver on our vision by deploying much-needed funding to scale carbon projects and meet demand.”
Second-quarter carbon credit flow
- Carbon Streaming entered into a third carbon credit streaming agreement with MarVivo Corporation for the right to purchase 200,000 carbon credits per year or 20% of the annual verified carbon credits from the MarVivo Blue Carbon Project, whichever is greater. Located in Baja California Sur, Mexico, the project focuses on the conservation of mangroves and their associated marine ecosystems.
Second Quarter Corporate and Financial Highlights
- As of December 31, 2021, the company had $103.9 million in cash and no corporate debt.
- For the six months ended December 31, 2021, the company invested and committed $62.2 million in carbon credit stream investments and strategic assets.
- The company upgraded its trading market from OTC to OTCQB on November 22, 2021 under the symbol OFSTF.
- On November 20, 2021, the company’s previously issued special warrants were automatically converted into 21 million shares and 21 million warrants. As of December 31, 2021, the company had 46.6 million ordinary shares outstanding and 33.4 million warrants outstanding.
- The company’s securities began trading as combined shares on October 25, 2021. The merger will be implemented on the basis that every five shares of pre-merger common stock are exchanged for one share of merged common stock (five for one).
- The company has significantly strengthened its team with the appointment of Mr. Geoff Smith as President and Chief Operating Officer, Mr. Derek Sawkins as Executive Vice President of Investments and Strategy, and Ms. Candace MacGibbon and Ms. Alice Schroder (January 2022) to the Company’s Board of Directors.
- The company reported a net loss of $47.3 million for the quarter, primarily due to a $40.9 million non-cash charge related to the revaluation of Canadian dollar-denominated warrant liabilities. Adjusted net loss excluding the impact of the revaluation of warrant liabilities was $6.4 million. Adjusted net income (loss) is a non-IFRS measure, see Announcement: Non-IFRS measure.
Carbon Market Update
- The Voluntary Carbon Market (“ VCM ”) has experienced strong price appreciation and substantial growth throughout 2021.
- Nature-based carbon credits currently trade at an average price of $14.88/credit (see www.carboncredits.com ). The price of REDD+ credits has nearly tripled since Carbon stream invested in the Rimba Raya and Cerrado Biome projects.
- According to the Ecosystem Marketplace, the transaction volume of VCM will exceed $1 billion in 2021.
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