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  • Carbon Streaming Announces First Quarter 2023 Financial Results

    Diversified Portfolio Grows to 10 Streams and Royalties Covering 21 Projects

    First Quarter 2023 Update Call to be Held on Monday, November 14, 2022 at 11:00 a.m. ET

    TORONTO, November 10, 2022–(BUSINESS WIRE)–Carbon Streaming Corporation (NEO: NETZ) (OTCQB: OFSTF) (FSE: M2Q) (“Carbon Streaming” or the “Company“) today reported its financial results for the three months ended September 30, 2022. All figures are in United States Dollars, unless otherwise indicated. The Company will host a live audio call at 11:00 a.m. ET on Monday, November 14, 2022.

    Carbon Streaming Founder and CEO Justin Cochrane stated: “We continued to execute on our growth strategy in the first quarter, announcing the Nalgonda Rice Farming Stream, the FCG Amazon Portfolio Royalty and the Bonobo Peace Forest Royalty. Our high-quality portfolio now comprises over 20 carbon stream and royalty projects that are diverse in project type and geography.”

    Mr. Cochrane added: “We are proud to have published our inaugural Sustainability Report this month. In it we detail our approach to ESG and commitment to climate action and the broader UN Sustainable Development Goals. As we continue to grow our company and scale our impact, our Guiding Principles will be key in driving value for all our stakeholders.”

    Company Highlights

    First Quarter 2023

    • Ended the quarter with $72.7 million in cash and no corporate debt.
    • Recognized net loss of $2.4 million for the quarter. After adjusting for a $2.9 million non-cash revaluation related to warrant liabilities, adjusted net loss was $5.3 million. See “Advisories – Non-IFRS Measures” for a reconciliation of adjusted net income (loss) to its most comparable IFRS measure.
    • Paid $13.3 million and committed to pay $1.8 million in upfront deposits for new carbon credit streaming and royalty agreements, early deposit interests and other assets during the quarter.
    • Closed the Community Carbon streaming agreement and made an initial upfront deposit payment of $6.5 million. This portfolio of fuel-efficient cookstoves and water filtration devices projects is targeting reduction of approximately 50 million tonnes of CO2 equivalent (“tCO2e“) emissions and generation of an equivalent amount of carbon credits over the 15 to 21 year lives of the projects.
    • Announced a binding term sheet and royalty agreement with Future Carbon International LLC covering four projects located in the Amazon rainforest (the “FCG Amazon Portfolio Royalty“) in Brazil. These projects are expected to generate approximately 68 million carbon credits over the 30-year lives of the projects, from which the Company will receive 5% of revenues.
    • Announced an amended and restated term sheet with Bonobo Conservation Initiative (“BCI“), advanced an additional $0.6 million to BCI to advance the Bonobo Peace Forest projects and entered into a royalty agreement with BCI (the “Bonobo Peace Forest Royalty“). The Company will receive 5% of revenue from carbon credit sales generated by projects for 30 years starting from the date of the first royalty payment.
    • Announced a sustainable rice farming stream with Core CarbonX Solutions Pvt Ltd. (the “Nalgonda Rice Farming Stream“) to develop its methane avoidance grouped project in Nalgonda District, Telangana State, India. This project is expected to generate approximately 2.5 million carbon credits over seven years.
    • Increased the Company’s equity interest in Carbon Fund Advisors Inc. to 50% for an additional $1.35 million. Carbon Fund Advisors Inc. is the sub-advisor of the Carbon Strategy ETF (NYSE: KARB), an actively managed thematic exchange traded fund providing investors exposure to compliance carbon markets.
    • Joined the United Nations Global Compact initiative, a voluntary leadership platform for organizations to align their operations and strategies with ten universally accepted principles in the areas of human rights, labour, environment and anti-corruption, and to take action in support of UN goals and issues embodied in the Sustainable Development Goals.

    Subsequent to September 30, 2022

    • Announced a carbon credit stream and associated royalty (collectively, the “Enfield Biochar Stream“) with Standard Biocarbon Corporation to support the construction of a pilot biochar production facility in Enfield, Maine, USA. This project is expected to remove approximately 90,000 tCO2e of emissions and generate an equivalent number of CO2 Removal Certificates (“CORCs“) over the 30-year project life. The project is also expected to produce approximately 250,000 cubic yards of biochar over the project life, on which the Company will receive a royalty on volume sold.
    • Published the Company’s inaugural Sustainability Report, which describes Carbon Streaming’s business model, approach to climate action and impact investing, due diligence and governance practices, guiding principles as well as the Company’s environmental and social impacts.
    • Offset five times the Company’s calendar year 2021 emissions through the retirement of 125 carbon credits from our portfolio.

    Strategy and Outlook
    Carbon Streaming’s strategy continues to be focused on acquiring additional streams and royalties to diversify and grow its portfolio of projects. In the three months ended September 30, 2022, the Company closed the Community Carbon Stream and announced three new transactions: the FCG Amazon Portfolio Royalty, the Bonobo Peace Forest Royalty and the Nalgonda Rice Farming Stream. The addition of these new stream and royalty agreements furthers the Company’s goal of diversifying its portfolio geographically and by project type. Carbon Streaming plans to partner and support new and existing carbon projects as the Company continues to build its high-integrity portfolio of carbon credit streams and royalties.

    Indonesia Update
    In October, Indonesia’s Ministry of Environment & Forestry (“MOEF“) issued Regulation No. 21 of 2022 (“Reg 21“), setting out a framework for domestic and international carbon trading in Indonesia. The Company welcomes the progress that this framework represents, and is awaiting further clarity to understand the full implication for the Rimba Raya Stream. As previously disclosed in April 2022, the Indonesian government announced a temporary pause in the validation of carbon credits from projects on the Verra Registry (and other registries) as it sought to finalize its national carbon emission regulations. InfiniteEARTH, the project operator, will continue to work closely with the MOEF and Sistem Registri Nasional Pengendalian Perubahan Iklim (“SRN“) to review, implement, and comply with new regulations. The Company and InfiniteEARTH view the development of a national carbon policy as an important and positive step for Indonesia, carbon markets, and global climate action.

    Change in Year-End
    To align the Company’s financial reporting period with traditional financial, operational, and taxation cycles, Carbon Streaming will change its year end to December 31, beginning December 31, 2022. As such, the Company will report audited financial statements for a six-month transitional fiscal year from July 1, 2022 to December 31, 2022. For additional information, please see the Notice of Change in Year-End filed on November 10, 2022, which is available on SEDAR at www.sedar.com.

    First Quarter 2023 Results Conference Call Details
    The Company’s management team will host an interactive audio call on Monday, November 14, 2022 at 11:00 a.m. ET to provide a brief company update. Participants may join by dialing +1 416-764-8658 or toll free from North America at +1 888-886-7786. An audio replay of the conference call will be available on the Company website until 11:59 p.m. ET on November 28, 2022.

    About Carbon Streaming
    Carbon Streaming aims to accelerate a net-zero future. We pioneered the use of streaming transactions, a proven and flexible funding model, to scale high-integrity carbon credit projects to accelerate global climate action and advance the United Nations Sustainable Development Goals. This approach aligns our strategic interests with those of project partners to create long-term relationships built on a shared commitment to sustainability and accountability and positions us as a trusted source for buyers seeking high-quality carbon credits.

    The Company’s focus is on projects that have a positive impact on the environment, local communities, and biodiversity, in addition to their carbon reduction or removal potential. The Company has carbon credit streams and royalties related to over 20 projects around the world, including projects focused on nature-based solutions, the distribution of fuel-efficient cookstoves and water filtration devices, waste avoidance and energy efficiency, methane avoidance in agriculture and biochar carbon removal.

    To receive corporate updates via e-mail, please subscribe here.

    Non-IFRS Measures
    This news release contains the financial term “adjusted net loss”, which is not considered in the International Financial Reporting Standards (“IFRS“). The Company’s determination of this non-IFRS measure may differ from other reporting issuers, and therefore may not be comparable to similar measures presented by other companies where similar terminology is used.

    The following table reconciles net and comprehensive income (loss) to adjusted net income (loss):

    (US$ millions)Three Months Ended
    Sep 30, 2022Sep 30, 2021
    Net and comprehensive income (loss)$(2.4)$(43.3)
    Adjustment for non-cash settled items:
    Revaluation of warrant liabilities2.9(40.5)
    Adjusted net income (loss)$(5.3)$(2.8)

    This non-IFRS measure should not be considered in isolation or as a substitute for measures of performance or cash flows as prepared in accordance with IFRS. This financial measure is included because management believes that this non-IFRS measure, together with measures prepared in accordance with IFRS, provides useful information to investors and shareholders in assessing the Company’s liquidity and overall performance as it removes the impact of non-cash charges. Refer to the “Non-IFRS Measures” section on page 21 of the Company’s MD&A for the three months ended September 30, 2022 for further details.

    Cautionary Statement Regarding Forward-Looking Information
    This news release contains certain forward-looking statements and forward-looking information (collectively, “forward-looking information”) within the meaning of applicable securities laws. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future, are forward-looking information, including, without limitation, timing and the amount of future carbon credit generation and emission reductions and removals from the Company’s existing streaming agreements; statements with respect to the projects in which the Company has streaming and royalty agreements in place; statements with respect to the Company’s growth objectives; the impact of Indonesian regulatory developments on the Rimba Raya project and the Rimba Raya Stream; and statements with respect to execution of the Company’s portfolio and partnership strategy.

    When used in this news release, words such as “estimates”, “expects”, “plans”, “anticipates”, “will”, “believes”, “intends” “should”, “could”, “may” and other similar terminology are intended to identify such forward-looking statements. This forward-looking information is based on the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, the Company. They should not be read as a guarantee of future performance or results, and will not necessarily be an accurate indication of whether or not such results will be achieved. Factors that could cause actual results or events to differ materially from current expectations include, among other things: volatility in prices of carbon credits and demand for carbon credits; change in social or political views towards climate change and subsequent changes in corporate or government policies or regulations and associated changes in demand for carbon credits; limited operating history for the Company’s current strategy; risks arising from competition and future acquisition activities; concentration risk; inaccurate estimates of growth strategy, including the ability of the Company to source appropriate opportunities and enter into stream, royalty or other agreements; dependence upon key management; general economic, market and business conditions and global financial conditions, including fluctuations in interest rates, foreign exchange rates and stock market volatility; uncertainties and ongoing market developments surrounding the validation and verification requirements of the voluntary and/or compliance markets; failure or timing delays for projects to be registered, validated and ultimately developed and for emission reductions or removals to be verified and carbon credits issued; foreign operations and political risks including actions by governmental authorities, including changes in or to government regulation, taxation and carbon pricing initiatives; due diligence risks, including failure of third parties’ reviews, reports and projections to be accurate; dependence on project partners, operators and owners, including failure by such counterparties to make payments or perform their operational or other obligations to the Company in compliance with the terms of contractual arrangements between the Company and such counterparties; failure of projects to generate carbon credits, or natural disasters such as flood or fire which could have a material adverse effect on the ability of any project to generate carbon credits; volatility in the market price of the Company’s common shares or warrants; the effect that the issuance of additional securities by the Company could have on the market price of the Company’s common shares or warrants; global health crises, such as pandemics and epidemics, including the ongoing COVID-19 pandemic and the uncertainties surrounding the ongoing impact of the COVID-19 pandemic; and the other risks disclosed under the heading “Risk Factors” and elsewhere in the Company’s Annual Information Form dated as of September 26, 2022 filed on SEDAR at www.sedar.com.

    Any forward-looking information speaks only as of the date of this news release. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein. Except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise.

    View source version on businesswire.com: https://www.businesswire.com/news/home/20221110006136/en/

    Contacts

    Justin Cochrane, Chief Executive Officer
    647.846.7765
    [email protected]
    www.carbonstreaming.com

    Investor Relations
    Andrea Cheung, VP, Investor Relations
    [email protected]

    Media
    Amy Chambers, Director, Marketing, Communications & Sustainability
    [email protected]

  • TC Energy seeking to sell off $5 billion in assets in 2023 to fund future projects

    Wed, November 9, 2022

    CALGARY — TC Energy Corp. is looking to divest $5 billion in assets next year, as the Calgary-based pipeline operator seeks to pay down debt and fund new projects.

    In a conference call to discuss third quarter financial results Wednesday, chief executive François Poirier said TC Energy will seek to sell off non-core assets and minority interests to help finance its larger expansion goals without taking on large amounts of debt.

    “We are opportunity rich,” Poirier said. “And being opportunity opportunity-rich means we expect to sanction additional high-quality growth projects that will further differentiate TC Energy as an industry leader. So there is a need to balance our sources and uses of capital without the reliance on further external equity.”

    Poirier declined to provide specifics around which assets could be up for sale, though he said that the greenhouse gas emissions profile of individual assets will be a factor as the company seeks to reduce its carbon footprint.

    In addition, he said a divestiture program will give TC Energy the capacity to move faster with some of its efforts to reduce its emissions by 30 per cent by 2030, and reach the target of net-zero greenhouse gas emissions by 2050. The company is exploring a carbon capture transportation and sequestration system in partnership with Pembina Pipeline Corp., and also has a partnership with Irving Oil to explore the development of low-carbon hydrogen opportunities.

    On Wednesday, Poirier said he was encouraged by last week’s federal fall economic statement, which pledged government support for the development of clean technologies as well as a new tax credit for hydrogen development.

    “We’ve been working very hard to develop our capabilities in some of these new low-carbon areas,” Poirier said. “Clearly, the incentives that have been presented both in the U.S. and Canada are going to accelerate our opportunity set in our low-carbon businesses.”

    TC Energy reported Wednesday that its third-quarter profit rose compared with a year ago as its revenue gained more than 15 per cent.

    The company said it earned net income attributable to common shares of $841 million or 84 cents per share for the quarter ended Sept. 30, up from $779 million or 80 cents per share a year earlier.

    Revenue for the quarter totalled nearly $3.80 billion, up from $3.24 billion in the third quarter of 2021.

    During the quarter, TC Energy resolved a long-standing dispute with LNG Canada over projected cost overruns for the Coastal GasLink pipeline project, which TC is building to ship natural gas to the LNG Canada export terminal currently under construction near Kitimat, B.C.

    The revised project agreements reflect a new total cost estimate for Coastal GasLink of $11.2 billion, up from $6.6 billion.

    In August, TC Energy announced a strategic alliance with Mexico’s state-owned electric utility for the development of new natural gas infrastructure in central and southeast Mexico.

    As a result of that agreement, TC Energy announced it will go ahead with construction of the Southeast Gateway pipeline, a 715-km offshore natural gas pipeline to serve the southeast region of Mexico. That project is estimated to cost US$4.5 billion, and be complete by mid-2025.

    This report by The Canadian Press was first published Nov. 9, 2022.

    Companies in this story: (TSX:TRP)

    Amanda Stephenson, The Canadian Press

  • PetroTal Announces Robust Initial Production For Well 13H

    November 2, 2022

    Average production over 8,000 bopd during first week

    Calgary, Alberta and Houston, Texas–(Newsfile Corp. – November 3, 2022) – PetroTal Corp. (TSXV: TAL) (AIM: PTAL) (OTCQX: PTALF) (“PetroTal” or the “Company“) is pleased to announce the successful testing results of well 13H, the Company’s thirteenth producing well.

    Well 13H highlights

    • Well 13H has successfully tested at approximately 8,000 barrels of oil per day (“bopd”) over its first week of production, placing it in the top horizonal producers drilled by the Company, with the November 2, 2022 rate at 7,825 bopd;
    • To optimize operations, well 13H was drilled ahead of well 12H to save time and cost related to skidding the rig to the corresponding cellar;
    • The well was drilled to a total measured depth of 4,864 meters, including a 1,152 meter lateral section making it the longest reach horizontal well the Company has drilled;
    • The total cost of the well was $14.4 million, within budget and completed on time without any operational issues;
    • Well 13H was successfully completed on October 13, 2022, however, it could not be fully tested until October 27, 2022 when internal storage capacity became available. Barging logistics continue to improve with the Company now expecting to raise production levels by mid-November;
    • Current field production capacity is over 20,000 bopd; and,
    • Well 13H encountered the target producing formation approximately three meters higher than prognosis and approximately five meters higher at the end of the horizontal section which could have a positive impact on the oil-in-place estimates and reserves.

    Well 12H

    PetroTal continues its active drilling program to further increase its low cost, high margin production at Bretana. On October 16, 2022, the Company commenced drilling well 12H with an approximate cost of $14.0 million and an estimated completion in mid-December 2022.

    Q3 2022 Financial and Operating Results

    The Company will release its Q3 2022 financial and operating results on November 17, 2022 and will host a live webcast at 9am CDT time. Please see the webcast link below:

    Manuel Pablo Zuniga-Pflucker, President and Chief Executive Officer, commented:

    “We are pleased to announce the successful and productive 13H oil well, our longest horizontal well to date. We look forward to seeing the 12H well deliver similar results. We will continue to operate and develop our assets with prudent and safe operational practices that deliver best in class productivity for employees and shareholders.”

    ABOUT PETROTAL

    PetroTal is a publicly traded, tri quoted (TSXV: TAL) (AIM: PTAL) (OTCQX: PTALF) oil and gas development and production Company domiciled in Calgary, Alberta, focused on the development of oil assets in Peru. PetroTal’s flagship asset is its 100% working interest in Bretana oil field in Peru’s Block 95 where oil production was initiated in June 2018. In early 2020, PetroTal became the largest crude oil producer in Peru. The Company’s management team has significant experience in developing and exploring for oil in Peru and is led by a Board of Directors that is focused on safely and cost effectively developing the Bretana oil field. It is actively building new initiatives to champion community sensitive energy production, benefiting all stakeholders.

    For further information, please see the Company’s website at www.petrotal-corp.com, the Company’s filed documents at www.sedar.com, or below:

    Douglas Urch
    Executive Vice President and Chief Financial Officer

    [email protected]
    T: (713) 609-9101

    Manolo Zuniga
    President and Chief Executive Officer

    [email protected]
    T: (713) 609-9101

    PetroTal Investor Relations
    [email protected]

    Celicourt Communications
    Mark Antelme / Jimmy Lea
    [email protected]
    T : 44 (0) 208 434 2643

    Strand Hanson Limited (Nominated & Financial Adviser)
    Ritchie Balmer / James Spinney / Robert Collins
    T: 44 (0) 207 409 3494

    Stifel Nicolaus Europe Limited (Joint Broker)
    Callum Stewart / Simon Mensley / Ashton Clanfield
    Tel: +44 (0) 20 7710 7600

    Auctus Advisors LLP (Joint Broker)
    Jonathan Wright
    T: +44 (0) 7711 627449

    READER ADVISORIES

    OIL REFERENCES: All references to “oil” or “crude oil” production, revenue or sales in this press release mean “heavy crude oil” as defined inNI 51-101. All references to Brent indicate Intercontinental Exchange (“ICE”) Brent.

    FORWARD-LOOKING STATEMENTS: This press release contains certain statements that may be deemed to be forward-looking statements. Such statements relate to possible future events, including, but not limited to: PetroTal’s business strategy, objectives, strength and focus; drilling, completions, workovers and other activities and the anticipated costs and results of such activities; PetroTal’s revised 2022 guidance and budget including, but not limited to, estimated or anticipated production levels, capital expenditures and drilling plans; the intention to redeem the outstanding bonds; PetroTal plans to deliver strong operational performance and to generate free cash flow and growth; capital requirements and the Company’s ability to access capital on desirable terms and within required timelines; the ability of the Company to achieve drilling success consistent with management’s expectations; the ability of the Company to achieve near term production targets and operate at unrestricted levels; anticipated future production and revenue; drilling plans including the timing of drilling, commissioning, and startup and the impact of delays thereon; oil production levels, including average and exit production in 2022; sales expansion through alternative exports routes, including barging and trucking; the Company’s proposals for collaboration with local communities; and future development and growth prospects. Forward-looking statements are often, but not always, identified by the use of words such as “anticipate”, “believe”, “expect”, “plan”, “estimate”, “potential”, “will”, “should”, “continue”, “may”, “objective” and similar expressions. The forward-looking statements are based on certain key expectations and assumptions made by the Company, including, but not limited to, expectations and assumptions concerning the ability of existing infrastructure to deliver production and the anticipated capital expenditures associated therewith, the ability of the Ministry of Energy to effectively achieve its objectives in respect of reducing social conflict and collaborating towards continued investment in the energy sector, reservoir characteristics, recovery factor, exploration upside, prevailing commodity prices and the actual prices received for PetroTal’s products, including pursuant to hedging arrangements, the availability and performance of drilling rigs, facilities, pipelines, other oilfield services and skilled labour, royalty regimes and exchange rates, impact of inflation on costs, the application of regulatory and licensing requirements, the accuracy of PetroTal’s geological interpretation of its drilling and land opportunities, current legislation, receipt of required regulatory approval, the success of future drilling and development activities, the performance of new wells, the Company’s growth strategy, general economic conditions and availability of required equipment and services. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, risks associated with the oil and gas industry in general (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses; and health, safety and environmental risks), commodity price volatility, price differentials and the actual prices received for products, exchange rate fluctuations, legal, political and economic instability in Peru, wars (including Russia’s war in Ukraine), access to transportation routes and markets for the Company’s production, changes in legislation affecting the oil and gas industry and uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures. The ongoing war between Russia and Ukraine has the potential to threaten the supply of oil and gas from the region. The long-term impacts of the war between these nations remains uncertain. In addition, the Company cautions that current global uncertainty with respect to the spread of the COVID-19 virus and its effect on the broader global economy may have a significant negative effect on the Company. While the precise impact of the COVID-19 virus on the Company remains unknown, rapid spread of the COVID-19 virus may continue to have a material adverse effect on global economic activity, and may continue to result in volatility and disruption to global supply chains, operations, mobility of people and the financial markets, which could affect interest rates, credit ratings, credit risk, increased operating and capital costs due to inflationary pressures, business, financial conditions, results of operations and other factors relevant to the Company. Please refer to the risk factors identified in the Corporation’s annual information form (filed April 28, 2022) and MD&A (filed August 25, 2022) (the “MD&A”), which are available on SEDAR at www.sedar.com. The forward-looking statements contained in this press release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

    SPECIFIED FINANCIAL MEASURES: This press release includes various specified financial measures, including non-GAAP financial measures, non-GAAP financial ratios and capital management measures as further described herein. These measures do not have a standardized meaning prescribed by generally accepted accounting principles (“GAAP”) and, therefore, may not be comparable with the calculation of similar measures by other companies. Management uses these non- GAAP measures for its own performance measurement and to provide shareholders and investors with additional measurements of the Company’s efficiency and its ability to fund a portion of its future capital expenditures. “Adjusted EBITDA” (non-GAAP financial measure) is calculated as consolidated net income (loss) before interest and financing expenses, income taxes, depletion, depreciation and amortization and adjusted for G&A impacts and certain non-cash, extraordinary and non-recurring items primarily relating to unrealized gains and losses on financial instruments and impairment losses, including derivative true-up settlements. PetroTal utilizes adjusted EBITDA as a measure of operational performance and cash flow generating capability. Adjusted EBITDA impacts the level and extent of funding for capital projects investments. Reference to EBITDA is calculated as net operating income less G&A. “Free cash flow” (non-GAAP financial measure) is calculated as net operating income less G&A less exploration and development capital expenditures and is calculated prior to all debt service, taxes, lease payments, hedge costs, factoring, and lease payments. Management uses free cash flow to determine the amount of funds available to the Company for future capital allocation decisions. Please refer to the MD&A for additional information relating to specified financial measures.

    FOFI DISCLOSURE: This press release contains future-oriented financial information and financial outlook information (collectively, “FOFI”) about PetroTal’s revised budget and guidance, prospective results of operations, production and production capacity, free cash flow, revenue, adjusted EBITDA, debt repayment, liquidity, shareholder returns and components thereof, all of which are subject to the same assumptions, risk factors, limitations and qualifications as set forth in the above paragraphs. FOFI contained in this press release was approved by management as of the date of this press release and was included for the purpose of providing further information about PetroTal’s anticipated future business operations. PetroTal disclaims any intention or obligation to update or revise any FOFI contained in this press release, whether as a result of new information, future events or otherwise, unless required pursuant to applicable law. Readers are cautioned that the FOFI contained in this press release should not be used for purposes other than for which it is disclosed herein.

    Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.

  • Eco (Atlantic) Oil and Gas Ltd. Announces Commencement of Operations on the Gazania-1 well

    October 3, 2022

    Eco Atlantic announces Commencement of Operations on the Gazania-1 well, offshore South Africa

    TORONTO, ON / ACCESSWIRE / October 4, 2022 / Eco Atlantic (AIM:ECO)(TSXV:EOG), the oil and gas exploration company focused on the offshore Atlantic Margins, is pleased to announce the arrival of the Island Innovator Semi-Submersible Drilling Rig on Block 2B and the commencement of operations of the Gazania-1 Exploration Well.

    Eco holds a 50% Working Interest (“WI”) in Block 2B and is Operator of the block. The drilling location is located 25km offshore the Northern Cape in Orange Basin South Africa in approximately 150 meters of water. The Gazania-1 Exploration Well is being drilled to a depth of approximately 2,800 meters through a multizone pay section. The well is being drilled up dip of the AJ-1 Discovery Well on the block, which proved approximately 50 million barrels of contingent resources.

    The Gazania-1 Prospect is targeting over 300 million barrels of light oil. Pending discovery in the vertical section the JV partners have the option to directionally drill a second sidetrack well from the main well bore. Both the vertical well and the sidetrack optional well will be logged and then plugged back to surface, the well will be sealed, plugged and the casing cut off below surface. No equipment will remain on the sea floor.

    The JV partnership in respect of Block 2B comprises Eco Atlantic (50% WI and Operator), Africa Energy Corp (27.5% WI), Panoro 2B Limited, a subsidiary of Panoro Energy ASA (12.5% WI), and Crown Energy AB (10% WI).

    Colin Kinley, Co-founder and Chief Operating Officer of Eco Atlantic, commented:

    “Drilling Gazania-1 offers a significant opportunity to South Africa to open up the Orange Basin. A number of prior discoveries in the region are changing the understanding of this Basin both in South Africa and Namibia where recent multi-billion-barrel discoveries have opened the gate to a new era of economic and resource opportunity. The Discovery at AJ-1 is extremely helpful in creating the opportunity on the Gazaina-1 well that we are confident that the decades of science will prove out.

    “This well is being drilled to define the opportunity and the initial path in the Basin. We are drilling this strictly as an Exploration well. Once we have defined the resources here, South Africa and the JV partners will make its choices and we will determine the next stage of development. Eco appreciates all the support of the South African Government, the local industries and local communities in the communication, participation and planning of this well.

    “We are entering an exciting and busy period of drilling and work programmes and we look forward to updating the market, our partners and all stakeholders in the coming weeks on our progress and the Gazania-1 exploration well results.”

    **ENDS**

    For more information, please visit www.ecooilandgas.com or contact the following:

    Eco Atlantic Oil and Gasc/o Celicourt +44 (0) 20 8434 2754
    Gil Holzman, CEOColin Kinley, COOAlice Carroll, Head of Corporate Sustainability+44(0)781 729 5070
    Strand Hanson (Financial & Nominated Adviser)+44 (0) 20 7409 3494
    James HarrisJames Bellman
    Berenberg (Broker)+44 (0) 20 3207 7800
    Matthew ArmittDetlir Elezi
    Echelon Capital (Financial Adviser N. America Markets)
    Ryan MooneySimon Akit+1 (403) 606 4852+1 (416) 8497776
    Celicourt (PR)+44 (0) 20 8434 2754
    Mark AntelmeJimmy Lea

    The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018 (as amended).

    Notes to editors:

    About Eco Atlantic:

    Eco Atlantic is a TSX-V and AIM-quoted Atlantic Margin-focused oil & gas exploration company with offshore license interests in Guyana, Namibia, and South Africa. Eco aims to deliver material value for its stakeholders through its role in the energy transition to explore for low carbon intensity oil and gas in stable emerging markets close to infrastructure.

    Offshore Guyana in the proven Guyana-Suriname Basin, the Company holds a 15% Working Interest in the 1,800 km2 Orinduik Block Operated by Tullow Oil. In Namibia, the Company holds Operatorship and an 85% Working Interest in four offshore Petroleum Licences: PELs: 97, 98, 99, and 100, representing a combined area of 28,593 km2 in the Walvis Basin.

    Offshore South Africa, Eco is Operator and holds a 50% working interest in Block 2B and a 20% Working Interest (to be increased to a 26.25% Working Interest, subject to Completion of the Acquisition announced 27 June 2022) in Blocks 3B/4B operated by Africa Oil Corp., totalling some 20,643 km2.

    This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.

    SOURCE: Eco (Atlantic) Oil and Gas Ltd.



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  • Trillion Energy Announces Commencement of Second Well in Its Multiwell Program

    November 3, 2022

    The Akcakoca-3 recompletion at the SASB gas field has now commenced

    Vancouver, B.C., Nov. 03, 2022 (GLOBE NEWSWIRE) — Trillion Energy International Inc. (“Trillion” or the “Company”) (CSE: TCF) (OTCQB: TRLEF) (Frankfurt: Z62) is pleased to announce commencement of the recompletion of the Akcakoca-3 natural gas well, the second operation in the Company’s 17 well SASB development program.

    On October 31, 2022, the Uranus Rig was repositioned 3 meters while at the Akcakoca Platform to the Akcakoca-3 well slot. The recompletion will replace the bent 2 ½” tubing with 4 ½” tubing, perforate remaining gas zones upon which time the well will be put back onto production. The recompletion started on November 1st and is expected to take 12 days.

    The Akcakoca-3 well originally entered production during March 2011 and has produced 9.78 Bcf (100% interest) of natural gas to date. The well encountered mechanical issues with the production tubing and water build-up and as a result, has only intermittently produced gas since November 2019. The well is expected to start producing natural gas again immediately upon recompletion.

    About the Company

    Trillion Energy is focused on natural gas production for European and Turkish markets, through its 49% interest in the SASB natural gas field, one of the Black Sea’s first and largest-scale natural gas development. We also produce oil from the Cendere oil field in which we own 19.6% (except three wells with 9.8%). In Bulgaria we have 100% of a prospective unconventional natural gas property, the Vranino 1-11 block. More information may be found on www.sedar.com, and our website.

    Contact
    Art Halleran: 1-250-996-4211
    Corporate offices: 1-778-819-1585
    e-mail: [email protected]
    Website: www.trillionenergy.com

    Cautionary Statement Regarding Forward-Looking Statements

    This news release may contain certain forward-looking information and statements, including without limitation, statements pertaining to the Company’s ability to obtain regulatory approval of the executive officer and director appointments. All statements included herein, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties. Trillion does not undertake to update any forward-looking information except in accordance with applicable securities laws.

    These statements are not guaranteeing of future performance and are subject to certain risks, uncertainties, and assumptions that are difficult to predict. Accordingly, actual results could differ materially and adversely from those expressed in any forward-looking statements as a result of various factors. These factors include unforeseen securities regulatory challenges, COVID, oil and gas price fluctuations, operational and geological risks, the ability of the Company to raise necessary funds for development; the outcome of commercial negotiations; changes in technical or operating conditions; the cost of extracting gas and oil may be too costly so that it is uneconomic and not profitable to do so and other factors discussed from time to time in the Company’s filings on www.sedar.com, including the most recently filed Annual Report on Form 20-F and subsequent filings for the first quarter of 2022. For a full summary of our oil and gas reserves information for Turkey, please refer to our Forms F-1,2,3 51-101 filed on www.sedar.com, and or request a copy of our reserves report effective December 31, 2021 and our Prospective Resource report effective October 31, 2021.

  • Core One Labs Takes Next Steps to Prepare for Potential Takeover Opportunities

    October 21, 2022

    VANCOUVER, BC / ACCESSWIRE / October 21, 2022 / Core One Labs Inc. (CSE:COOL), (OTCQB:CLABF), (Frankfurt:LD6, WKN:A3CSSU) (the “Company” or “Core One“) is pleased to announce, as a follow up to the Company’s press release dated March 20, 2022, wherein the Company announced that it was actively working to investigate investment and potential takeover opportunities by strategic psychedelics or pharmaceutical companies, that the Company’s Board of Directors is now taking all necessary steps to prepare itself for acquisition.

    Once a suitable offer has been received and an agreement is reached, the Company will update shareholders and the market and provide all necessary details of the transaction.

    An acquisition has the potential to offer Core One and its shareholders with a unique opportunity to enter into new markets and product lines and could allow Core One to benefit from the strengths and synergies of an acquiror. This, in effect, could boost Core One’s market share and bolster its competitive edge in the lucrative and rapidly-expanding psychedelic industry; especially, given the fact that an acquisition offers both companies access to bilateral exchange of fresh ideas, expertise and strategies from experts and specialists in scientific and financial departments of both businesses.

    Over the past year, through its wholly owned subsidiaries Vocan Biotechnologies Inc (Vocan), Akome Biotech Ltd (Akome) and Awakened Biosciences Inc. (Awakened), Core One Labs has made major breakthroughs in the research and development, as well as production methods of synthetic and biosynthetic psychedelic compounds and their analogues. We expect these groundbreaking achievements to prompt enormous attention from financier and business. An acquisition of Core One may present the Company with access to larger amounts of capital, which could, in turn, support its further innovative advancements and enterprises in the psychedelic space.

    “Core One’s track record and outlook is appealing to many majors in the pharmaceutical and psychedelics market space, and these groups could significantly benefit from Core One’s technological advancements and proprietary assets. This could spell long term prosperity for this business and also provide a return for Core One’s shareholders, as we will only be considering offers that are in the best interest and favorable to all of our shareholders” stated Joel Shacker, Core One Labs CEO.

    About Core One Labs Inc.

    Core One Labs is a life sciences biotechnology research and development company focused on bringing psychedelic medicines to market through the development and production of psychedelic compounds, the advancement of psychedelic assisted treatments, and the integration of novel delivery systems technology.

    The Company has a multi-faceted business approach and incorporates several complementary lines of businesses and units in establishing itself as an industry leader in the rapidly growing and emerging psychedelics market space.

    Core One, through its wholly owned subsidiary Vocan Biotechnologies Inc., has developed and filed for patent protection of a proprietary psilocybin production system using engineered bacteria. It is also the holder of 4 provisional patents for the development of psychedelic-based pharmaceutical formulations targeting neurological and mental health disorders, under its 100% owned subsidiary Akome Biotech Ltd., and 3 provisional patents under its other 100% owned subsidiary, Awakened Biosciences Inc., for additional synthetic technologies for psilocybin and psilocin production methods.

    In addition to the development of psychedelics and psychedelic compounds, Core One holds an interest in four medical clinics which maintain a combined database of more than 275,000 patients. Through its clinics the Company intends to integrate a roll out of its intellectual property related to psychedelic technologies and participate in the advancement of psychedelic-based treatments for mental health disorders.

    Core One Labs Inc.

    Joel Shacker
    Chief Executive Officer

    FOR MORE INFORMATION, PLEASE CONTACT:
    [email protected]
    1-888-452-6731

    Cautionary Disclaimer Statement:

    The Canadian Securities Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

    Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management’s current estimates, beliefs, intentions, and expectations. They are not guarantees of future performance. The Company cautions that all forward-looking statements are inherently uncertain, and that actual performance may be affected by a number of material factors, many of which are beyond the Company’s control. Such factors include, among other things: risks and uncertainties relating to the Company’s limited operating history and the need to comply with strict regulatory regulations. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information.

    In addition, psilocybin is currently a Schedule III drug under the Controlled Drugs and Substances Act (Canada) and it is a criminal offence to possess substances under the Controlled Drugs and Substances Act (Canada) without a prescription or authorization. Health Canada has not approved psilocybin as a drug for any indication. Core One does not have any direct or indirect involvement with illegal selling, production, or distribution of psychedelic substances in jurisdictions in which it operates. While Core One believes psychedelic substances can be used to treat certain medical conditions, it does not advocate for the legalization of psychedelics substances for recreational use. Core One does not deal with psychedelic substances, except within laboratory and clinical trial settings conducted within approved regulatory frameworks.

    SOURCE: Core One Labs Inc.



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    https://www.accesswire.com/721677/Core-One-Labs-Takes-Next-Steps-to-Prepare-for-Potential-Takeover-Opportunities

  • Critical Elements Lithium Receives Certificate of Authorization for the Rose Lithium-Tantalum Project in Quebec

    November 2, 2022

    MONTREAL, QC / ACCESSWIRE / November 2, 2022 / Critical Elements Lithium Corporation (TSX-V:CRE) (OTCQX:CRECF) (FSE:F12) (“Critical Elements” or the “Corporation”) is pleased to announce that it has received the Certificate of Authorization (“CA“) pursuant to section 164 of Quebec’s Environment Quality Act for the Rose Lithium-Tantalum Project (“Rose” or the “Project“)) from the Quebec Minister of the Environment, the Fight against Climate Change, Wildlife and Parcs. The issuance of the CA is an important milestone that will allow Critical Elements to advance project financing discussions to start mine construction following the issuance of the mining lease by the Quebec Minister of Natural Resources and Forests (“MNRF“). The Corporation was granted a positive federal decision on August 11, 2021, and therefore has now obtained all main environmental authorizations enabling it to move forward with the Rose Project. The Corporation also received the approval of the rehabilitation and restoration plan by the MNRF on May 13, 2022.

    As per Chapter II of Quebec’s Environment Quality Act, the Environmental and Social Impact Review Committee (“Committee” or “COMEX“), an independent body composed of members appointed by the governments of Quebec and the Cree Nation, was responsible for the assessment and review of the environmental and social Impacts of the Rose Project.

    We are grateful to Government officials and employees involved in the authorization process under the supervision of the Committee, particularly in view of the exceptional circumstances in which the work was carried out in recent years due to the COVID-19 pandemic. We also thank all the stakeholders, and particularly the Cree Nation stakeholders, who participated in the provincial process and thus helped improve the Project from both an environmental and social standpoint.

    “We are very pleased with the decision regarding the Rose Lithium-Tantalum Environmental Assessment process. Critical Elements has made stakeholder relations a priority since the Corporation’s inception. We are excited about the prospect of moving forward with our plans in the James Bay Eeyou Istchee region. Rose is an important project within the Eeyou Istchee James Bay territory and I would like to thank all parties involved and especially all the Eeyou Istchee Cree Nation for their dedication and hard work over the past 10 years to achieve this milestone,” stated Jean-Sébastien Lavallée, CEO of Critical Elements.

    The Rose Lithium-Tantalum site is located in the Nord-du-Québec administrative region, in the Eeyou Istchee James Bay territory, more specifically on Category III land, on the Traditional Lands of the Cree Nation of Eastmain. Critical Elements has always considered developing the Project through a sustainable development approach, taking into account traditional Cree activities and ensuring the promotion of Cree economic and social development. The Cree Nation of Eastmain, the Grand Council of the Crees (Eeyou Istchee), the Cree Nation Government and Critical Elements signed an Impact and Benefit Agreement, referred to as the Pikhuutaau Agreement (the “Pikhuutaau Agreement “), in July 2019. The announcement of the issuance of the CA will allow the Corporation to begin in a more concrete manner the implementation of the Pikhuutaau Agreement, which provides for training, employment and business opportunities for the Crees and particularly the Crees of Eastmain at the Project, as well as for the cooperation and involvement of the Cree parties with Critical Elements in the environmental monitoring during all phases of the Project. The Pikhuutaau Agreement also ensures financial benefits for the Cree parties on a long-term basis, consistent with the Cree Nation Mining Policy and with Critical Elements’ approach to develop the Project while ensuring the promotion of Cree economic and social development in a mutually beneficial manner.

    About Critical Elements Lithium Corporation

    Critical Elements aspires to become a large, responsible supplier of lithium to the flourishing electric vehicle and energy storage system industries. To this end, Critical Elements is advancing the wholly owned, high purity Rose lithium project in Québec, the Corporation’s first lithium project to be advanced within a land portfolio of over 700 square kilometers. On June 13th, 2022, the Corporation announced results of a feasibility study on Rose for the production of spodumene concentrate. The after-tax internal rate of return for the Project is estimated at 82.4%, with an estimated after-tax net present value of US$1.9 B at an 8% discount rate. In the Corporation’s view, Québec is strategically well-positioned for US and EU markets and boasts good infrastructure including a low-cost, low-carbon power grid featuring 93% hydroelectricity.

    For further information, please contact:

    Patrick Laperrière
    Director of Investor Relations and Corporate Development
    514-817-1119
    [email protected]
    www.cecorp.ca

    Jean-Sébastien Lavallée, P. Géo.
    Chief Executive Officer
    819-354-5146
    [email protected]
    www.cecorp.ca

    Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is described in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

    Cautionary statement concerning forward-looking statements

    This news release contains “forward-looking information” within the meaning of Canadian Securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “scheduled”, “anticipates”, “expects” or “does not expect”, “is expected”, “scheduled”, “targeted”, or “believes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information contained herein include, without limitation, the completion of the provincial permitting process and its potential positive effects on the Corporation and the Rose Project, securing sufficient financing on acceptable terms and continued positive discussions and relationships with local communities and stakeholders. Forward-looking information is based on assumptions management believes to be reasonable at the time such statements are made. 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 information.

    Although Critical Elements has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Factors that may cause actual results to differ materially from expected results described in forward-looking information include, but are not limited to: Critical Elements’ ability to secure sufficient financing to advance and complete the Rose Project, uncertainties associated with the Corporation’s resource and reserve estimates, uncertainties regarding global supply and demand for lithium and tantalum and market and sales prices, uncertainties associated with securing off-take agreements and customer contracts, uncertainties with respect to social, community and environmental impacts, uncertainties with respect to optimization opportunities for the Rose Project, as well as those risk factors set out in the Corporation’s Management Discussion and Analysis for its most recent quarter ended May 31, 2022 and other disclosure documents available under the Corporation’s SEDAR profile. Forward-looking information contained herein is made as of the date of this news release and Critical Elements disclaims any obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws.

    SOURCE: Critical Elements Lithium Corporation



    View source version on accesswire.com:
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  • U.S. military weighs funding mining projects in Canada amid rivalry with China

     Nov 13, 2022

    The United States military has been quietly soliciting applications for Canadian mining projects that want American public funding through a major national security initiative.

    It’s part of an increasingly urgent priority of the U.S. government: lessening dependence on China for critical minerals that are vital in everything from civilian goods such as electronics, cars and batteries, to weapons.

    It illustrates how Canadian mining is becoming the nexus of a colossal geopolitical struggle. Ottawa just pushed Chinese state-owned companies out of the sector, and the U.S. is now considering moving public funding in.

    The American military has a new pot of money at its disposal to help private companies inaugurate new mining projects; it’s for funding feasibility studies, plant renovations, battery-recycling and worker training.

    President Joe Biden invoked the 1950 Defense Production Act to expand the domestic mining sector, and the military received hundreds of millions of dollars to implement it.

    This whirlwind of activity was prompted by a White House study last year warning that dependence on certain foreign-made products represents a national security risk to the U.S., and it cited semiconductors, batteries, medicines and 53 types of minerals.

    U.S. President Joe Biden, shown speaking at a virtual roundtable in Washington in February, invoked the U.S. Defense Production Act in March to fund critical minerals projects needed for such technologies as electric vehicles. (Kevin Lamarque/Reuters)

    An official from the U.S. Department of Defence this week provided a briefing on the program at a cross-border conference, and he made one thing clear about the funding: Canadians qualify.

    That’s because Canada has, for decades, belonged to the U.S. military industrial base and is every bit as entitled to the cash as American mining projects.

    “It’s really quite simple. It’s a matter of law,” said Matthew Zolnowski, a portfolio manager for the Defense Production Act program, speaking to a gathering of the Canada-United States Law Institute in Washington, D.C.

    “So an investment in Alberta or Quebec or Nova Scotia would be no different than if it was in Nebraska or anywhere else in the United States. As a matter of law.”

    Canadian government provides list of 70 projects

    Zolnowski said the U.S. is actively reaching out to companies to explain the process, as many have no relationship with the U.S. government and might not realize how it works.

    “We are actively engaging those firms,” he said, describing a flurry of recent activity by quoting an old movie line: “It’s a duck on a pond. It looks quiet on the surface, but there’s a lot happening.”

    The Canadian government has been active, too. Canadian officials say they’ve already provided the U.S. with a list of 70 projects that could warrant U.S. funding.

    Both countries describe this as a generational initiative still in its early stages: Canada, for now, is still a bit player in producing these minerals, which include lithium, cobalt and manganese.


    But one Canadian official said this can change. Jeff Labonté, assistant deputy minister at Natural Resources Canada, told the conference that Western democracies are now engaged in industrial policy in a way they haven’t been for decades.

    “We have this resource potential…. We also have a huge capacity,” he said, touting 200 mines and 10,000 potential products in the exploration phase.

    “We have a skill set in this area. We have capital markets, we have engineering expertise, we have companies that operate around the country and around the world.”

    Canada is also providing billions of dollars in public funds to the sector over the coming years through federal and provincial programs.

    If it opens on time next March, the mine in La Corne, Que., will be one of the only functional lithium mines in North America. Electric vehicles are hugely reliant on minerals like lithium. (Sayona Québec )

    What’s driving this sudden minerals rush?

    The transition to electric cars is a key driver of this challenge. They’re hugely reliant on minerals like lithium, and current production is not close to meeting projected demands.

    Making matters more complicated is China’s dominance of the market; it controls two-thirds of the world’s lithium processing capacity, for example.

    Beijing has already revealed a willingness to cut off rivals from mineral exports, as it did a few years ago amid a fishing dispute with Japan.

    The U.S. has, more recently, suspended semiconductor exports to China in an emerging digital cold war in which Canada is increasingly involved.

    A worker in Inner Mongolia stokes pots of lanthanum in 2010, the year China cut off exports to Japan in a dispute over sea access. China dominates the critical minerals sector. (David Gray/Reuters)

    In his talk, Zolnowski said countries spent decades leaving themselves in this vulnerable position; resolving it won’t happen overnight.

    He said the U.S. government has a four-part strategy for this.

    Part 1 is to stimulate domestic demand for these goods by designing new sustainability initiatives around these materials.

    Part 2 is stimulating supply by funding new production and recycling, while Part 3 is building stockpiles. The final component involves working with allies.

    Zolnowski noted that back in 1984, Robert Gates, at the time a U.S. intelligence official who went on to become secretary of defence to two presidents, articulated his fear in a speech that foreign government-funded companies would come to dominate the industry.

    This worries the Pentagon for security reasons, both economic and military. Zolnowski called these minerals the building blocks of a thriving economy.

    Two men talking
    Prime Minister Justin Trudeau, left, speaks with a worker during a tour of Motrec International, a heavy-duty electric vehicle production facility in Sherbrooke, Que., in July. (Graham Hughes/The Canadian Press)

    And in times of war, he said, industrialized nations that lack secure and reliable access to these materials have suffered mightily: “[They] have suffered significant performance tradeoffs, which contributed to their defeat.”

    He said civilian goods will dominate the market, as well as receiving the lion’s share of Pentagon funding. Indeed, the language of the Defense Production Act stipulates that funds can be used for non-military purposes, including the U.S.’s general economic well-being.

    Pentagon’s main role: Building market confidence?

    Zolnowski said the U.S. is looking primarily at offering grants, not loans, and it’s willing to fund projects at various phases of implementation, as it views this as a long-term project.

    One partner at an investment firm present at the conference said the Pentagon’s role is not to become a major investor.

    What the private sector wants, he said, is help with confidence-building: Once you demonstrate that a project has the Pentagon’s imprimatur, he said, it’s easier to reassure investors this is a safe bet.

    One attendee said there are still flaws to iron out in the program design of Canada’s own critical minerals strategy, including its 30 per cent tax credit.

    Jonathan Garbutt, a Calgary-based tax lawyer, cited industry estimates that lithium extracts from brine deposits in Western Canada could produce hundreds of thousands of tonnes per year, but, under the current language of the Income Tax Act, the credit wouldn’t apply to those extracts.

    Another speaker at the conference noted that this new conversation about cross-border co-operation carries historical echoes.

    Franklin D. Roosevelt, second from left, Winston Churchill and William Lyon Mackenzie King — leaders of the United States, Britain and Canada, respectively — are shown at the Quebec Conference in September 1944. Back then, Canada-U.S. military co-operation was built around aluminum. (The Canadian Press)

    International trade lawyer Lawrence Herman, who is based in Toronto, noted that the precursor to the countries’ current military-industrial partnership was a 1940 agreement between the U.S. and Canadian leaders.

    Back then, American funding discreetly helped turn Quebec aluminum into a global powerhouse.

    Since then, Quebec aluminum has had mostly civilian uses. It also helped the U.S. build its arsenal for the Second World War.

    Canada was heavily involved enough in that effort that Quebec became the site of the wartime allied leaders’ conference.

  • Canadian lithium juniors assess legal options after Chinese investors ordered to divest

     November 8, 2022

    A junior exploration company in the critical minerals space says it is considering its legal options in response to the Canadian government ordering one of its investors to divest from the company.

    Ultra Lithium Inc. (TSXV: ULT) is one of two British Columbia-headquartered companies that has Chinese investors ordered to divest their equity positions in the Canadian companies, based on national security concerns over control over critical minerals.

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    The other is Power Metals (TSXV: PWM, OTC: PWRMF), which has lithium claims in Northeastern Ontario, and which the company says also contains cesium and tantalum, which are rare earth metals.

    Last week, François-Philippe Champagne, minister of Innovation, Science and Industry, announced the Canadian government is ordering three Chinese companies to divest from Canadian companies involved in critical minerals exploration and development: Sinomine Rare Metals Co. Ltd., Zangge Mining Investment Co. Ltd., and Chengze Lithium International Ltd.

    Earlier this year, Ultra Lithium announced Zangge Mining would invest in Ultra Lithium’s Laguna Verde Brine lithium project in Argentina. Under the agreement, Zangge would pay Ultra Lithium $10 million, and invest $40 million in the Laguna Verde project, which would give Zangge a 65% stake in the project.

    In January, the Canadian government approved the sale of Canada’s Neo Lithium Corp. to Zijin Mining, a Chinese company, for C$960 million ($715m). In approving the sale, the Canadian government noted that Neo Lithium’s sole development project was in Argentina.

    The Zangge investment in Ultra Lithium is also for a project in Argentina. Unlike Neo Lithium, however, Ultra Lithium also has lithium claims in Ontario and the U.S.

    Ultra Lithium did not initially respond to BIV’s request for comment when the divestment order was announced last week. But the company has since issued a news release expressing surprise at the decision, and challenging the federal government to help find alternative financing.

    “The board of directors and management of the company are very surprised at Canada’s policy against Chinese investment in Canada’s lithium projects and believe that the announcement has been detrimental to the company’s many Canadian shareholders,” Ultra Lithium said. “The company is assessing its legal and other options to preserve value for its shareholders.

    “Ultra Lithium is in full support of Canada’s push toward clean energy and has been committed to lithium and green energy since 2009.  As a junior exploration company Ultra Lithium and many of its peers will require significant capital to bring their projects to production and build Canada’s critical minerals supply chain.

    “Ultra Lithium encourages the federal government to actively follow through on its commitment to Canadian businesses to identify and find alternative sources of capital and to retain Canada’s status as a stable and top tier mining destination.”

    Power Metals said it is also reviewing its legal position with respect to the federal government divestment order. Sinomine Rare Earths had earlier this year made a $1.5 million equity investment in Power Metals.

    “While we are surprised by Canada’s stance towards Chinese investment into Canada’s critical minerals industry, it clearly shows that they see the opportunity and assets of Power Metals as too valuable for such foreign investment,” Power Metals CEO Johnathan More said in a press release.

    “Power Metals has made a substantial discovery of cesium, lithium and tantalum and this political gamesmanship demonstrates the extreme value of Power Metals assets. Sinomine will respond to the Canadian government shortly as they look at the appeal process.”

    The third Chinese company ordered to divest its equity stakes in Canadian companies is Chengze Lithium International Ltd., which has investments in Lithium Chile Inc. (TSXV: LITH), headquartered in Calgary.

    The Chinese government has also responded to the Canadian divestment order, through China’s Commerce ministry.

    According to the Xinhua News Agency, the Chinese Commerce ministry has accused Canada of “politicizing economic and trade relations.”

  • LAURION Intersects 2.55 Metres at 2.50 g/t Gold, 7.96 g/t Silver and 1.17 % Zinc; Including 0.55m at 8.91 g/t Au, Identifying New High-Grade Potential for Orogenic Type Mineralization Along the Niish Shear Zone

    October 25, 2022

    TORONTO, Oct. 25, 2022 /CNW/ – LAURION Mineral Exploration Inc. (TSXV: LME) and (OTCPINK: LMEFF) (“LAURION” or the “Corporation”), is very pleased to announce the assay results for two (2) new diamond drill holes, totaling 600 m, which tested the undrilled potential continuity of mineralization in the southwestern portion of the McLeod Zone. The drill holes intersected orogenic style mineralization associated with the Niish shear zone (Figure 1), confirming the high-grade gold potential of this type of mineralization at the Ishkoday Property. This newly identified high-grade structure is open both on strike and at depth.

    The 2022 drill program continues to demonstrate the continuity of the current mineralized zones but also identified new high-grade potential along the main shear zone in undrilled areas,” stated Cynthia Le Sueur-Aquin, President and CEO of LAURION. “The drill results confirm the depth extension of the mineralization identified on surface at the McLeod area. These results significantly increase the gold mineral exploration potential of the Ishkoday Property.”

    The McLeod Zone is located along the 6 km long Au-Zn-Cu-Ag mineralized trend at the Ishkoday project, near Beardmore, Ontario.

    Drilling Highlights:

    The results for hole LBX22-088 to LBX22-089 include the following intersections:

    Hole IDFrom
    (m)
    To
    (m)
    Core Length
    (m)
    True Width*
    (m)
    Au
    (g/t)
    Zn
    (%)
    Cu
    (%)
    Ag
    (g/t)
    LBX22-08894.0096.002.001.600.820.440.063.80
    including94.6095.130.530.422.471.000.1610.00
    LBX22-088128.50130.502.001.602.460.640.2517.10
    including129.50130.501.000.804.590.980.4727.50
    LBX22-08931.0037.106.104.881.300.030.001.70
    including32.5034.001.501.204.180.050.022.80
    including35.0036.001.000.801.030.020.001.10
    LBX22-08970.5073.052.552.042.501.170.027.96
    including72.5073.050.550.448.914.670.0421.80
    including72.0072.500.500.402.600.330.037.30
    LBX22-08983.0086.003.002.400.931.130.026.57
    including83.0084.001.000.802.563.230.0516.30
    LBX22-089290.15290.850.700.561.650.000.000.70
    * True Widths Are Calculated Based on an Average Dip of 70° Towards 330° for the Mineralized Zones

    Drill hole LBX22-088 is located 80 m southwest of drill hole LBX22-084 and tested the continuity of a strong I.P. chargeability high anomaly below the McLeod Zone and is associated with the Niish shear zone.

    Drill hole LBX22-089 is located 100 m NE of drill hole LBX22-088. This hole targeted the southeastern continuity of high-grade sulphide zone in the McLeod Area, 400 m southwest of the A-Zone. Past drilling in the area (LBX20-021) returned assay results of 5.95 g/t gold, 29.6 g/t silver over 0.49 m; 6.98 g/t gold, 15.2 g/t silver, 1.93 % zinc over 0.57 m; and 0.89 g/t gold, 4.0 g/t silver and 1.04 % zinc over 14.08 m.

    LAURION is pleased with its key exploration milestones achieved in 2022, validating the 6 km x 2.5 km mineralized corridor and extending the A-Zone to the McLeod Zone by 400 m to 1.4 km, thereby significantly increasing the gold potential of the property by identifying this new orogenic mineralization associated with the Niish Shear zone.

    The Corporation is awaiting the remaining 5 drill hole assay results.

    Figure 1: Surface interpretation of the Ishkoday (A-Zone to CRK corridor) mineralized zones and results for hole LBX22-088 and LBX22-089 (CNW Group/Laurion Mineral Exploration Inc.)
    Figure 1: Surface interpretation of the Ishkoday (A-Zone to CRK corridor) mineralized zones and results for hole LBX22-088 and LBX22-089 (CNW Group/Laurion Mineral Exploration Inc.)

    Figure 1: Surface interpretation of the Ishkoday (A-Zone to CRK corridor) mineralized zones and results for hole LBX22-088 and LBX22-089

    Sampling Analysis and Laboratory

    Samples from the 2022 drilling were cut and sent for analysis. Preparation and analysis were completed at the Actlabs (ISO 9001:2015) laboratory in Thunder Bay. Actlabs is an internationally recognized laboratory that provides geochemical sample preparation, analytical procedures, and data management solutions. LAURION uses a quality assurance/quality control (QA/QC) program that monitors the chain of custody of samples and includes the insertion of blanks (5% of the announced results), duplicates (1.3% of the announced results), and standard reference material (5% of the announced results) in each batch of samples sent for analysis. Drill core is photographed, logged, and cut in half with one half retained in a secured location for verification purposes and one half shipped for analysis. The entire sample is crushed to 80% passing 2 mm and a riffle split of 250 grams is taken and pulverized to 95% passing 105 µm (RX1). Samples are analyzed by four-acid digestion/ICP-MS package for 36 elements (1F2). Additionally, samples are analyzed for Au using a firing assay from a 50-gram pulp (1A2B-50). Overlimit samples values for zinc (>1%) and Pb (>0.5%) are re-assayed using a four-acid digestion overlimit method with ICP-AES 9 (8-4 Acid over limit). No QA/QC issues were noted with the results reported herein.

    Qualified Person 

    The technical contents of this release were reviewed and approved by Jean-Philippe Paiement, PGeo, MSc, a consultant to LAURION, and a qualified person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

    About LAURION Mineral Exploration Inc.

    The Corporation is a junior mineral exploration and development company listed on the TSXV under the symbol LME and on the OTCPINK under the symbol LMEFF. LAURION now has 255,969,855 outstanding shares of which approximately 80% are owned and controlled by Insiders who are eligible investors under the “Friends and Family” categories.

    LAURION’s emphasis is on the development of its flagship project, the 100% owned mid-stage 47 km2 Ishkoday Project, and its gold-silver and gold-rich polymetallic mineralization with a significant upside potential.

    Since 2003, Laurion has: completed multiple exploration surveys on the property, including prospecting, mapping, geochemical (grab, channel and soil sampling), ground and airborne geophysical (Mag, IP, VLF-EM), 3D modelling, airborne (LiDAR) and drilling surveys; invited experts in geophysics and in economic and structural geology to visit and review the property; and undertaken a PhD thesis and research led by Laurentian University and Metal Earth. To date, 419 drill holes for a total of 78,663 m have been drilled on the property, including 43,396 m completed by Laurion from 2010 to 2014 and from 2020 to 2022 and 35,267 m historic drill holes. Most of the drill holes are closely spaced and concentrated within the A-Zone and McLeod zone, except for some largely spaced drill holes located along the Ishkoday mineralized trend.

    Caution Regarding Forward-Looking Information

    This press release contains forward-looking statements, which reflect the Corporation’s current expectations regarding future events, including with respect to LAURION’s business, operations and condition, management’s objectives, strategies, beliefs and intentions, and the Corporation’s ability to advance the Ishkoday Project. The forward-looking statements involve risks and uncertainties. Actual events and future results, performance or achievements expressed or implied by such forward-looking statements could differ materially from those projected herein including as a result of a change in the trading price of the common shares of LAURION, the interpretation and actual results of current exploration activities, changes in project parameters as plans continue to be refined, future prices of gold and/or other metals, possible variations in grade or recovery rates, failure of equipment or processes to operate as anticipated, the failure of contracted parties to perform, labor disputes and other risks of the mining industry, delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors disclosed in the Corporation’s publicly filed documents. Investors should consult the Corporation’s ongoing quarterly and annual filings, as well as any other additional documentation comprising the Corporation’s public disclosure record, for additional information on risks and uncertainties relating to these forward-looking statements. The reader is cautioned not to rely on these forward-looking statements. Subject to applicable law, the Corporation disclaims any obligation to update these forward-looking statements.

    NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICE PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.

    SOURCE Laurion Mineral Exploration Inc.

    Cision
  • Gold to hit $1,900 by end of 2023 – UBS

    Wednesday November 09, 2022 11:47

    The gold market continues to find its legs, with prices holding new support above $1,700 an ounce, and according to the Swiss Bank UBS, this could be the start of a bigger move.

    The bank’s precious metals expert Joni Teves, released her 2023 gold price outlook, saying that she sees the precious metal pushing to $1,900 an ounce by the end of next year.

    The bullish outlook comes as gold prices have rallied $100 from last week’s two-year low. December gold futures last traded at $1,717.50 an ounce, relatively unchanged on the day.

    The biggest factor Teves said she sees driving gold prices up by double digits next year is a shift in U.S. monetary policy.

    Not only does UBS expect the Fed to end its aggressive tightening cycle in 2023, but it is looking for the central bank to cut rates by 175 basis points by the end of the year.

    Teves noted that historically, gold prices had risen 19% for every 1% cut in interest rates.

    “We think gold should benefit and therefore holding a long gold position would offer an attractive risk-reward as the tightening cycle ends,” said Teves in the report.

    While UBS is bullish on gold through 2023, Teves warned investors that the precious metal still faces some headwinds as Fed’s tightening cycle continues through the first half of the year.

    “Attempting to pick the bottom is always tricky,” said Teves. “That said, we think any weakness in gold in the coming months should ultimately offer opportunities to position for a move higher in prices over the course of 2023, as the Fed pauses tightening and eventually shifts to a more dovish stance.”


    U.S. Mint lags and Perth Mint dominates as global demand for gold silver bullion rises sharply in October

    According to the CME FedWatch Tool, markets see the Fed Funds rate peaking between 5% and 5.25% by June 2023. At the same time, markets see the first rate cut in December of next year.

    However, there are growing expectations that a recession next year could force the Federal Reserve to shift its monetary policy sooner than expected.

    UBS’bullish outlook on gold comes as the precious metal has struggled through most of 2022, with prices last week dropping to a two-year low of around $1,618 an ounce. Analysts note that the Federal Reserve’s aggressive monetary policy stance has pushed real rates to an eight-year high and the U.S. dollar to its highest level in 20 decades, creating to significant headwinds for gold.

  • VERSES to Participate at the LD Micro Main Event XV

    October 25, 2022

    VANCOUVER, British Columbia, Oct. 25, 2022 (GLOBE NEWSWIRE) — VERSES Technologies Inc. (NEO:VERS) (OTCQX:VRSSF) (“VERSES” or the “Company”), a contextual computing platform provider specializing in the next generation of artificial intelligence solutions, today announced that VERSES’ Founder and CEO, Gabriel René, will present a corporate overview to investors at the 15th annual LD Micro Main Event conference on Wednesday, October 26, at 11:30 a.m. PDT / 2:30 p.m. EDT at the Luxe Sunset Boulevard Hotel in Los Angeles.

    Visit https://me22.sequireevents.com to register for the conference and access the “Track 5” presentation. A copy of the company’s slide presentation will be available on the investor section of the VERSES website at the conclusion of the event.

    About the LD Micro Main Event XV
    The 2022 LD Micro Main Event XV will be held at the Luxe Sunset Boulevard Hotel in Los Angeles from October 25th to the 27th. This three-day, investor conference is expected to feature around 200+ companies, presenting in half-hour increments, as well as private meetings.

    About LD Micro (NASDAQ: SRAX)
    LD Micro aims to be the most crucial resource in the micro-cap world. Whether it is the index, comprehensive data, or hosting the most significant events on an annual basis, LD’s sole mission is to serve as an invaluable asset for all those interested in finding the next generation of great companies.

    About VERSES
    VERSES is a next-generation AI company providing foundational technology for the contextual computing era. Modeled after natural systems and the design principles of the human brain and the human experience, VERSES’ flagship offering, COSM™, is an AI Operating System for enhancing any application with adaptive intelligence. Built on open standards, COSM transforms disparate data into a universal context that fosters trustworthy collaboration between humans, machines, and AI, across digital and physical domains. Imagine a smarter world that elevates human potential through innovations inspired by nature. Learn more at VERSESLinkedIn, and Twitter.

    On Behalf of the Company
    Gabriel René
    VERSES Technologies Inc.
    Co-Founder & CEO
    [email protected] 

    Media and Investor Relations Inquiries
    Leo Karabelas
    Focus Communications
    President
    [email protected] 
    416-543-3120

  • ARway Corp. Now Trading in the USA Under The Stock Symbol: ARWYF

    Mon, November 7, 2022 at 4:30 a.m.

    TORONTO, ON / ACCESSWIRE / November 7, 2022 / ARway Corporation (“ARway” or the “Company“) (CSNX:ARWY), is disrupting the Augmented Reality Wayfinding market with a no-code, no beacon spatial computing platform enabled by visual marker tracking. ARway is pleased to announce that its common shares are now available for trading in the USA on the OTC Pink Sheet Open Market under the stock symbol: ARWYF

    On October 26th, 2022 ARway was spun-out by Nextech AR Solutions (OTCQB: NEXCF) (CSE: NTAR) (FSE: N29), and directly listed on the CSE at a price of $0.25. The last quote on November 4th 2022 was $1.49 on the CSE representing a 600% increase in value. Nextech AR is focused on creating shareholder value by acquiring or developing transformative 3D, AR and AI technologies incubating them and then bringing them to market directly or through a spin-out transaction.

    Nextech AR has been successful in developing and operating ARitize 3D, Toggle 3D, MapD and now has successfully spun-out ARway. The company believes that with these spin-outs it’s unlocking enormous pent-up-value currently sitting within its diverse portfolio of 3D, AR and AI technologies and busineses. With the success in unlocking ARway’s value, Nextech is now actively considering additional similar spin-out opportunities. Nextech AR retains control of 13 million shares of ARway or about 50% of the shares issued and outstanding.

    Evan Gappelberg CEO of ARway comments “We are excited to see such early market enthusiasm for ARway as the market is clearly validating its technologies which we believe were extremely undervalued while sitting inside Nextech AR. He continues “We are pleased to be able to offer trading in ARway for our USA shareholders so quickly after listing on the CSE, but we are not done. We are in the process of uplisting from the OTC Pink Sheet Open Market to the OTCQB Venture Market (the “OTCQB“) by the OTC Markets Group Inc. (“OTC Markets“). The Company’s common shares will begin trading on the OTCQB once approved which we believe will bring additional shareholders and liquidity to ARway.

    To learn more about ARway, please follow on Social Media: TwitterYouTubeInstagramLinkedIn, and Facebook, and visit our website: www.arway.ai

    For further information, please contact:

    Investor Relations Contact
    Julia Viola
    [email protected]

    ARway Corporation
    Evan Gappelberg
    CEO and Director
    866-ARITIZE (274-8493)

    About ARway Corp

    ARway is a no-code spatial computing platform for the real-world Metaverse. It enables AR-enhanced indoor navigation and wayfinding solutions for large, multi-purpose venues enabled by marker-based tracking using QR codes. Visitors can access a venue map by scanning a QR code with their smartphone upon entering the venue to navigate to any Point of Interest (POI) with step by step directions, learn information about those POIs, and interact with rich AR content and experiences along the way.

    The ARway offering has an unlimited number of use cases for augmenting physical spaces in the metaverse, consisting of indoor navigation with AR activations to improve the visitor experience in large and complex spaces. With value propositions spanning multiple industries and use cases, ARway leverages Nextech’s 3D/AR technology solutions to new substantial markets, for use by creators, brands, and companies.

    The ARway Platform Includes:

    Web Creator Platform

    The Web-Based Creator Platform provides ‘advanced’ authoring capabilities compared to the mobile app, including the ability for creators to upload their own OBJ/GLB files, and create their own 3D objects. Placing content in a large area using only mobile app required the user to physically be in the specific location which was unscalable. The web studio allows the user to place and author content remotely and at scale.

    Mobile App

    With the ARway mobile app, anyone can spatially map their location within minutes using their smartphone, and populate it with interactive 3D content, augmented reality wayfinding, audio, text, images, and more. Nextech AR provides several pre-loaded 3D objects which creators can leverage to populate their metaverse.

    Download the Mobile App

    Apple iOs – click here
    Google Play Store – click here

    ARwayKit SDK

    The Software Development Kit contains code libraries and API information that allows developers to build their own white label & private label mobile apps on both iOs and Android leveraging ARway’s technology and creator tools to build AR wayfinding and spatial experiences. Creators will be able to develop white label and private label apps and access ARway APIs to author maps using the Web Creator Portal. The SDK features the latest and greatest of the ARway mobile app.

    Forward-looking Statements

    The CSE has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

    Certain information contained herein may constitute “forward-looking information” under Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as, “will be” or variations of such words and phrases or statements that certain actions, events or results “will” occur. Forward-looking statements regarding the completion of the transaction are subject to known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove to be accurate, as 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. ARway Corp. will not update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.

    SOURCE: ARway Corporation

  • Meta layoffs: Why tech companies are cutting staff — and why you should care

    Posted November 9, 2022 1:30 pm

    Just six months ago, Facebook owner Meta was urging Canadian workers to join the tech giant’s quest to “build the metaverse” with plans to add thousands of jobs in the country in a bid to aggressively scale its virtual reality ambitions.

    Today, Meta and other tech companies occupy a different shared reality — going through waves of layoffs that experts say are an omen of a looming recession.

    READ MORE: Meta to face antitrust charges in Europe over customer data use, sources say

    Meta CEO Mark Zuckerberg announced in a letter to employees Wednesday that the company would cut 13 per cent of its global workforce, equating to roughly 11,000 jobs.

    This marks the company’s first major round of mass layoffs in its history, and an about face from aggressive hiring plans during the pandemic: Meta’s headcount grew 39 per cent from mid-2021 to mid-2022, according to quarterly filings.

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    Canada was one market the company had tapped for expansion, announcing plans to hire 2,500 people nationally at an event with Ontario Premier Doug Ford in Toronto this past March.

    READ MORE: Meta’s plans to hire in Canada have the tech sector worried. Here’s why

    When asked by Global News how many positions in Canada would be affected or how many staff the company employs in the country, Meta spokespersons would not say, and instead pointed to public statements about the layoffs that did not include that information.

    But Canadian staff in the company’s creative partnerships, client relations and human resources departments all posted about their layoffs on LinkedIn Wednesday.

    2:40CEO posts crying selfie to LinkedIn after laying off employees

    Metaverse a ‘bad bet’

    Zuckerberg cited a lower revenue forecast tied in part to lower advertising dollars coming through the door and misguided bets that the future of e-commerce would keep its pandemic momentum reasons for Meta’s downsizing.

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    “Not only has online commerce returned to prior trends, but the macroeconomic downturn, increased competition, and ads signal loss have caused our revenue to be much lower than I’d expected,” he wrote in a statement Wednesday.

    “I got this wrong, and I take responsibility for that.”

    READ MORE: How to rebound from a layoff in Canadian tech: ‘Control your narrative’

    Zuckerberg said the company would be shrinking its real estate footprint and reducing perks in addition to the job cuts. He wrote that the company is shifting its resources to “high priority growth areas” including the “long-term vision for the metaverse.”

    Meta, once worth more than US$1 trillion, is now valued at US$256 billion after losing more than 70 per cent of its value this year alone.

    Meta shares rose five per cent on Wednesday as investors cheered caution by a company that has been pinning its future on the metaverse with pricey investments that Zuckerberg himself says will take a decade to bear fruit.

    But that vision for a virtual world where the Meta CEO pitched users living, working and playing online has been flagged as a risky venture by analysts.

    The need to sink resources into the metaverse to achieve Zuckerberg’s ambition is part of the reason Meta’s stock has dwindled and its profitability has taken a hit, according to Daniel Tsai, a lecturer in business, law and technology at University of Toronto and Toronto Metropolitan University.

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    “This overinvestment on innovative but highly questionable technology, which hasn’t been popularized yet, is turning out to be a bad bet when they’re bleeding that much money,” Tsai tells Global News.

    “And they have to respond by making deep cuts.”

    Click to play video: 'Understanding the Metaverse and its future'

    4:24Understanding the Metaverse and its future

    Technology analyst Carmi Levy says the metaverse project might one day be a “light at the end of the tunnel” for Meta’s current financial woes, but it’s not there yet.

    The company needs to “stabilize” its current social media business before going all in on an unproven concept, he says.

    “The metaverse just doesn’t show the promise that Mark Zuckerberg promises it will. And as a result, we’re seeing the company cut back. They’ve got to reduce their spending while they navigate this very difficult period in its history,” Levy says.

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    What Meta’s layoffs signal about the broader economy

    The Meta founder’s letter rings familiar to those following similar market trends in Canada and beyond as fears of a recession bubble up.

    Netflix, Microsoft, Snap and Canada’s Hootsuite and Wealthsimple have been among the notable names cutting jobs and joining the widespread tech downturn this year.

    Click to play video: 'Metaverse: an immersive misinformation breeding ground? Experts lay out pros and cons of virtual realm'

    2:02Metaverse: an immersive misinformation breeding ground? Experts lay out pros and cons of virtual realm

    Like Zuckerburg, Shopify CEO Tobi Lutke cited a miscalculation in post-pandemic e-commerce trends as reasons for the Ottawa-based company’s layoffs in July.

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    READ MORE: Shopify shares surge as execs chart path back to profitability following layoffs

    Tsai says these tech executives miscalculated when they saw rapid online adoption during economic lockdowns. The lifting of pandemic restrictions saw a rush of demand for in-person services such as travel and dining out, which Tsai says was proof these big tech bets were either premature or flat-out wrong.

    “People still want real-world experiences. People still want to touch, feel, experience and speak to real human beings without going through an electronic metaverse interface,” he says.

    “I think that remains to be seen if that bet’s going to work. But this is a telltale sign it’s failing right now.”

    Levy says the “broader industry trend” of cutbacks or hiring freezes right now is a precursor for downturns elsewhere in the economy.

    READ MORE: More layoffs ahead for Canadian tech sector, Elevate conference speakers warn

    When we start seeing declines and cutbacks from major tech players, that’s a sign that the wider economy is bracing for harsher weather, he said.

    “Technology is that bellwether sector in the economy because it’s usually the first thing that we stop buying when we start getting nervous about our economic futures,” Levy said.

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    “As big tech companies start to resize themselves for this new reality, other sectors should be watching and paying attention.”

    Click to play video: 'Inside the Metaverse'

    19:01Inside the Metaverse

    What does this mean for other social media platforms?

    Meta is not the only social media platform downsizing — Twitter’s new owner Elon Musk slashed the company’s workforce when he took over late last month.

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    Musk, like Zuckerberg, has been vocal about the need to attract advertisers back to the platform and find new sources of revenue for Twitter to remain a going concern.

    1:57Twitter employees sue after mass layoffs following Elon Musk’s takeover

    That will be no easy task in the months ahead, Tsai notes, as advertising dollars become “scarce” in a recession.

    Companies looking to advertise on social media platforms are also increasingly turning away from the feeds of Facebook and Twitter and more to TikTok, he says, where a younger audience is engaged with “short, quick and entertaining” content.

    Levy agrees with Tsai that both Twitter and Meta will have to step up to compete with the TikTok juggernaut.

    Levy says that declining subscriber counts are affecting Facebook’s ability to generate strong ad revenue, while the controversy of Twitter’s new ownership — “the technological equivalent of a dumpster fire,” as he calls it — could make advertisers “leery” of being on the platform.

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    “The good times are over for social media,” he says. “For years, they could count on fast increasing user counts that the level of engagement continued to go up. We were spending more and more time in our feeds. We were much more engaged. And advertisers, of course, love that.”

    READ MORE: Twitter, other social media sites could see spike in election misinformation

    As difficult as the layoffs and growing pains are for these social media giants, Levy says that if they are to survive, they’ll have to adapt their products to better serve their end users by delivering more relevant content and ads — a strength of TikTok’s algorithm, he notes.

    “I think long term it is going to force these companies to maybe up their game. And we’ll end up with something better than what we’ve got right now,” Levy says.

    — with files from The Canadian Press, Reuters

  • Green Thumb Industries Reports Third Quarter 2022 Results

    Green Thumb Industries

    November 2, 2022·12 min read

    In this article:

    • GTBIF+3.03%
    Green Thumb Industries
    Green Thumb Industries

    CHICAGO and VANCOUVER, British Columbia, Nov. 02, 2022 (GLOBE NEWSWIRE) — Green Thumb Industries Inc. (Green Thumb) (CSE: GTII) (OTCQX: GTBIF), a leading national cannabis consumer packaged goods company and owner of RISE Dispensaries, today reported its financial results for the third quarter ended September 30, 2022. Financial results are reported in accordance with U.S. generally accepted accounting principles (“GAAP”) and all currency is in U.S. dollars.

    Highlights for the third quarter and nine months ended September 30, 2022:

    • Revenue increased 3% sequentially and 12% year-over-year to $261 million.
    • Year-to-date 2022 revenue increased 17% to $758 million compared to the first nine months of 2021.
    • Ninth consecutive quarter of positive GAAP net income, delivering $10 million or $0.04 per basic and diluted share.
    • Adjusted Operating EBITDA grew 7% sequentially to $84 million or 32% of revenue.
    • Cash flow from operations of $48 million net of income tax payments of $31 million for the quarter.

    See definitions and reconciliation of non-GAAP measures elsewhere in this release.

    Management Commentary

    “We are proud to report record revenue and Adjusted Operating EBITDA for the quarter against a backdrop of higher inflation and greater economic uncertainty. Revenue increased 12% year-over-year and 3% sequentially to $261 million. We had positive GAAP net income for the ninth consecutive quarter of $10 million or $0.04 per diluted share. Adjusted Operating EBITDA grew 7% sequentially to $84 million, or 32% of revenue for the quarter. Finally, the business generated strong cash flow from operations, totaling $48 million for the quarter,” said Green Thumb Founder, Chairman and Chief Executive Officer Ben Kovler.

    “As we near the end of 2022, we are optimistic about the future of the U.S. cannabis market and proud of Green Thumb’s leadership position in the industry. We continue to think about what is best for the American consumer, as demonstrated by the recent announcement of our plans to launch RISE Express medical dispensaries adjacent to Circle K locations in Florida. Looking ahead, our focus remains on execution, maintaining a strong balance sheet and making strategic investments in markets that will generate strong returns for our stakeholders over time,” concluded Kovler.

    Recent Development

    On October 19, 2022, subsequent to quarter end, the Company announced plans to expand its medical cannabis retail footprint in Florida through leasing arrangements with Circle K, the global convenience store retailer. Subject to regulatory approvals following construction, Green Thumb plans to launch its test and learn phase of the rollout in 2023, with approximately ten “RISE Express” branded medical dispensaries adjacent to Circle K stores in various Florida locations.

    Through the exclusive agreement, Green Thumb can lease space adjacent to Circle K locations in Florida, where the retailer currently operates approximately 600 locations. The planned “RISE Express” stores will offer patients with a valid medical marijuana identification card expanded access to a selection of branded medical cannabis products including RYTHM premium flower, Dogwalkers pre-rolls, incredibles gummies and &Shine vapes.

    Third Quarter 2022 Financial Overview

    Total revenue for the third quarter of 2022 was $261.2 million, up 2.7% sequentially and up 11.8% from $233.7 million in the prior year period. Revenue growth was primarily driven by increased retail sales in New Jersey, reflecting the legalization of adult-use cannabis, increased retail sales in Illinois, 12 additional retail locations versus third quarter last year, and increased traffic in the Company’s 77 open and operating retail stores.

    All 15 of Green Thumb’s state markets contributed to third quarter revenue: California, Colorado, Connecticut, Florida, Illinois, Maryland, Massachusetts, Minnesota, Nevada, New Jersey, New York, Ohio, Pennsylvania, Rhode Island and Virginia. The Company continued to invest in expanding its cultivation and manufacturing capabilities across its footprint.

    Gross profit for the third quarter of 2022 was $131.2 million or 50.2% of revenue compared to $129.5 million or 55.4% of revenue in the comparable period last year. Gross profit performance reflected increased sales in the Company’s retail business, new and acquired stores, New Jersey adult-use sales and continued growth in the Illinois market.

    Total selling, general and administrative expenses for the third quarter were $82.5 million or 31.6% of revenue, compared to $71.4 million or 30.6% of revenue for the third quarter 2021. The increase in total expenses was attributable to retail salaries and benefits, intangible amortization expense and other operational and facility expenses primarily due to an increase in the Company’s store base.

    Net income attributable to the Company for the third quarter of 2022 was $9.8 million or $0.04 per basic and diluted share, compared to a net income of $20.2 million, or income of $0.09 per basic and $0.08 per diluted share in the prior year period. The reduction in net income of $10.4 million was primarily due to favorable fair value adjustments to the Company’s warrant liability as reflected within other income (expense), net, during the comparable period in the prior year.

    In the third quarter of 2022, EBITDA was $73.3 million or 28.1% of revenue versus $75.2 million or 32.2% of revenue for the comparable period. Adjusted Operating EBITDA, which excluded non-cash stock-based compensation of $7.9 million and other non-operating adjustments of $3.3 million, was $84.5 million or 32.3% of revenue as compared to $81.2 million or 34.7% of revenue for the third quarter 2021.

    For additional information on these non-GAAP financial measures, see below under “Non-GAAP Financial Information.”

    Balance Sheet and Liquidity

    As of September 30, 2022, current assets were $318.6 million, including cash and cash equivalents of $147.3 million. Total debt outstanding was $255.5 million.

    Total basic and diluted weighted average shares outstanding for the three months ended September 30, 2022, were 237.0 million shares and 237.8 million shares, respectively.

    Consumer Packaged Goods Business Development

    • Green Thumb’s third quarter revenue included sales from its family of consumer brands including RYTHM, Dogwalkers, incredibles, Beboe, Doctor Solomon’s, Good Green and &Shine that were produced, distributed, and available in retail locations across the country.
    • Good Green, the Company’s newest brand, has expanded to eight total markets with additional markets planned for later this year and in 2023.
    • Consumer Packaged Goods gross revenue increased 5.9% sequentially.

    Retail Business Development

    • Green Thumb’s third quarter revenue included sales from 77 retail stores in the following states: California, Connecticut, Florida, Illinois, Maryland, Massachusetts, Minnesota, Nevada, New Jersey, New York, Ohio, Pennsylvania, Rhode Island and Virginia.
    • Overall retail revenue increased 3.6% quarter-over-quarter.
    • Comparable sales (stores open at least 12 months) declined 1.6% on a base of 59 stores as continued traffic and volume growth were more than offset by price compression.
    • Subsequent to quarter end, Green Thumb announced plans to expand its medical cannabis retail footprint in Florida through leasing arrangements with Circle K, the global convenience store retailer, as described above.

    Capital Markets and Financing

    On July 14, 2022, Green Thumb announced it exercised its right to extend the maturity date of its senior non-brokered debt by one year, from April 30, 2024 to April 30, 2025. The Company’s senior secured notes (the “Notes”), which have a total principal amount of approximately $250 million, bear interest at a rate of 7.0% per annum that is paid quarterly. The extended maturity date did not involve any amendments to the Notes or any additional consideration to the existing lenders.

    Green Thumb in the Community

    On August 25, 2022, the Company announced that RISE Dispensaries will serve as a premier sponsor of HeadCount’s Cannabis Voter Project, which aims to register and inform voters who support cannabis policy reform. Leading up to this year’s midterm elections, HeadCount and RISE Dispensaries have been teaming up to encourage voters to “Roll Up to the Polls” through Cannabis Voter Project resources now available at all RISE-branded locations and online at www.headcount.org/rise.

    Non-GAAP Financial Information

    This press release includes certain non-GAAP financial measures as defined by the U.S. Securities and Exchange Commission. Reconciliations of these non-GAAP financial measures to the most directly comparable financial measure calculated and presented in accordance with GAAP are included in the financial schedules attached to this press release. This information should be considered as supplemental in nature and not as a substitute for, or superior to, any measure of performance prepared in accordance with GAAP.

    Definitions

    EBITDA: Earnings before interest, taxes, other income or expense and depreciation and amortization.

    Adjusted Operating EBITDA: Earnings before interest, taxes, depreciation, and amortization, adjusted for other income, non-cash stock-based compensation, one-time transaction related expenses, or other non-operating costs.

    Conference Call and Webcast

    Green Thumb will host a conference call on Wednesday, November 2, 2022, at 5:00 pm ET to discuss its third quarter 2022 financial results for the quarter ended September 30, 2022. The earnings call may be accessed by dialing 844-883-3895 (Toll-Free) or 412-317-5797 (International). A live audio webcast of the call will also be available on the Investor Relations section of Green Thumb’s website at https://investors.gtigrows.com and will be archived for replay.

    About Green Thumb Industries:

    Green Thumb Industries Inc. (“Green Thumb”), a national cannabis consumer packaged goods company and retailer, promotes well-being through the power of cannabis while giving back to the communities in which it serves. Green Thumb manufactures and distributes a portfolio of branded cannabis products including &Shine, Beboe, Dogwalkers, Doctor Solomon’s, Good Green, incredibles and RYTHM. The company also owns and operates rapidly growing national retail cannabis stores called RISE. Headquartered in Chicago, Illinois, Green Thumb has 17 manufacturing facilities, 77 open retail locations and operations across 15 U.S. markets. Established in 2014, Green Thumb employs approximately 3,800 people and serves millions of patients and customers each year. The company was named to Crain’s Chicago Business Fast 50 list in 2021 and 2022 and a Best Workplace by MG Retailer magazine in 2018, 2019 and 2021. More information is available at www.gtigrows.com.

    Cautionary Note Regarding Forward-Looking Information

    This press release contains statements that we believe are, or may be considered to be, “forward-looking statements.” All statements other than statements of historical fact included in this document regarding the prospects of our industry or our prospects, plans, financial position or business strategy may constitute forward-looking statements. In addition, forward-looking statements generally can be identified by the use of forward-looking words such as “may,” “will,” “expect,” “intend,” “estimate,” “foresee,” “opportunity,” “project,” “potential,” “risk,” “anticipate,” “believe,” “plan,” “forecast,” “continue,” “suggests” or “could” or the negative of these terms or variations of them or similar terms or expressions of similar meaning. Furthermore, forward-looking statements may be included in various filings that we make with the Securities and Exchange Commission (the “SEC”), or oral statements made by or with the approval of one of our authorized executive officers. Although we believe that the expectations reflected in these forward-looking statements are reasonable, we cannot assure you that these expectations will prove to be correct. These forward-looking statements are subject to certain known and unknown risks and uncertainties, as well as assumptions that could cause actual results to differ materially from those reflected in these forward-looking statements. These known and unknown risks include, without limitation: the impact of COVID-19; cannabis remains illegal under U.S. federal law, and enforcement of cannabis laws could change; the Company may be subject to action by the U.S. federal government; state regulation of cannabis is uncertain; the Company may be subject to heightened scrutiny by Canadian regulatory authorities; the Company may face limitations on ownership of cannabis licenses; the Company may become subject to U.S. Food and Drug Administration or the U.S. Bureau of Alcohol, Tobacco and Firearms; cannabis businesses are subject to applicable anti-money laundering laws and regulations and have restricted access to banking and other financial services; the Company lacks access to U.S. bankruptcy protections; the Company may face difficulties acquiring additional financing; the Company operates in a highly regulated sector and may not always succeed in complying fully with applicable regulatory requirements in all jurisdictions where it carries on business; the Company has limited trademark protections; the Company may face difficulties in enforcing its contracts; cannabis businesses are subject to unfavorable tax treatment; cannabis businesses may be subject to civil asset forfeiture; the Company is subject to proceeds of crime statutes; the Company faces exposure to fraudulent or illegal activity; the Company’s use of joint ventures may expose it to risks associated with jointly owned investments; the Company faces risks related to its products; the Company is dependent on the popularity of consumer acceptance of the Company’s brand portfolio; the Company’s business is subject to the risks inherent in agricultural operations; the Company faces risks related to its information technology systems and potential cyber-attacks and security breaches; the Company faces an inherent risk of product liability and similar claims; the Company’s products may be subject to product recalls; the Company may face unfavorable publicity or consumer perception; the Company faces intense competition; the Company’s voting control is concentrated; the Company’s capital structure and voting control may cause unpredictability; sales of substantial amounts of the Company’s Subordinate Voting Shares by our shareholders in the public market may have an adverse effect on the market price of the Subordinate Voting Shares; and the Company is governed by the corporate laws of British Columbia, Canada which in some cases have a different effect on shareholders than the laws in Delaware, United States. Further information on these and other potential factors that could affect the Company’s business and financial condition and the results of operations are included in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, and elsewhere in the Company’s filings with the SEC, which are available on the SEC’s website or at https://investors.gtigrows.com. Readers are cautioned not to place undue reliance on any forward-looking statements contained in this document, which reflect management’s opinions only as of the date hereof. Except as required by law, we undertake no obligation to revise or publicly release the results of any revision to any forward-looking statements. You are advised, however, to consult any additional disclosures we make in our reports to the SEC. All subsequent written and oral forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements contained in this document.

    The Canadian Securities Exchange does not accept responsibility for the adequacy or accuracy of this release.

    Investor Contact:
    Andy Grossman
    EVP, Capital Markets & Investor Relations
    [email protected] 
    312-471-6720

    Media Contact:                                                
    MATTIO Communications
    [email protected]

    Source: Green Thumb Industries

  • Trulieve Reports Third Quarter 2022 Results and Drives Forward Progress on Strategic Vision

    Wed, November 9, 2022 at 1:15 p.m.·9 min read

    In this article:

    • TCNNF-0.72%
    • Revenue increased 34% year over year to $301 million with GAAP gross margin of 56%
    • Industry leading U.S. retail network of 176 dispensaries, supported by over 4 million square feet of cultivation and processing capacity
    • Capital, data, distribution and scaled capacity position Trulieve for Cannabis 2.0

    TALLAHASSEE, Fla., Nov. 9, 2022 /CNW/ — Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) (“Trulieve” or “the Company”), a leading and top-performing cannabis company in the U.S., today announced its results for the quarter ended September 30, 2022. Results are reported in U.S. dollars and in accordance with U.S. Generally Accepted Accounting Principles unless otherwise indicated. Numbers may not sum perfectly due to rounding.

    Trulieve logo (PRNewsfoto/Trulieve Cannabis Corp.)
    Trulieve logo (PRNewsfoto/Trulieve Cannabis Corp.)

    Q3 2022 Financial and Operational Highlights*

    • Grew revenue by 34% year over year to $301 million, with 94% of revenue from retail sales.
    • Achieved GAAP gross margin of 56%, with gross profit of $168 million.
    • Reported net loss of $115 million. Adjusted net income of $4 million* excludes $26 million of transaction, acquisition, integration, and other non-recurring charges; $93 million in asset impairments, disposals and discontinued operations, primarily associated with the strategic repositioning away from margin dilutive and cash flow negative assets through the closure of dispensaries in California, redundant cultivation in Florida and the exit of wholesale operations in Nevada.
    • Generated adjusted EBITDA of $99 million*, or 33% margin.
    • Ended the third quarter with $114 million in cash.
    • Invested $38 million in capital expenditures. Expect significant decline in supply chain investments in 2023 following a multi-year investment cycle to support future growth.
    • Coordinated response efforts for Hurricane Ian. Deployed mobile tech and operational teams to deliver supplies and donations, assist recovery efforts, and restore operations.
    • Expanded market leading retail positions in Arizona, Florida, and West Virginia, with 11 new dispensary openings, including the first Trulieve branded store in Arizona, in the Roosevelt Row neighborhood of Phoenix.
    • Increased utilization at new indoor 750K square foot cultivation facility in Florida, allowing for lower production costs and banking of legacy capacity for future use.
    • Commenced cultivation operations in Georgia to support production of low THC oil products for retail launch in early 2023.
    • Rolled out customer data platform in Arizona and Pennsylvania while deepening capabilities in Florida. Continue to refine our digital customer journey using AI driven technology and integrated commerce capabilities.
    • Contributed to the Smart and Safe Florida campaign, which aims to legalize adult use marijuana in Florida through a ballot initiative in November 2024.

    *See “Non-GAAP Financial Measures” below for additional information and a reconciliation to GAAP for all Non-GAAP metrics.

    Recent Developments

    • Launched Khalifa Kush Cannabis products exclusively in Florida at Trulieve dispensaries in October.
    • Expanded retail network in core markets with two new dispensaries in Arizona and Florida.
    • Rebranded Glendale, Arizona dispensary. Plan to rebrand additional Arizona locations ahead of peak tourism and sporting events in February and March 2023.
    • Awarded cannabis cultivation license in Connecticut which allows for two additional dispensaries.
    • Currently operate 178 retail dispensaries and over 4 million square feet of cultivation and processing capacity in the United States.

    Management Commentary
    “Our team demonstrated tremendous flexibility and cross functional capabilities during the third quarter,” said Kim Rivers, Trulieve CEO. “We navigated macroeconomic pressure, changes to dosing limits in our core state of Florida, and the impact of Hurricane Ian while making further progress streamlining the organization.”

    Rivers continued, “U.S. cannabis has significant white space ahead, with many states yet to implement medical or adult use programs and a growing appetite for substantive federal reform. Trulieve has been preparing for this next phase of industry evolution for years, building our regional hub strategy, scaling cutting edge cultivation and manufacturing capacity, expanding our leading retail platform, investing in data technology and perfecting the customer journey.”

    Outlook
    We anticipate fourth quarter results will be influenced by holiday retail performance and promotional activity across core markets during the latter half of the quarter. Based on our performance year to date and current trends, we are targeting the low end of 2022 guidance of $1.25 billion to $1.3 billion in revenue and $415 million to $450 million in Adjusted EBITDA.

  • Curaleaf Reports Third Quarter 2022 Results

    Mon, November 7, 2022 at 1:01 p.m.·25 min read

    Third Quarter 2022 Revenue of $340 Million, an increase of 1% sequentially and 7% YoY

    Third Quarter 2022 Adjusted EBITDA(1) of $84 Million, an increase of 18% YoY

    Generated $60 Million of Positive Operating Cash Flow in the Third Quarter and $71 Million in the First Nine Months of 2022

    WAKEFIELD, Mass., Nov. 7, 2022 /CNW/ — Curaleaf Holdings, Inc. (CSE: CURA) (OTCQX: CURLF) (“Curaleaf” or the “Company”), a leading international provider of consumer products in cannabis, today reported its financial and operating results for the third quarter ended September 30, 2022. All financial information is provided in U.S. dollars unless otherwise indicated.

    Third Quarter 2022 Financial Highlights (Unaudited)($ thousands) 
    ($ thousands, except per share amounts)
    Three months ended
    September 30, 2022June 30, 2022September 30, 2021
    Total Revenue$339,728$337,553$317,125
    Gross profit before impact
    of biological assets
    164,805175,884144,909
    Gross margin before impact
    of biological assets
    49 %52 %46 %
    Adjusted EBITDA(1)(2)84,04486,17771,363
    Net loss attributable to Curaleaf
    Holdings Inc.
    (51,475)(28,336)(54,524)
    Net loss per share – basic
    and diluted
    $(0.07)$(0.04)$(0.08)
    (1)Represents a Non-IFRS financial measure or Non-IFRS ratio without a standardized definition under IFRS, which may not be comparable to similar measures used by other issuers.
    (2)See “Non-IFRS Financial and Performance Measures” below for definitions and more information regarding Curaleaf’s use of Non-IFRS financial measures and Non-IFRS ratios. See the sections entitled “Adjusted EBITDA” below (pg. 4) for reconciliations of Non-IFRS measures to the most directly comparable IFRS measures.
    Earnings Call: Monday, November 7, 2022, at 5:00 P.M. ETConference ID # is 10171942Replay ID # is 9958653 
    U.S. Callers: +1-844-512-2926U.S. Replay: +1-877-344-7529
    International Callers: +1-412-317-6300 International Replay (Toll): +1-412-317-0088
    Canadian Callers: +1-416-639-5883Canadian Replay: +1-855-669-9658
    The teleconference will be rebroadcasted starting at 7:00 P.M. ETon November 7, 2022 and will end at 7:00 P.M. ET on November 14, 2022

    Boris Jordan, Founder and Executive Chairman of Curaleaf, commented, “Our record third quarter was punctuated by the close of our landmark acquisition of a majority stake in Four20 Pharma. Since quarter end, we also closed on the  Tryke  acquisition one I expect will further strengthen our position in Arizona, Nevada, and Utah. Despite unexpected revenue impacts in Florida and New Jersey, our revenue grew 1% sequentially, gross margin before the impact of biological assets was 49% and adjusted EBITDA was 25%. We generated $60 million in operating cash flow during the quarter, ending with $198 million in cash on the balance sheet. The fundamentals of our business remain solid, our early advantage in Europe is taking shape and we are preparing for the year ahead by looking closely at operational efficiencies and optimizing our current assets.”

    Matt Darin, Chief Executive Officer of Curaleaf, stated, “In the third quarter we proved once again that Curaleaf’s diverse geographic and channel revenue mix is a key distinguishing factor driving our performance, one that allows us to withstand regional challenges and still deliver on revenue targets. I’m pleased to report that we posted our 19th quarter of consecutive retail growth, a 7% quarter-over-quarter growth in transactions, and we’re currently on pace to increase new product revenue 75% year-over-year. With a strategic focus on cost reduction, cultivation productivity and flower strain diversity, R&D, and technology investments, we delivered another record quarter with ample runway for continued success.”

    Third Quarter Operating Highlights

    • Added two net new retail dispensaries in PA and Citrus Park, FL closing the quarter with 137 total locations, and serviced over 2,000 wholesale partner accounts.
    • Acquired a 55% stake in Four20 Pharma GmbH, a fully EU-GMP & GDP licensed German producer and distributor of medical cannabis, with a strategic pathway to acquire complete control of Four20 Pharma after two years of the commencement of adult-use in Germany.
    • Launched Plant Precision, a curated collection of edibles and a topical gel designed to target specific wellness categories.
    • Launched “The Farmer’s Select” program, an ongoing series of limited-edition collaborations with licensed legacy farmers and diverse operators in California.
    • Began expansion of Grassroots into new states, including the introduction of Infused Pre-rolls in California.

    Post Third Quarter Operating Highlights

    • Added six new retail dispensaries across Arizona, Nevada and Florida and closed one in Colorado bringing total current store count to 142.
    • Completed license transfer in IL to Deerfield location and commenced adult use sales
    • Completed the acquisition of Tryke Companies, a privately held vertically integrated, multi-state cannabis operator with retail dispensaries in Nevada and Arizona, and an extensive portfolio of processing licenses with 65,000 square feet of total canopy cultivation with capacity to expand to 80,000 square feet over the next three years.
    • Commenced adult-use sales at Curaleaf Bordentown, New Jersey location, the Company’s third and final location to sell adult-use cannabis in the Garden State.
    • Launched Find, a cannabis flower brand designed to provide consumers with high quality cannabis flower at an accessible price point. Now available in Massachusetts, Find will expand to eight additional states across the country.
    • Launched new holiday flavors for Endless Coast and X-bites product lines.
    Financial Results for the Third Quarter Ended September 30, 2022
     
    Revenue (Unaudited)($ thousands)
    Three months ended
    September 30, 2022June 30, 2022September 30, 2021
    Retail revenue$259,652$251,920$224,543
    Wholesale revenue78,90384,40392,041
    Management fee income1,1731,230541
    Total Revenue$339,728$337,553$317,125
    Number of retail stores137135109
    Wholesale accounts2,0262,2002,100

    Total revenue increased by 7% to $340 million during the third quarter of 2022, compared to $317 million in the third quarter of 2021. The Company’s year-over-year revenue growth primarily reflects continued growth driven by new retail store openings and commencement of adult-use in New Jersey, the acquisition of Bloom Dispensaries, the addition of new wholesale partner accounts, product launches, and the expansion of cultivation and production facilities.

    Retail revenue increased by 16% to $260 million during the third quarter of 2022, compared to $225 million in the third quarter of 2021, representing 76% of total revenue. Growth in retail revenue was primarily due to strong growth across Curaleaf’s footprint and the opening of 28 new stores over the year, namely in Arizona (including the acquisition of Bloom Dispensaries), Florida, Maine, and Pennsylvania and the commencement of adult-use in New Jersey.

    Wholesale revenue decreased 14% to $79 million during the third quarter of 2022, compared to $92 million in the third quarter of 2021, representing 23% of total revenue. Contraction in wholesale revenue during the quarter was largely due to continued rationalization of the Company’s wholesale business in lower margin states.

    Gross profit excluding the impact of biological assets was $165 million for the third quarter of 2022, compared to $145 million in the third quarter of 2021. Gross profit margin excluding the impact of biological assets reached 48.5%, compared to 45.7% in the third quarter of 2021 largely resulting from the increase in vertically integrated products sold in our dispensaries and the mix of revenue from higher margin states.

    Net Income / (Loss) (Unaudited)($ thousands)
    Three months ended
    September 30, 2022June 30, 2022September 30, 2021
    Total Revenue$339,728$337,553$317,125
    Gross profit152,999167,996182,734
    Income from operations11,42223,36442,381
    Total other expense, net(24,340)(6,517)(38,955)
    Income tax expense(41,777)(45,066)(60,313)
    Net loss(54,695)(28,219)(56,887)
    Less: Net (loss) income attributable to non-controlling interest(3,220)117(2,363)
    Net loss attributable to Curaleaf Holdings, Inc.$(51,475)$(28,336)$(54,524)

    For the third quarter of 2022, net loss attributable to Curaleaf Holdings, Inc. was $51 million, compared to a net loss of $55 million in the third quarter of 2021. The decrease in net loss was due to higher revenues and corresponding expense leverage partially offset by a decrease in gross profit due to an increase in unrealized fair value gain on growth of biological assets.

    Adjusted EBITDA (Unaudited)($ thousands)
    Three months ended
    September 30, 2022June 30, 2022September 30, 2021
    Net (loss) income$(54,695)$(28,219)$(56,887)
    Interest expense, net26,55625,09925,054
    Income tax expense41,77745,06660,313
    Depreciation and amortization (1)43,93342,50634,739
    Share-based compensation6,3526,03913,180
    Other (income) expense(2,216)(18,582)13,900
    Change in fair value of biological assets11,8067,888(37,825)
    Other add-backs (2)10,5316,38018,889
    Adjusted EBITDA (3)$84,044$86,177$71,363
    Adjusted EBITDA Margin (3)24.7 %25.5 %22.5 %
    (1)Depreciation and amortization expense include amounts charged to cost of goods sold on the statement of profits and losses. 
    (2)Other add-backs primarily include acquisition related expenses including fair market value adjustments on inventory related to acquisitions, legal fees, accounting and professional fees.
    (3)Represents a non-IFRS measure or Non-IFRS ratio. See “Non-IFRS Financial and Performance Measures” below for definitions and more information regarding Curaleaf’s use of Non-IFRS financial measures and Non-IFRS ratios. The table above provides a reconciliation of Net Loss, the most comparable IFRS measure, to Adjusted EBITDA, a non-IFRS measure.

    Adjusted EBITDA was $84 million for the third quarter of 2022, compared to $71 million for the third quarter of 2021. The year-over-year increase in adjusted EBITDA was primarily driven by solid revenue growth, along with an improvement in gross profit before the impact of biological assets combined with operating expense leverage. The year-over-year increase in Adjusted EBITDA margin reflects an increase in gross margin before the impact of biological assets due to a higher mix of sales from higher margin retails sales and SG&A leverage on the higher sales base.

    Balance Sheet and Cash Flow

    As of September 30, 2022, the Company had $198 million of cash and $599 million of outstanding debt net of unamortized debt discounts. Approximately $433 million of the outstanding debt, net of unamortized debt discounts, are senior secured notes which bear a fixed interest rate of 8.00% per annum and are not due until December 2026.

    During the first nine months of 2022, Curaleaf invested $99 million net in capital expenditures mostly attributable to cultivation, processing, and retail sites development activities. The Company expects to invest approximately $125 million in capital expenditures for the full year 2022.

    Shares Outstanding

    As of September 30, 2022 and June 30, 2022, the Company’s weighted average subordinate voting shares outstanding amounted to 709,802,875 and 709,434,324  shares, respectively.

    As of September 30, 2022 and June 30, 2022, the Company’s issued and outstanding subordinate voting shares plus multiple voting shares amounted to 710,715,124 and 710,136,421 shares, respectively.

    Other

    As disclosed in the Company’s Consolidated Annual Financial Statements for the year ended December 31, 2021, the Company made an immaterial restatement to the initial purchase accounting for the Select acquisition. Adjustments have been made to the comparative period financial statements presented herein, which reflect a decrease in amortization expense, as applicable. The net impact of the adjustment on the Company’s Interim Consolidated Statements of Profits and Losses for the three and nine months ended September 30, 2021, was a positive $2.4 million and $7.2 million, respectively, to Net loss attributable to Curaleaf Holdings, Inc.

    Non-IFRS Financial and Performance Measures

    Curaleaf reports its financial results in accordance with IFRS and uses a number of financial measures and ratios when assessing its results and measuring overall performance. Some of these financial measures and ratios are not calculated in accordance with IFRS. National Instrument 52-112 respecting Non-IFRS and Other Financial Measures Disclosure prescribes disclosure requirements that apply to the following types of measures used by Curaleaf: (i) non-IFRS financial measures; (ii) non-IFRS ratios; (iii) total of segments measures; (iv) capital management measures; and (v) supplemental financial measures. Curaleaf refers in this earning release to certain Non-IFRS financial measures and ratios such as “Adjusted EBITDA”, and “Adjusted EBITDA Margin”. Management believes that these non-IFRS and other financial measures provide useful information to investors regarding Curaleaf’s financial condition and results of operations. These measures do not have any standardized meaning prescribed by IFRS and may not be comparable to similar measures presented by other issuers.  These measures are presented as supplemental information and in addition to the financial measures and ratios that are calculated and presented in accordance with IFRS.

    “Adjusted EBITDA” is defined by Curaleaf as earnings before interest, taxes, depreciation and amortization less share-based compensation expense and other add-backs related to business development, acquisition, financing and reorganization costs. The  Company  believes  Adjusted  EBITDA  provides  improved  continuity  with  respect  to  the  comparison  of  our operating performance over a period of time.

    “Adjusted EBITDA Margin” is a percentage representing  the Adjusted EBITDA divided by total revenue. We use Adjusted EBITDA Margin to facilitate a comparison of our operating performance on a consistent basis from period to period and to provide for a more complete understanding of factors and trends affecting our business.

    Curaleaf considers these measures to be an important indicator of the financial strength and performance of our business. We believe the adjusted results presented provide relevant and useful information for investors because they clarify our actual operating performance, make it easier to compare our results with those of other companies and allow investors to review performance in the same way as our management. Since these measures are not calculated in accordance with IFRS, they should not be considered in isolation of, or as a substitute for, our reported results as indicators of our performance, and they may not be comparable to similarly named measures from other companies. The table provided in this press release contained in the section “Adjusted EBITDA” (pg. 4) provides reconciliations of Non-IFRS measures to the most directly comparable IFRS measures.

    Consolidated Statements of Financial Position($ thousands) 
    As of
    September 30, 2022December 31, 2021
    Assets Audited 
    Current assets:
    Cash and cash equivalents$197,681$299,329
    Accounts receivable, net62,47264,570
    Inventories, net438,014391,195
    Biological assets80,96578,600
    Assets held for sale111,00080,583
    Prepaid expenses and other current assets31,59535,667
    Current portion of notes receivable2,315
    Total current assets921,727952,259
    Deferred tax asset3,4672,593
    Notes receivable842
    Property, plant and equipment, net418,190379,720
    Right-of-use assets, net356,652285,111
    Intangible assets, net1,151,3751,010,008
    Goodwill673,637605,496
    Investments3,3724,401
    Other assets18,94822,048
    Total assets$3,547,368$3,262,478
    Liabilities and shareholders’ equity
    Current liabilities:
    Accounts payable$78,739$26,751
    Accrued expenses95,34187,583
    Income tax payable167,269140,019
    Current portion of lease liability24,15319,279
    Current portion of notes payable1,9401,966
    Current contingent consideration liability23,4829,155
    Liabilities held for sale15,82618,472
    Other current liabilities30,16812,171
    Total current liabilities436,918315,396
    Deferred tax liability332,305299,333
    Notes payable597,182434,123
    Lease liability400,397298,281
    Non-controlling interest redemption liability58,23972,140
    Contingent consideration liability 3,79928,839
    Other long term liability9,8915,876
    Total liabilities1,838,7311,453,988
    Shareholders’ equity:
    Share capital2,239,4272,225,940
    Treasury shares(5,208)(5,208)
    Reserves(161,301)(162,085)
    Accumulated other comprehensive income(32,955)(9,996)
    Accumulated deficit(391,106)(291,395)
    Redeemable non-controlling interest contingency(58,239)(72,140)
    Total Curaleaf Holdings, Inc. shareholders’ equity1,590,6181,685,116
    Non-controlling interest118,019123,374
    Total shareholders’ equity1,708,6371,808,490
    Total liabilities and shareholders’ equity$3,547,368$3,262,478
    Consolidated Statements of Profits and Losses (Unaudited)($ thousands, except for share and per share amounts)
    Three months ended September 30, Nine months ended September 30, 
    2022202120222021
    Revenues:
    Retail and wholesale revenues$338,555$316,584$986,699$887,961
    Management fee income1,1735413,6561,689
    Total revenues339,728317,125990,355889,650
    Cost of goods sold174,923172,216494,796461,036
    Gross profit before impact of biological assets164,805144,909495,559428,614
    Realized fair value amounts included in inventory sold(120,731)(112,691)(349,322)(263,408)
    Unrealized fair value gain on growth of biological assets108,925150,516353,802342,837
    Gross profit152,999182,734500,039508,043
    Operating expenses:
    Selling, general and administrative103,931101,800311,207269,849
    Share-based compensation6,35213,18017,48436,457
    Depreciation and amortization31,29425,37392,83068,979
    Total operating expenses141,577140,353421,521375,285
    Income from operations11,42242,38178,518132,758
    Other income (expense):
    Interest income32129101495
    Interest expense(15,449)(15,659)(44,454)(40,079)
    Interest expense related to lease liabilities(11,139)(9,524)(31,092)(27,423)
    Other income (expense), net2,216(13,901)22,241(11,182)
    Total other expense, net(24,340)(38,955)(53,204)(78,189)
    (Loss) income before provision for income taxes(12,918)3,42625,31454,569
    Income tax expense (41,777)(60,313)(129,985)(133,645)
    Net loss(54,695)(56,887)(104,671)(79,076)
    Less: Net loss attributable to non-controlling interest(3,220)(2,363)(4,875)(4,887)
    Net loss attributable to Curaleaf Holdings, Inc.$(51,475)$(54,524)$(99,796)$(74,189)
    Loss per share attributable to Curaleaf Holdings, Inc. – basic and diluted$(0.07)$(0.08)$(0.14)$(0.11)
    Weighted average common shares outstanding – basic and diluted709,638,533703,545,262709,802,875695,830,455
    Consolidated Statements of Cash Flows (Unaudited)($ thousands, except for share and per share amounts)
    Nine months ended September 30, 
    20222021
    (As Restated)
    Cash flows from operating activities:
    Net loss$(104,671)$(79,076)
    Adjustments to reconcile loss to net cash provided (used) in operating activities:
    Depreciation and amortization127,46795,157
    Share-based compensation17,48436,457
    Non-cash interest expense39,74832,872
    Unrealized gain on changes in fair value of biological assets(353,802)(342,837)
    Realized fair value amounts included in inventory sold349,322263,408
    Impairment loss6,685
    (Gain) loss on retirement of asset(2,479)583
    Gain on investment(15,000)
    Deferred taxes(18,606)(1,824)
    Changes in operating assets and liabilities:
    Accounts receivable(115)(2,283)
    Biological assets1,11550,309
    Inventories(41,427)(141,433)
    Prepaid expenses and other current assets(5,105)(15,022)
    Other assets2,3634,408
    Accounts payable48,626(1,895)
    Income taxes payable28,11251,769
    Accrued expenses(1,561)15,277
    Net cash provided by (used in) operating activities71,471(27,445)
    Cash flows from investing activities:
    Purchases of property, plant and equipment, net(99,196)(117,361)
    Proceeds from sale of entity10,57729,828
    Acquisition related cash payments, net of cash acquired(85,733)5,079
    Amounts advanced for notes receivable, net of payments received2,3151,587
    Net cash used in investing activities(172,037)(80,867)
    Cash flows from financing activities:
    Cash received from financing agreement57,196
    Proceeds from sale leaseback45,53723,153
    Debt issuance costs(681)
    Minority interest buyouts(1,190)
    Lease liability payments(41,202)(40,197)
    Proceeds from minority interest investment in Curaleaf International84,795
    Principal payments on notes payable(198)(6,085)
    Acquisition escrow shares returned and retired(7,730)
    Exercise of stock options(875)4,061
    Issuance of common shares, net of issuance costs240,572
    Net cash provided by financing activities3,262353,894
    Net change in cash(97,304)245,582
    Cash at beginning of period299,32973,542
    Effect of exchange rate on cash(4,344)(1,935)
    Cash at end of period$197,681$317,189

    About Curaleaf Holdings 
    Curaleaf Holdings, Inc. (CSE: CURA) (OTCQX: CURLF) (“Curaleaf”) is a leading international provider of consumer products in cannabis with a mission to improve lives by providing clarity around cannabis and confidence around consumption. As a high-growth cannabis company known for quality, expertise and reliability, the Company and its brands, including Curaleaf, Select, and Grassroots provide industry-leading service, product selection and accessibility across the medical and adult-use markets. In the United States, Curaleaf currently operates in 22 states with 142 dispensaries, 26 cultivation sites, and employs approximately 6,000 team members. Curaleaf International is the largest vertically integrated cannabis company in Europe with a unique supply and distribution network throughout the European market, bringing together pioneering science and research with cutting-edge cultivation, extraction and production. Curaleaf is listed on the Canadian Securities Exchange under the symbol CURA and trades on the OTCQX market under the symbol CURLF. For more information, please visit https://ir.curaleaf.com.

    ###

    Contact Information

    Investor Contact:
    Curaleaf Holdings, Inc.
    Camilo Lyon, Chief Investment Officer
    [email protected]

    Media Contact:
    Curaleaf Holdings, Inc.
    Tracy Brady, SVP of Corporate Communications
    [email protected]

    Disclaimer

    This press release contains “forward-looking information” and “forward-looking statements” within the meaning of Canadian securities laws and United States securities laws (collectively, “forward-looking statements”). Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based on management’s current beliefs, expectations or assumptions regarding the future of the business, plans and strategies, operational results and other future conditions of the Company. In addition, the Company may make or approve certain statements in future filings with Canadian securities regulatory authorities or in the United States with the U.S Securities and Exchange Commission (“SEC”), in press releases, or in oral or written presentations by representatives of the Company that are not statements of historical fact and may also constitute forward-looking statements. All statements, other than statements of historical fact, made by the Company that address activities, events or developments that the Company expects or anticipates will or may occur in the future are forward-looking statements, including, but not limited to, statements preceded by, followed by or that include words such as “assumptions”, “assumes”, “guidance”, “outlook”, “may”, “will”, “would”, “could”, “should”, “believes”, “estimates”, “projects”, “potential”, “expects”, “plans”, “intends”, “anticipates”, “targeted”, “continues”, “forecasts”, “designed”, “goal”, or the negative of those words or other similar or comparable words and includes, among others, information regarding: its outlook for and expected operating margins, capital allocation, free flow cash and other financial results; growth of its operations via expansion, for the effects of any transactions; expectations for the potential benefits of any transactions; statements relating to the business and future activities of, and developments related to, the Company after the date of this press release, including such things as future business strategy, competitive strengths, goals, expansion and growth of the Company’s business, operations and plans; expectations that planned acquisitions will be completed; expectations regarding cultivation and manufacturing capacity; expectations regarding receipt of regulatory approvals; expectations that licenses applied for will be obtained; potential future legalization of adult-use and/or medical cannabis under U.S. federal law; expectations of market size and growth in the U.S. and the states in which the Company operates; expectations for other economic, business, regulatory and/or competitive factors related to the Company or the cannabis industry generally; and other events or conditions that may occur in the future. Forward-looking statements may relate to future financial conditions, results of operations, plans, objectives, performance or business developments. These statements speak only as at the date they are made and are based on information currently available and on the then current expectations. Holders of securities of the Company are cautioned that forward-looking statements are not based on historical facts but instead are based on reasonable assumptions and estimates of management of the Company at the time they were provided or made and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, as applicable, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements, including, but not limited to, risks and uncertainties related to: the available funds of the Company and the anticipated use of such funds; the availability of financing opportunities; legal and regulatory risks inherent in the cannabis industry; risks associated with economic conditions, dependence on management and currency risk; risks relating to U.S. regulatory landscape and enforcement related to cannabis, including political risks; risks relating to anti-money laundering laws and regulation; other governmental and environmental regulation; public opinion and perception of the cannabis industry; risks related to contracts with third-party service providers; risks related to the enforceability of contracts; reliance on the expertise and judgment of senior management of the Company, and ability to retain such senior management; risks related to proprietary intellectual property and potential infringement by third-parties; the concentrated voting control of the Company’s Chairman and the unpredictability caused by the capital structure; risks relating to the management of growth; increasing competition in the industry; risks inherent in an agricultural business; risks relating to energy costs; risks associated to cannabis products manufactured for human consumption including potential product recalls; reliance on key inputs, suppliers and skilled labor; cybersecurity risks; ability and constraints on marketing products; fraudulent activity by employees, contractors and consultants; tax and insurance related risks; risks related to the economy generally; risk of litigation; conflicts of interest; risks relating to certain remedies being limited and the difficulty of enforcement of judgments and effect service outside of Canada; risks related to future acquisitions or dispositions; sales by existing shareholders; limited research and data relating to cannabis; as well as those risk factors discussed under “Risk Factors” in the Company’s Annual Management, Discussion and Analysis for the fiscal year that ended December 31, 2021 (which has been filed on the Company’s SEDAR profile at www.sedar.com and on its EDGAR profile at www.sec.gov/edgar/html) and as described from time to time in documents filed by the Company with Canadian securities regulatory authorities or in the United States with the SEC. The purpose of forward-looking statements is to provide the reader with a description of management’s expectations, and such forward-looking statements may not be appropriate for any other purpose. In particular, but without limiting the foregoing, disclosure in this press release as well as statements regarding the Company’s objectives, plans and goals, including future operating results and economic performance may make reference to or involve forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. A number of factors could cause actual events, performance or results to differ materially from what is projected in the forward-looking statements. You should not place undue reliance on forward-looking statements contained in this press release. Such forward-looking statements are made as of the date of this press release. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. The Company’s forward-looking statements are expressly qualified in their entirety by this cautionary statement.

    This news release contains future-oriented financial information and financial outlook information (collectively, “FOFI”) about the Company’s prospective results of operations, production and production efficiency, commercialization, revenue and cash on hand, all of which are subject to the same assumptions, risk factors, limitations, and qualifications as set second in the above paragraph. FOFI contained in this document was approved by management as of the date of this document and was provided for the purpose of providing further information about the Company’s future business operations. The Company disclaims any intention or obligation to update or revise any FOFI contained in this document, whether as a result of new information, future events or otherwise, unless required pursuant to applicable law. Readers are cautioned that the FOFI contained in this document should not be used for purposes other than for which it is disclosed herein. The financial information reported in this news release is based on unaudited management prepared financial statements for the quarter ended September 30, 2022. Accordingly, such financial information may be subject to change. Financial statements for the period will be released and filed under the Company’s profiles on SEDAR at www.sedar.com no later than November 15, 2022. All financial information contained in this news release is qualified in its entirety with reference to such unaudited financial statements. While the Company does not expect there to be any material changes, to the extent that the financial information contained in this news release is inconsistent with the information contained in the Company’s unaudited financial statements, the financial information contained in this news release shall be deemed to be modified or superseded by the Company’s unaudited financial statements. The making of a modifying or superseding statement shall not be deemed an admission for any purposes that the modified or superseded statement, when made, constituted a misrepresentation for purposes of applicable securities laws.

    Neither the Canadian Securities Exchange nor its Regulation Service Provider has reviewed and does not accept responsibility for the adequacy or accuracy of the content of this press release.

    Cision
    Cision

    View original content:https://www.prnewswire.com/news-releases/curaleaf-reports-third-quarter-2022-results-301670721.html

    SOURCE Curaleaf Holdings, Inc.

    Cision
    Cision

    View original content: http://www.newswire.ca/en/releases/archive/November2022/07/c2496.html

  • Marijuana legalization on ballot in five states’ midterm elections

    Yahoo Finance Live anchor Dave Briggs details the five states allowing voters to decide whether or not to legalize marijuana in the midterm elections.

    Video Transcript

    DAVE BRIGGS: I want to throw out one underrated race. It’s in Utah. Evan McMullin, the independent, he wins there, he and Joe Manchin control the entire US Senate. But we’re going to move on now and talk about more than the balance of power. One key ballot issue we’re watching, the legalization of cannabis.

    In just a few hours, it could be legal in essentially half of the United States. Voters in Maryland, Arkansas, North and South Dakota, Missouri also voting today on marijuana legalization, which could take the total to 24 states. That’s from the current 19, plus Washington, DC. Now, regionally, you’ve got to check out the Deep South because if Arkansas does win, that’s the first Deep South State to legalize. And polls indicate passage there.

    But Republican Governor Asa Hutchinson did speak out against cannabis, recently saying we have to make sure we don’t move to decriminalization of drugs that are harming Americans. Now, Maryland, on the other hand, would join its neighbors, Virginia and DC, in legalizing recreational use and really form a stronghold in the Northeast. Connecticut, New Jersey, New York, Massachusetts, Pennsylvania fall in the next couple of years. And polls in Maryland suggest overwhelming passage.

    Now, the most recent national poll, we should note, from Politico and Morning Consult shows 60% of Americans are now in favor of legalization. How about the impact on stocks? Well, they’re relatively mixed at this point. No real movement should you expect until we get final note on those five states. It will be moderate if, in fact, it passes in all five of them.

    Also today, we’re voting on legalizing psychedelic mushrooms for medical use in the state of Colorado. Now back to the stock story, Rachelle, I think what the stocks need and might get is a lame duck deal on Safe Banking Plus, which is what they need to take advantage of traditional banking services. We might be talking about a 20% upside in these big stocks if we get that in the lame duck session.

    RACHELLE AKUFFO: And we know that that’s what they’ve been waiting for. We’ve seen, obviously, we’ve seen cannabis stocks really fluctuating, but really sort of hovering in the range really awaiting some real moves from Congress on this. It’s interesting that this could be the time that does it during this lame duck session.

    But with banking, with decriminalization, a lot of times, these have sort of been placed together. Some people were like, well, the Safe Banking more likely to get passed first. So definitely a lot of momentum here. We’ll have to see if lawmakers end up following through on this, Seana.

    SEANA SMITH: Yeah, certainly a massive issue here. We want to keep a close eye on those stocks. But going back, Dave, to what you were saying before, the closest that we’re seeing in some of those states in terms of whether or not these efforts are going to be passed. I mean, it’s right above the margin line in some states. Arkansas, 50.5% support legalization. I don’t think any of us know what the outcome is going to be tonight. So it certainly will be interesting to closely watch these stocks and then also see how Congress responds to these results that we are likely going to get over the next 24 hours or so.

    DAVE BRIGGS: Yeah, really one name to watch is Steve Daines. He’s a Republican senator. He could sway his colleagues either way in that lame duck session. We’ll keep an eye on it for you.

  • Industrial metals surge after China eases COVID measures

    Reuters  Friday November 11, 2022 07:12

    Kitco News

    Share this article:LONDON, Nov 11 (Reuters) – Industrial metals prices jumped on Friday after China eased some coronavirus rules, fuelling expectations that it will abandon a zero-COVID policy that has reduced economic activity and demand for metals.
    Metals prices had already jumped on Thursday after softer than expected U.S. inflation data suggested the U.S. Federal Reserve could scale back interest rate rises.
    The news gave hope that major restraints on economic growth could be less severe than feared in the coming months.
    Global stock markets rallied and the dollar weakened sharply, giving a boost to dollar-priced metals by making them cheaper for buyers with other currencies. Benchmark copper on the London Metal Exchange (LME) was up 2.7% at $8,495 a tonne at 1721 GMT after reaching $8,555, the highest since June.
    Prices of the metal used in power and construction have risen 14% this month on hopes of a revival in Chinese demand, but remain down more than 20% from a peak in March due to weaker economic activity.
    “The situation has changed quite significantly … the outlook as improved,” said a commodities market analyst in Germany, adding that copper should reach $9,000 by year-end.
    He said low inventories would also support prices and that speculative investors who have been neutral or bearish on copper could lift prices sharply if they turn bullish. China’s easing included shortening quarantines by two days for close contacts of infected people and for inbound travellers but a full dismantling of COVID controls may be a long way off.
    The country is still struggling to control a wave of infections and recent economic data has been unexpectedly weak.
    Economies are faltering elsewhere too, with the European Commission forecasting 0.3% euro zone growth next year and Moody’s cutting India’s growth projection to 4.8% in 2023.
    In other metals, LME aluminium was up 6% at $2,467 a tonne, its biggest one-day rise since 2009. Zinc rallied 4.9% to $3,024, nickel gained 5.4% to $27,360, lead rose 2.7% to $2,155 and tin was up 4.4% at $21,210.

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