Terra CO2 Technologies Provides Corporate and Operational Update
May 6, 2020 - Terra CO2 Technologies Ltd. (“Terra”), a private company that is owned 57.8% by Strategic Metals Ltd. (TSX-V:SMD) (“Strategic”), is pleased to announce recent corporate developments, expanded operations and important milestones. Terra is developing Alternative Cementitious Material (“ACM”) as an environmentally-sensitive alternative to Portland cement. Terra’s ACM research is in the field of geopolymer cement, also known as alkali-activated materials (AAM).
Portland cement has been at the core of modern construction for generations and is nearly a $500 billion CAD business annually. However, the cement industry is a major CO2 emitter. Production and transportation of Portland cement account for 7 to 8% of annual CO2 emissions world-wide. Terra’s ACM technology has potential to replace Portland Cement, thereby reducing CO2 output by 60% or more, without compromising strength or cost.
Terra has recently realigned its management team to accelerate the company’s transition from research to development. The key move, as Terra moves toward commercialization, is the ascension of Bill Yearsley, from an advisory role to the positions of CEO, President and director. Mr. Yearsley is a limited partner and former operating partner of Lariat Partners Fund One since 2013, and an investor and lead outside director at Tri-Arc, LLC. Previously, Mr. Yearsley was the CEO of a publicly traded EPC solar company. From 2007 to 2011, Mr. Yearsley was an endowed professor at the University of Colorado Boulder Department of Civil, Architectural, and Environmental Engineering, and was honored as the top teaching faculty member in 2011. In 1996, Mr. Yearsley co-founded American Civil Constructors and led the company as chairman and CEO until 2007. From 1984 to 1997, Mr. Yearsley was employed by Redland PLC a Footse 100 firm. Later in his tenure served as chairman and CEO of the construction materials and non-metallic mining group of Redland responsible for 12000 employees across Europe and NA. Mr. Yearsley holds a BS in engineering, MS in Industrial Management and PhD in Construction Management. Mr. Yearsley brings extensive experience with merger and acquisition transactions, capital raising, operations and management of public and private companies.
The former CEO, Donald Lake, is now Senior Vice-President of Research and Development, a role that will have him overseeing Terra’s in-house research team as well as off-site studies. Mr. Lake’s ideas are the foundation of Terra’s technology and this change of roles will allow him to focus on continued innovation.
The former President, Doug Eaton, has been appointed Chairman of the Board of Directors. Mr. Eaton is also CEO and President of Strategic.
Terra has now engaged Industria Partners, an investment banking group based in Denver, Colorado, to assist with fund raising and to help design an effective business model for commercialization of the ACM technology.
Terra has also engaged three very experienced legal firms. Fasken in Canada, and FisherBroyles LLP in the US are working to prepare and file patent applications as part of a comprehensive intellectual property strategy. Two provisional patent applications have already been filed in regards to ACM and production processes. These applications are important milestones for the company because they protect vital intellectual property. More patent applications will be submitted in the coming months. The third newly-engaged legal firm, Hogan and Lovells US, LLP, will coordinate with Terra’s existing legal and accounting representatives to facilitate effective operations in the USA.
Terra is currently conducting its research at a small facility in North Vancouver, BC, and will soon be re-locating and expanding its laboratory. The new facility will house a laboratory pilot plant with 10-fold increase in hourly production capacity and enhanced process monitoring. These upgrades will allow Terra’s researchers to accelerate evaluation of various mix designs, to optimize the relationship between performance and cost of production, and to test different processing parameters more effectively. Terra is presently focused on optimizing the technology for ready-mix concrete which makes up the majority of the cement market in North America. Over time, Terra expects to broaden its research to cover more specialized cement applications. Although Terra’s main focus is on developing a replacement for Portland Cement used in concrete construction, it is also exploring applications for the technology that are specific to the mining industry, such as binders for dry-stacked tailings, backfill and grouts.
Terra has contracted with Hazen Research, Inc. to conduct a pilot-scale test of its ACM manufacturing technology at Hazen’s research campus in Golden, Colorado. Milling of the feedstock is underway and thermal processing will commence in the coming weeks. ACM material produced by the test will be sent from Hazen to independent materials testing laboratories, where strength and other key characteristics of cement and concrete will be evaluated according to nationally-recognized standards. If successful, this pilot-scale test will be another major milestone for Terra and a key step toward commercialization.
Terra has recently completed a federally-funded proof-of-concept study on solidification/stabilization of coal tailings from a site in Nova Scotia. Terra is awaiting a review of the results and a decision regarding further field testing of Terra’s ACM technology with the goal of decommissioning a tailings pond.
“Terra and its research team have made very significant strides in advancement of technologies that have potential to be highly disruptive in a major industry. Cement is one of the most widely used commodities on Earth and has enormous market value. Global concerns with rising CO2 emissions are driving aggressive efforts by the cement industry to reduce its CO2 output, and Terra’s technologies could be key to attaining this goal.” states Doug Eaton, President and CEO of Strategic, “We strongly believe that Terra is assembling the right team, and has the tail winds in place, to rapidly capitalize on an immensely important environmental and business opportunity.”
About Strategic Metals Ltd.
Strategic is a project generator with a portfolio of more than 120 projects that are the product of over 50 years of focussed exploration and research by a team with a track record of major discoveries. Current projects include 112 wholly-owned, 5 joint ventures, 6 under option and 8 royalty interests. Projects available for option, joint venture or sale include drill-confirmed prospects and drill-ready targets with high-grade surface showings, geochemical anomalies and geophysical features that resemble those at nearby deposits.
Strategic has a current cash position of over $7 million and large shareholdings in a number of active mineral exploration companies including 42.3% of GGL Resources Corp., 36.3% of Rockhaven Resources Ltd., 21.7% of Precipitate Gold Corp., 17.4% of Silver Range Resources Ltd., 8.7% Trifecta Gold Ltd., and 6.4% of ATAC Resources Ltd. The current value of its share portfolio is approximately $15 million which does not include the value of its 57.8% share interest in Terra which is still a private company.
ON BEHALF OF THE BOARD
“W. Douglas Eaton”
President and Chief Executive Officer
Strategic Metals Ltd.
W. Douglas Eaton
President and C.E.O.
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