Lifequest Closes Investment in Its First Design Build Own Operate Abattoir Wastewater Treatment Plant with a 20 Year Concession Period
Ridgefield Park, New Jersey - (NewMediaWire) - July 14, 2021 - LIFEQUEST WORLD CORP (LQWC ) is focused on innovative, scalable and disruptive decentralized wastewater treatment and reuse technologies. The Company has used its own capital to make this investment, which involves full recourse project debt and 70% ownership in the concessionaire. The 200m3/day plant will treat abattoir wastewater at a well-established beef producer. The Water-as-a-Service (WaaS) agreement is for 10 years with automatic renewal for 10 additional years. Under this Agreement the client will pay a service fee on every cubic meter of wastewater that is recycled with guaranteed minimums. The plant is expected to generate circa $3.5 million in free cash flow over the concession period and equity IRR of approximately 25%. The plant is expected to come online within the next 8-12 weeks.
Mr. Max Khan, CEO, said, "We previously announced our intent to focus on Build Own Operate strategy along with outright system sales, which has been severely impacted by Covid-19. ESG focused commercial customers are increasingly embracing recycling of wastewater and at the same time looking to avoid capital investment and operational complexities. Water-as-a-Service agreements allow customers to concentrate on their core business and generate savings from reuse of water. Our goal is to have a portfolio of Build Own Operate plants in South Africa, Turkey, India and Bangladesh with long-term concessions. We also have the right of first refusal on a pipeline of projects at various stages of development. For competitive reasons, we are not disclosing the investment amount and the country where the plant will be located, but will be included in our next scheduled filing. This and future investments are expected to generate stable cash flow for our shareholders over a long period. We are working diligently to line up financing for future plants as well.”
About Lifequest & Biopipe
Lifequest offers effluent treatment plants (ETP), sewage treatment plants (STP), fat oil and grease (FOG) separator and hybrid media for water polishing. Biopipe, a wholly owned subsidiary, has developed a patented 100% sludge-free, chemical-free, odor-free, silent, easy to assemble and install, scalable, low cost, ecological and low maintenance-free onsite sewage wastewater treatment system. The Abrimix ETP solution available through our joint venture is a highly efficient and cost-effective industrial wastewater treatment system that is vastly superior to Dissolved Air Floatation (DAF) and other onsite industrial wastewater treatment systems.
Contact: Tanmay@lifequestcorp.comThis press release contains forward-looking statements that reflect the Company's current beliefs, expectations or intentions regarding future events. Any statements contained in this press release that are not statements of historical fact may be deemed forward-looking statements. Words such as "will," "will be," "anticipate," "predict," “expect” "continue," "future," and similar expressions are intended to identify such forward-looking statements. All forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, many of which are generally outside the control of the Company and are difficult to predict. Examples of such risks and uncertainties include, but are not limited to: political unrest in countries we operate in, Covid-19 pandemic, expatriation of invested capital, defaults, future revenues, expenditures, capital, the adequacy of the Company's current cash and working capital to fund present and planned operations, investments and the growth through joint ventures. Additional factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, can be found in our current Disclosure Statements at www.otcmarkets.com. The Company anticipates that subsequent events and developments may cause views and expectations to change. The Company assumes no obligation, and specifically disclaims any intention or obligation, to update any forward-looking statements, whether as a result of new information, future events or otherwise.