- Carbonxt develops and sells specialised activated carbon products, including powdered activated carbon and activated carbon pellets
- The Kentucky Joint Venture is near completion and is set to become an immediate funding support, the report says
- Operating efficiencies were added to the Arden Hills pellet plant and the Black Birch PAC facility during the quarter
ASX-listed Carbonxt Group (ASX:CG1), a specialised activated carbon products company, recently released its December 2022 quarterly update report. The key highlight is the progress towards Carbonxt’s Kentucky Joint Venture, which the company says would be completed during the ongoing quarter.
Besides, the company also drew strong support of its shareholders during the December quarter for a Share Purchase Plan (SPP) to raise AU$1.58 million. The report further mentions the extension of all agreements that were due to expire in the quarter, with customers, including Carbonxt’s largest powdered activated carbon (PAC) client, agreeing to price increases.
Carbonxt’s consolidated statement of cash flows mentions cash and cash equivalents of over AU$6.1 million at the end of December 2022 quarter vis-à-vis over AU$2.2 million at the beginning of the quarter.
Here are the key highlights of Carbonxt’s December 2022 quarter.
New efficiencies added to Black Birch PAC and Arden Hills plants
Customer receipts for the period amounted to AU$3.9 million. The company installed a new mill at the Black Birch PAC facility to enhance capacity and throughput. Operating efficiencies were also added to the Arden Hills pellet plant. The quarterly update report says both these works were completed in a time-bound manner and in accordance with the budget.
Carbonxt also said that demand was strong for both pellets and PAC products during the quarter, however, sales were restricted due to lesser product availability from plants owing to the above-mentioned plant efficiency actions.
Research & development efforts continued during the quarter
To add support to the development of its new Kentucky activated carbon pellet (ACP) plant, Carbonxt completed a week-long program with a major company that is into R&D services for the mineral, energy, and related industries.
Carbonxt also attended the North American Biochar and Bioenergy Conference.
Kentucky JV completion expected in March quarter
The report talked about near completion of engineering feasibility and other developmental works at the KCP Joint Venture, with legal documentation work in full swing. Carbonxt said that the JV, after completion of works during the current quarter, would help in immediate funding support.
Source: Carbonxt December 2022 Quarter Update
The clean technology company develops and sells specialised activated carbon products. The primary focus is on the capture of mercury and other containments that result in harmful pollutants’ emissions during industrial processes. Powdered Activated Carbon and Activated Carbon pellets are supplied by Carbonxt, with uses in wastewater treatment, large-scale air purification and other processes.
CG1 shares last traded at AU$0.075 apiece on 3 February 2023 with a market capitalisation of AU$22.02 million.