VANCOUVER, BC, Dec. 14,
2023 /CNW/ - Klimat X Developments Inc.
("Klimat X" or the "Company") (TSXV: KLX) (FSE:
Q1C) a leading provider of high-quality carbon credits sourced
exclusively from afforestation and reforestation projects developed
and owned by the Company and its stakeholders, is pleased to share
recent independent research from Trove confirming that nature-based
restoration projects continue to command very significant premiums
over average carbon prices. Over the last 12 months, Trove's
research in the report '3Q3 Voluntary Carbon Market in Review'
indicates that prices for restoration projects have increased by
63% to weighted average prices approaching USD25 per ton. Trove indicates that investors
expect average prices of USD11-18 per
ton by the end of 2023 with some investors anticipating prices as
high as USD23-26 per ton. These
nature restoration projects have attracted significant premiums,
while pricing for other project types have remained flat or
declined.
Writing in the Financial Times, Ursula
von der Leyen, the European Commission president and her
colleagues from the IMF and WTO wrote 'to get emissions on track,
the global price of carbon will need to reach and average of
$85 a ton by 2030 ..' ('No More
Business As Usual, Financial Times, 2nd December, 2023).
Bloomberg reports that Investment Banks including Goldman
Sachs, JP Morgan Chase and Barclays are starting to finance carbon
credit projects in anticipation of a market that could grow to
$1tn.
Klimat X CEO, James Tansey
commented 'This research demonstrates that investors and buyers are
showing strong interest in the type of restoration projects we have
built the company around. The weighted average prices do not
properly capture the premiums our projects attract. This research
demonstrates that our focus on restoration projects has the
potential to build very strong recurring revenues for our
shareholders and partners.'
- Carbon credits can be produced
from a range of sources including carbon capture and storage,
energy efficiency projects including cookstoves, landfill gas
management and nature-based solutions that conserve or restore
ecosystems.
- The Company's current commitments, covering over 50,000 ha of
forest restoration and at least 10,000 ha of mangrove conservation
are well advanced. To date, the Company has planted almost 1500 ha
of forest restoration and has mapped over 20,000 ha of land owned
privately by smallholders.
- The first 5000 ha of restoration is expected to generate
approximately 1.9 million tonnes of carbon credits over the project
lifespan. The full project areas identified to date have the
potential to produce over 35 million tonnes of restoration and
conservation carbon credits based on modelling completed to date.
The Company continues to expand its pipeline through new project
development.
- According to the Task Force on Scaling Voluntary Carbon
Markets1, nature-based solutions have the potential to
supply up to 80% of the total volume of credits demanded by the
market by 2030.
- Based on the experience of the company with customers,
nature-based restoration projects are currently attracting the
strongest interest from large corporate buyers and funds since they
have simpler technical foundations: it is simpler to establish
pre-project baselines and to show future production of carbon as
trees planted in restored areas grow to maturity.
About Klimat X
Klimat X is an owner and operator of nature-based carbon assets
that serves the growing demand for carbon credits from companies
seeking to meet their Net Zero goals. The Company achieves 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. The Company's
dedication to environmental stewardship and its robust pipeline of
carbon credit projects makes it a trusted partner to the largest
buyers of carbon credits in the world, in the fight against climate
change. Klimat X deploys capital at risk under various arrangements
(including cooperation, assignment, and production sharing
agreements) with government engagement in various suitable
jurisdictions around the world including Sierra Leone, Yucatan, Guyana and Suriname.
On behalf of the Board of
Directors
"James Tansey"
James
Tansey
Chief Executive Officer
http://www.klimatx.com
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 (collectively "forward looking
statements") 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 Offering
and 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 including expectations and assumptions concerning the
Company and the need for additional capital by the Company through
financings, and the risk that such funds may not be raised. 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.
Certain information contained herein includes market and
industry data that has been obtained from or is based upon
estimates derived from third party sources, including industry
publications, reports and websites. Third party sources generally
state that the information contained therein has been obtained from
sources the Corporation believes can be reasonably relied-on, but
there is no assurance or guarantee as to the accuracy or
completeness of included data. Although the data is believed to be
reasonably reliable, neither the Corporation nor its agents have
independently verified the accuracy, currency or completeness of any
of the information from third party sources referred to in this
presentation or ascertained from the underlying economic
assumptions relied upon by such sources.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any securities in any
jurisdiction.
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SOURCE KLIMAT X Developments Inc.