TORONTO, ON / ACCESSWIRE / May 25, 2021 / SusGlobal Energy Corp. ("SusGlobal") or (the "Company") (OTCQB:SNRG), the developer of SusGro^™, a revolutionary pathogen-free organic liquid fertilizer and LEADERS IN THE CIRCULAR ECONOMY®, today announced financial results for the first quarter ended March 31, 2021 and provided an update on its operational progress.

Recent Highlights

• On February 10, 2021, the Company signed an Agreement of Purchase and Sale (the "APS") for certain assets for $3,578,400 (C$4,500,000), including a vendor take-back mortgage of $1,590,400 (C$2,000,000) at an annual interest rate of 2% maturing two years after closing. A deposit of $159,040 (C$200,000) was paid by the Company on February 10, 2021. The APS was amended on April 8, 2021, to revise the closing date to June 4, 2021, subject to successful completion of the due diligence process and the completion of the Phase II Environmental Site Assessment at a cost of $39,601 (C$49,800), plus applicable harmonized sales taxes, expected on or before May 19, 2021. On May 20, 2021, the Company and the vendor signed a waiver and amending agreement, waiving the due diligence process and revising the closing date to June 16, 2021.

• On April 8, 2021, the Company completed the purchase of its International Prostar Truck and Trout River Hy-Cube, 53ft wide with a 125.5 cubic yard capacity hauling trailer for a total purchase price of $173,622 (C$218,338), plus the applicable harmonized sales taxes and administrative costs. The Company paid deposits of $39,118 (C$49,193) on this purchase and financed the balance over a period of forty-eight months at a monthly principal and interest payment of $3,659 (C$4,601) at an interest rate of 4.95% per annum.

• On May 7, 2021, the Company received a signed letter of intent for the purchase of the shares of two corporations which own proprietary processes, manufacture liquid organic fertilizers and other products. The total purchase price will be $15,904,000 (C$20,000,000) consisting of fifty percent in cash and fifty percent in common stock of the Company. The transaction is set to close on August 31, 2021.

Revenue decreased by 44.99% during the first quarter of 2021 to $192,660 compared to the first quarter of 2020 in the amount of $350,197, primarily due to changes in the customer base including an expiring contract at prior year-end and reductions in certain waste disposed of by several customers.

We continue to process municipal organic waste streams, diverting them from landfills, while producing regenerative products such as Earth's Journey® Organic Compost, as part of our Circular Economy model. We have confidence in a revenue ramp up this year," said Marc Hazout, Executive Chairman, President and CEO of SusGlobal Energy Corp. "Our goal is to complete our regional strategy with a second facility and the commercialization of our proprietary organic liquid fertilizer in order to increase revenue and cash flow, maximizing shareholder value with an objective to up-list to a major exchange."

Unaudited 2021 First Quarter Financial Results

For the first quarter ended March 31, 2021, SusGlobal recorded:

• Revenue of $192,660.
• Cost of sales of $310,592.
• Operating expenses of $593,212, comprised of $163,874 of interest expenses, $144,308 of management compensation, including stock-based compensation of $54,259, $75,215 of office and administration, $64,402 of professional fees, $45,727 of marketing expenses, $32,339 of rent and occupancy and other operating expenses totalling $67,347.
• Other income of $404,809 consisting of gain on the forgiveness of conversion promissory notes of $359,460 and a gain on the disposal of a long-lived asset of $45,349.
• Net loss of $306,335, or $0.01 loss per share- basic and diluted.
• Adjusted EBITDA (a non-GAAP financial measure) income of $72,179.
• $6,108,081 in total assets and $9,772,324 in total liabilities at the end of the first quarter.

About SusGlobal Energy Corp.
SusGlobal Energy Corp., the developer of SusGro™, a revolutionary pathogen-free organic liquid fertilizer is a renewables company focused on acquiring, developing and monetizing a portfolio of proprietary technologies in the waste to energy and regenerative products applications globally. It is management's objective to grow SusGlobal into a significant sustainable waste to energy and regenerative products provider, as Leaders in The Circular Economy®. For more information, please visit the Company's website at: https://susglobalenergy.com

Safe Harbor Statement
This news release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the Company's objectives. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "aims," "potential," "goal," "objective," "prospective," and similar expressions, or that events or conditions "will," "would," "may," "can," "could" or "should" occur. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward-looking statements as a result of various factors, including, but not limited to, lack of sufficient financial resources; variations in market conditions, currency and our stock; the Company's ability to obtain any necessary permits, approvals, consents or authorizations required for its activities; the Company's ability to produce energy, biogas, compost or organic fertilizer from its properties successfully or profitably, to continue its projected growth, or to be fully able to implement its business strategies and other risk factors described in the Company's filings with the U.S. Securities and Exchange Commission, which may be viewed at www.sec.gov.

- Financial Tables Follow -

SusGlobal Energy Corp.
Interim Condensed Consolidated Balance Sheets
As at March 31, 2021 and December 31, 2020
(Expressed in United States Dollars)
(unaudited)

SusGlobal Energy Corp.
Interim Condensed Consolidated Statements of Operations and Comprehensive Loss
For the three-month periods ended March 31, 2021 and 2020
(Expressed in United States Dollars)
(Unaudited)

SusGlobal Energy Corp.
Interim Condensed Consolidated Reconciliation of Non-GAAP Information
For the three-month periods ended March 31, 2021 and 2020
(Expressed in United States Dollars)
(Unaudited)

CONTACT:
SusGlobal Energy Corp.
Marc Hazout, President and CEO
(416) 223-8500 or Toll Free: 1-866-512-7374
Email: info@susglobalenergy.com

SOURCE: SusGlobal Energy Corp.