OTTAWA, Feb. 23, 2016 -- Clearford Water Systems Inc., a provider of unified water management and sanitation systems, today announced that it has entered into an amending agreement with Signina Capital AG, an investment firm specializing in water-related infrastructure, pursuant to which the previously announced funding commitment was renewed for an additional two-year period.
Under the terms of the Agreement, Signina has undertaken to arrange for the funding of 100% of the capital costs associated with the installation of Clearford One™, the Company's proprietary all-in-one wastewater collection and treatment system, in municipalities located in the Province of Ontario under the Company's Pay-for-Performance ("P4P™") delivery model. The funding will be committed via a Canadian special purpose corporation formed and capitalized with respect of each municipal client, subject to and in accordance with the completion of definitive project agreements.
Since the launch of the P4P™ program in mid-2015, the Company has developed an active Clearford One™project pipeline with a total capital value of approximately $40 million. Additional expressions of interest indicate demand well in excess of the initial $100 million funding commitment, in line with the Company's previously announced projections (see June 18, 2015, press release). The additional period of funding availability under the Agreement will accommodate municipal approval processes.
"We are pleased to report another milestone in the transition of the Company into growth", said Kevin Loiselle, President and CEO of Clearford. "Coincident with the commissioning of Clearford One™ in Fetherston, Clearford is able to offer municipal clients and developers a wastewater collection and treatment solution which is not only cheaper to build and operate, but also bankable from a funding standpoint. Response to the Company's Clearford One™ and P4P™ offering during the first year of availability has been outstanding, and we look forward to expanding the value proposition beyond Ontario."
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About Clearford Water Systems Inc.
Clearford Water Systems Inc. (TSX-V: CLI) is a provider of unified water management and sanitation systems based on Clearford One™. Clearford One™ is a proprietary system comprised of ClearDigest™ smart digester, ClearConvey™ small bore sewer, and ClearRecover™ final treatment facility. For additional information about Clearford Water Systems, please visit www.clearford.com
About Signina Capital AG
Signina Capital AG (Signina) is a Swiss domiciled investment firm specialized in water-related infrastructure. Signina is a member of the UN PRI. For additional information about Signina, please visit www.signinacapital.com