Microcap cleantech development and service company CHAR Technologies (TSX-V: YES) said Thursday afternoon that the government of Ontario has approved a grant totaling $1.06 million through its Low Carbon Innovation Fund for CHAR’s CleanFrye biocoal project. The Toronto-based company is developing CleanFrye as a carbon neutral solid biofuel meant to dramatically reduce greenhouse gas emissions.
Others participating in the development include steel producer giant ArcelorMittal Dofasco (who is the user of CleanFrye in the project), feedstock supplier Walker Environmental and feedstock pre-processor BioLine Corp. The highlight of the development process with be a 20-tonne trial of CleanFrye in a blast furnace at Dofasco to validate value to the steel industry by reducing pollutants beneath the stringent regulatory standards.
The funding will be dispersed as half upfront with the other approximately half a million dollars spread out through four payments based upon certainly milestones being met.
This isn’t the first time the Canadian government has been supportive of CHAR. Last August, Ontario, through the Ontario Centres of Excellence, awarded the company $1.0 million for its activated charcoal product branded SulfaCHAR, which is to remove hydrogen sulfide from different gas streams, with a particular focus on methane-rich and odorous air like at landfills. Both Sustainable Development Technology Canada and the Canadian Gas Association also supported SulfaCHAR development.
A relatively illiquid, choppy-trading stock, shares of YES are up 4.2% today at 25 cents with about an hour left in the session before the long weekend. At $0.25, CHAR is only commanding a market capitalization around $11.0 million.
