DevvStream Announces Multi-Year Agreement with Multinational Energy Company for the Sale of Compliance Carbon Credits
Customer will acquire 250,000 credits over a 3-year period under the master purchase agreement, with an option for an additional 400,000 credits
Vancouver, British Columbia--(Newsfile Corp. - August 14, 2023) - DevvStream Holdings Inc. (NEO: DESG) (OTCQB: DSTRF) (FSE: CQ0) ("DevvStream" or the "Company"), a leading carbon credit project development and generation firm specializing in technology solutions, today announced a multi-year carbon credit purchase agreement (the "Agreement") with a Canadian subsidiary of a large investor-owned energy company (the "Customer"). Under the terms of the Agreement, the Customer will purchase 250,000 carbon credits generated by DevvStream in accordance with compliance programs in both Alberta and British Columbia, over a minimum three-year term, subject to satisfaction of certain conditions precedent including implementation of certain proposed regulatory requirements in British Columbia. The first delivery of carbon credits is expected by December 31, 2024, and final delivery is expected by 2026, with an allowance for an optional 400,000 additional credits to be purchased beyond that window.
Carbon credits can only become eligible for trading on compliance markets if they are produced in alignment with relevant national, regional and/or international policies and legislation. Under the Agreement, DevvStream will generate carbon credits in compliance with the Technology Innovation and Emission Reduction (TIER) Regulation, enacted under Alberta's Emissions Management and Climate Resilience Act, as well as British Columbia's still-pending Output- Based Pricing System (OBPS). In the event that the B.C. OBPS has not been finalized during the term of the Agreement, and certain other conditions precedent are not satisfied, equivalent voluntary credits may be delivered in substitution at the option of the customer.
DevvStream has developed a number of targeted, scalable carbon offset programs (COPs)-including road transportation and maintenance emission reduction activities, a buildings and facilities program, efficient lighting program, electric vehicle charging station program, and a methane-abatement program centered around sealing orphaned oil and gas wells-that will be leveraged to fulfill the terms of the Agreement. To ensure scalability, DevvStream COPs utilize the Program of Activities (PoA) approach, a recognized modality of project development under the Clean Development Mechanism (CDM) of the United Nations Framework Convention on Climate Change (UNFCCC). This allows the Company to aggregate an unlimited number of eligible activities from multiple program participants, across pre-defined jurisdictions, enabling rapid deployment at scale.
"This agreement underscores our commitment to developing the highest quality technology-based carbon credits available, and equally importantly, establishing relationships with buyers who care about the integrity and underlying value of the purchases they make," said Sunny Trinh, CEO of DevvStream. "The carbon credits delivered under this agreement will adhere to the Core Carbon Principles developed by the Integrity Council for the Voluntary Carbon Market (ICVCM), but will also align with rigorous compliance program methodologies established via Canadian law. Our ability to navigate these complex requirements on a strict timeline demonstrates DevvStream's operational and technical excellence in the carbon space. This agreement also illustrates the high demand for offsets expected to be generated by our programs."
About DevvStream
DevvStream is a technology-based ESG company that advances the development and monetization of environmental assets, with an initial focus on carbon markets. DevvStream works with governments and corporations worldwide to achieve their sustainability goals through the implementation of curated green technology projects that generate renewable energy, improve energy efficiencies, eliminate or reduce emissions, and sequester carbon directly from the air-creating carbon credits in the process.
On Behalf of the Board of Directors,
Sunny Trinh, CEO
For further information please contact:
Focus Communications
Tel: +1 647 689 6041
Email: info@fcir.ca
Disclaimer
This news release contains forward-looking statements within the meaning of applicable Canadian securities legislation, including statements relating to the future sale of carbon credits pursuant to the Agreement, the timing of such sales, potential carbon offset programs and other statements that are not historical facts. All statements other than statements of historical fact included in this release are forward-looking statements. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. In particular, the Company has made assumptions regarding its ability to satisfy all necessary conditions under the Agreement and to successfully implement carbon offset programs, as well as the timing of such events. Although the Company believes that such assumptions are reasonable, events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company, and which are described in the Company's public filings available under its profile at www.sedar.com. The reader is cautioned not to place undue reliance on any forward-looking information. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company does not intend to update any of the included forward-looking statements except as required by Canadian securities laws.
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