PlasCred Circular Innovations Inc. Announces Non-Binding Term Sheet from Business Development Bank of Canada for up to $8.5 Million Building on ERA Grant Support

September 09, 2025 at 06:00 AM EDT

Calgary, Alberta--(Newsfile Corp. - September 9, 2025) - PlasCred Circular Innovations Inc. (CSE: PLAS) (FSE: XV2) (the "Company" or "PlasCred") an Alberta-based clean technology company focused on advanced plastic recycling, is pleased to announce it has received a non-binding term sheet (the "Term Sheet") from the Business Development Bank of Canada ("BDC") for up to $8.5 million in proposed senior debt financing. This milestone builds on a $5.0 million non-dilutive grant from Emissions Reduction Alberta ("ERA") dedicated to construction of PlasCred's Neos commercial facility in Fort Saskatchewan, as well as $500,000 in R&D funding from Alberta Innovates to advance commercialization of the company's patent-pending dual-catalytic pyrolysis platform.

PlasCred's Neos facility is designed to process approximately 100 metric tonnes of post-consumer plastic waste per day into 500 barrels of Renewable Green Condensate™, a low-sulphur, low-carbon circular naphtha ("Condensate") used as a feedstock for virgin plastic production. Strategically located at CN Rail's Scotford Yard, Neos will divert about 36,500 tonnes of plastic waste annually and is forecast to avoid 51,000 tonnes of CO₂e emissions through lifecycle displacement of virgin fossil feedstocks and traditional disposal methods. All production is secured under a five-year offtake agreement with a Global Commodities Company ("GCC") at $120 per barrel, inclusive of freight, providing a predictable revenue stream. The facility design builds on more than 24 months of continuous pilot-scale operations at PlasCred's Primus unit in Calgary.

The Neos facility is expected to cost approximately $25 million. BDC has provided a non-binding term sheet for up to $8.5 million of senior debt. Combined with ERA's $5.0 million grant, this represents more than half of the targeted $25 million capital package. Equity discussions are ongoing, and construction is targeted to begin in Q1 2026, subject to financing being finalized, with commissioning expected later in 2026.

The non-binding Term Sheet provided by BDC is intended for discussion purposes only. It does not constitute a loan offer or commitment to finance. Any advancement of funds remains subject to, among other things, further due diligence, internal approvals, and negotiation and execution of definitive legal agreements. BDC is not under any obligation to proceed with financing and reserves full discretion to amend or withdraw the terms at any time prior to execution of such definitive agreements.

"This proposed financing represents a critical step toward realizing Alberta's circular plastics economy," said Troy Lupul, President and CEO of PlasCred. "We're pleased to work with BDC to structure a capital-efficient package alongside our ERA support. These combined supports position PlasCred to advance the development of a fully integrated, low-carbon circular solution for plastic waste."

A Fully Integrated Platform for Circular Plastics

Neos is engineered for replication and modular expansion as the commercial foundation for PlasCred's larger-scale Maximus platform. The proposed Maximus facility is designed to launch at approximately 400 tonnes per day and 2,000 barrels per day condensate and scale up to approximately 2,000 tonnes per day and 10,000 barrels per day condensate through phased deployment. Co-located with Neos at CN Rail's Scotford Yard, Maximus will leverage existing enclosed infrastructure, integrated rail logistics, and shared site services offering significant cost and execution advantages while anchoring Alberta as a hub for scalable, low-carbon plastic circularity. Neos will also integrate Palantir Foundry, an industrial AI platform, to capture real-time data on feedstock composition, facility performance, and product quality. The platform enables auditable lifecycle assessments ("LCA") that verify each tonne of waste plastic is transformed into new plastic, supports Extended Producer Responsibility ("EPR") compliance, tracks GHG emissions and plastic-credit issuance, and builds a digital twin of operations-delivering full-process traceability and AI-optimized decision-making.

With strategic site control, integrated rail logistics, and a five-year contracted revenue stream, PlasCred is advancing a scalable platform for circular plastics infrastructure. Project execution is led by Grey Owl Engineering Ltd., with modular fabrication supported by Alberta-based vendors. This Alberta-first deployment model is purpose-built for replication and growth across North America.

About BDC

The Business Development Bank of Canada ("BDC") is the nation's only bank exclusively dedicated to supporting entrepreneurs. With over 110 business centres across the country, BDC offers financing, venture capital, and advisory services to small and medium-sized enterprises ("SME") in all industries. Its investment arm, BDC Capital, provides equity and customized growth and business transition capital. As a Certified B Corporation, BDC meets high standards of social and environmental performance, accountability, and transparency. Learn more at www.bdc.ca.

About PlasCred Circular Innovations Inc.

PlasCred is at the forefront of rebalancing the future of plastics. The company is transforming plastic waste by granting it a valuable second life. With a vision of advancing towards a climate-positive future, PlasCred aspires to be among the largest advanced plastic waste recyclers in North America and globally. Their groundbreaking patent-pending technology is set to revolutionize the approach to plastic waste management and advanced recycling.

PlasCred also has strategic partnerships with CN Rail, Palantir Technologies Inc., the Government of Alberta, Fibreco Export Inc., and a Global Commodities Company. These collaborations provide PlasCred with world-class logistics, AI-driven operational intelligence, and stable long-term revenue, while driving measurable environmental impact through large-scale waste diversion, CO₂e reduction, and circular economy leadership.

For further information on PlasCred, visit our website at www.PlasCred.com.

ON BEHALF OF THE BOARD

Troy Lupul - President & CEO

Contact Information

For more information please contact:
PlasCred Circular Innovations Inc.
Investor Relations
Email: IR@PlasCred.com

Forward-looking Statements

Forward-looking statements in this release include, but are not limited to: the timing, scope, and cost of constructing the Neos facility; projected operating performance, revenues, EBITDA, internal rate of return, and payback period; anticipated greenhouse-gas reductions; the availability, terms, and timing of financing; feedstock sourcing, quality, and pricing; regulatory approvals; offtake performance; and the Company's broader commercialization, replication, and expansion plans, including the proposed Maximus facility and any future North American locations. Forward-looking statements are based on management's current assumptions and expectations, which are subject to known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially from those expressed or implied. Such risks and uncertainties include, without limitation: construction, commissioning, and start-up risks; cost overruns; delays or disruptions in the supply chain; ability to achieve and maintain nameplate capacity at scale; changes in feedstock availability, composition, or pricing; fluctuations in commodity prices and foreign exchange rates; failure of counterparties to perform under offtake, financing, or strategic agreements; changes in applicable laws, regulations, or EPR requirements; inability to secure or maintain permits; adverse changes in market demand for advanced recycling products; evolving ESG reporting standards; technology performance or reliability issues; and general economic, political, and capital market conditions. A discussion of these and other factors that may affect future results is contained in the Company's continuous disclosure filings available under its profile on SEDAR+ at www.sedarplus.ca. Forward-looking statements are not guarantees of future performance, and readers should not place undue reliance on them. Except as required by applicable securities laws, the Company undertakes no obligation to revise or update any forward-looking statements to reflect new events, circumstances, or otherwise.

The Canadian Securities Exchange (operated by CNSX Markets Inc.) has neither approved nor disapproved of the contents of this press release.

Corporate Logo

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/265399

About Us

About Cabling Installation & Maintenance

Contact Cabling Installation & Maintenance

Editorial

Advertising and Sponsorship Sales

Subscriptions and Memberships

Feedback/Problems

PlasCred Circular Innovations Inc. Announces Non-Binding Term Sheet from Business Development Bank of Canada for up to $8.5 Million Building on ERA Grant Support

More News