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Lifequest Signs Letter of Intent with Aquity (Pty) Ltd. to Pursue Build Own Operate and Build Own Lease Transfer and Water-as-a-Service Wastewater Treatment Plants
Lifequest Signs Letter of Intent with Aquity (Pty) Ltd. to Pursue Build Own Operate and Build Own Lease Transfer and Water-as-a-Service Wastewater Treatment Plants.
About this update from Lifequest World Corp.
[{"type":"text","content":"\n Lifequest Will Own a Majority Stake in Aquity and Arrange Project Finance to Build a Portfolio of Plants Yielding Long-Term Cash Flow RIDGEFIELD PARK, NJ, April 08, 2021 (GLOBE NEWSWIRE) -- via NewMediaWire – LIFEQUEST WORLD CORP (LQWC) is focused on innovative, scalable and disruptive decentralized wastewater treatment and reuse technologies. Pursuant to the LOI, the Company will acquire a majority equity interest in Aquity and provide project financing to pursue build own operate (BOO), build own lease transfer (BOLT) and Water-as-a-Service (WaaS) plants in South Africa. Such plants are either evergreen (perpetual) or have minimum 10-year concessions and 7-year lease and expected to yield stable cash flow over a long period with equity IRRs in excess of 25%. The global growth of modular, distributed (onsite) wastewater plants is expected to rise to $21.8 billion in 2021. Of the $21.8 billion, $9.1 billion is forecast to be purchased by municipal wastewater, $8.4 billion by industrial wastewater and $4.4 billion for municipal drinking water.     Mr. Max Khan, CEO, said, \"With decentralized systems becoming a viable option, governments and corporations are increasingly turning to BOO, BOLT and WaaS models. This asset class is now attracting private equity and impact investors seeking stable cash flow. We have an opportunity to build a portfolio of such plants over the next 18 months in the countries we operate in. We are pursuing several project debt financing options in order to execute the projects in the pipeline. Aquity has complete design, engineering, procurement, construction, operation and maintenance capability and has an agreement in place to do the first BOO plant. It is a 10+10-year abattoir wastewater treatment-as-a-service agreement with one of South Africa’s premier beef producers. The plant is expected to generate circa $3.5 million in free cash flow over twenty years. Lifequest is expected to arrange the debt financing along with its shares of equity capital.” About Lifequest & Biopipe Lifequest offers both effluent treatment (ETP) and sewage treatment (STP) solutions. Biopipe, a wholly owned subsidiary, has developed a patented 100% sludge-free, chemical-free, odor-free, silent, easy to assemble and install, scalable, low cost, ecological and virtually maintenance-free onsite...