Business
ReGen III: BP Extension and Financing Update
Vancouver, British Columbia--(Newsfile Corp. - December 2, 2021) - ReGen III Corp.  (TS...
About this update from Regen Iii Corp
[{"type":"text","content":"ReGen III: BP Extension and Financing UpdateVancouver, British Columbia--(Newsfile Corp. - December 2, 2021) - ReGen III Corp. (TSXV: GIII) (OTCQB: ISRJF) (FSE: PN4) (\"ReGen III\" or the \"Company\") is pleased to provide the following updates regarding its Sale, Purchase and Marketing Agreement with bp and overall project financing.On May 1, 2021, bp signed a Sale, Purchase and Marketing offtake agreement with ReGen III for the purchase of one hundred percent (100%) of the Company's base oils produced at its proposed 5,600 bpd used motor oil recycling facility in Texas. Section 13.3(b) of this contract required ReGen III to close project financing by December 31, 2021 (the \"Financial Closing Date\") and section 3.5 required ReGen III to present a written timeline estimating the Texas facility construction schedule within 180 days of the contract execution date.bp is aware of the considerable progress being made by ReGen III on both the financing and engineering fronts for the Company's proposed Texas recycling facility. Due to the status of the negotiations with several potential funding partners outlined below, their respective due diligence processes and the timeline for completion of the ongoing front-end engineering and design (\"FEED\") study, bp has agreed to:extend the Financial Closing Date from December 31, 2021 to June 30, 2022; andamend the delivery date of a written timeline estimating the construction schedule to within one hundred and eighty (180) days from the Financial Closing Date. FINANCING PROGRESS BEING MADE ACROSS THE ENTIRE CAPITAL STACKFunding the Company's Texas used motor oil recycling facility will be completed through a combination of debt and equity, with greater emphasis being placed on debt and project level financing.The Company has now received both a letter of interest and preliminary indicative terms for a project level, US$108 million senior credit facility from Export Development Canada (\"EDC\"). EDC is agreeable to ReGen III bringing qualified financing partners alongside EDC in a senior secured position, for combined debt of up to US$135 million. Final terms continue to be advanced with EDC and will be crystallized upon completion of the Company's FEED study and EDC's due diligence process. ReGen III is pleased to continue advancing discussions with EDC while alternate institut...