Business
CHAR Tech Closes Acquisition of Elkem's Biocarbon Assets in Saguenay, Québec, Including 62,500 tonne Offtake, Facility and IP
Highlights : Acquisition of Elkem ASA's Saguenay, Québec, biocarbon pellet production fac...
About this update from Char Technologies Ltd.
[{"type":"text","content":"CHAR Tech Closes Acquisition of Elkem's Biocarbon Assets in Saguenay, Québec, Including 62,500 tonne Offtake, Facility and IPHighlights:Acquisition of Elkem ASA's Saguenay, Québec, biocarbon pellet production facility and all associated hard assetsExecution of an offtake agreement with Elkem ASA for 62,500 tonnes of biocarbon over five years (12,500 tonnes per year)Transfer of proprietary intellectual property related to biocarbon pellet production TORONTO, ON / ACCESS Newswire / April 20, 2026 / CHAR Technologies Ltd. (\"CHAR Tech\" or the \"Company\")(TSXV:YES)(OTC:CTRNF)(FSE:68K), a leader in sustainable biomass energy solutions, today announced it has closed the asset purchase transaction, previously announced on April 16th, 2026, with Elkem ASA (\"Elkem\")(OSE:ELK), a global leader in advanced silicon-based materials, to acquire Elkem's Biocarbon assets (the \"Acquisition\"). The Acquisition includes the physical pilot and demonstration production facility located in Saguenay, Québec, proprietary intellectual property and related liabilities. A definitive biocarbon offtake agreement and related royalty agreement has also been entered with Elkem in connection with the Acquisition, securing 62,500 tonnes of supply over five years at 12,500 tonnes per year.A description of the terms of the Acquisition can be found in the Company's press release dated April 16, 2026, available on SEDAR+.BackgroundThe Saguenay, Québec, facility was initially built in 2022 as a pilot and demonstration facility, where Elkem developed their proprietary biocarbon pellet process to meet the specific needs of ferrosilicon production in electric arc furnaces. Most recently, the facility produced volume for an industrial test of biocarbon, which was successfully used in Elkem Métals electric arc furnace, located near the biocarbon production facility. The site is now poised for commercial upgrades to allow for the production of up to 15,000 tonnes per year of pelletized biocarbon. Once upgraded, the facility will then process CHAR Tech's raw biochar into biocarbon pellets suitable for heavy industrial decarbonization, with a specific focus on supporting ferrosilicon production.The biocarbon offtake agreement, for 62,500 tonnes over five years, to global materials leader Elkem provides CHAR Tech long-term revenue visibility at th...