Business
Loop Industries Reports Fourth Quarter Consolidated Financial Results of Fiscal 2020 and Provides Updates On Business Developments
Company Expresses Interest to Increase its Participation in Joint Venture MONTREAL, QC / ACCESSWIRE / July 14, 2020 / Loop Industries, Inc. (NASDAQ:LOOP) (the
About this update from Loop Industries, Inc.
[{"type":"text","content":"Company Expresses Interest to Increase its Participation in Joint Venture MONTREAL, QC / ACCESSWIRE / July 14, 2020 / Loop Industries, Inc. (NASDAQ:LOOP) (the \"Company\" or \"Loop Industries\"), a leading sustainable plastics technology innovator, today announced its consolidated financial results for the first quarter of the fiscal year ending February 28, 2021, and provided an update on its continuing progress in implementing its business plan.Commercialization ProgressOn March 25, 2020, due to the COVID-19 pandemic, the Québec provincial government issued an order that all non-essential business and commercial activity in the province shut down. The order provided exemptions that allowed us to continue reduced operations at our pilot plant and we continued working remotely to support the engineering activities with our joint venture partner, Indorama Ventures Holdings LP (\"Indorama\"), and our engineering partner, for the Spartanburg joint venture facility and pursue our plans for the commercialization of our technology. On May 11, the government announced that we could re-start complete operations. We have implemented all the necessary measures required by the Québec provincial government to ensure a safe work environment for our employees and we are operating at full capacity.Over the period, our team in Canada continued to optimize our technology and make engineering design improvements which have reduced both capital and operating costs and further enhanced the projected return on investment for the project. These improvements were achieved together with Worley, a leading global engineering, procurement and construction company which we are engaging to provide a fixed-price construction contract for Spartanburg and work on Loop Industries engineering and construction plans.In order to move forward expeditiously with the Spartanburg facility and its overall commercialization plans, and in light of the continuing improvements which have been achieved, we have expressed our desire to and are exploring joint venture structures and financing alternatives to increase our equity participation in the project. Indorama has reiterated to the joint venture its commitment to maintaining an investment in the Spartanburg project, which is strategically important to support the sustainability objectives of its customers. Discussions o...