Cielo Waste Solutions Corp has received pre-payment in full for 60,000 litres of renewable diesel, which is being produced at its Aldersyde waste to renewable fuel facility.
The renewable diesel will be shipped to a third party of the purchaser's choice once Cielo reduces the sulphur content of its renewable fuel down to less than 15 PPM sulphur.
The British Columbia-based company has sold small quantities of renewable diesel in the past, but this sale marks the first commercial pre-sale of 60,000 litres.
Cielo received $1.25/litre (€1.05) from the purchaser, which is much higher than the cost to produce the renewable diesel, including the pending projected costs to lower the sulphur content to meet the diesel industry’s spec.
The purchaser will be able to resell the renewable diesel they pre-purchased, at a significantly higher price, early in the new year once the desulphurisation equipment is installed and commissioned at the Aldersyde facility.
Don Allan, president and CEO of Cielo, said: “After several years of advancing our waste to high grade renewable fuel technology, we feel receiving our first more substantial commercial order, as a prepayment, is a significant milestone. We are holding our heads-up high today and are delighted to say that we are one step closer to achieving positive cash flow.”
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