Increase of H2O Innovation’s WTS Backlog by 10% with the Addition of New Reuse, Wastewater, Desalination Projects

Rhea-AI Summary

H2O Innovation has secured three new capital equipment contracts worth a total of $4.1 million in its Water Technologies & Services sector. This brings its backlog to $44.2 million. The projects include:

• A water reuse contract in Atlanta utilizing flexMBR technology.
• A membrane thickening project in California reducing waste volume by approximately 67%.
• A seawater desalination project in Anguilla, increasing capacity by 100,000 gpd.

Despite these advancements, there are potential risks related to project execution and global supply chain challenges.

Positive

• Secured three new contracts totaling $4.1 million, enhancing backlog to $44.2 million.
• Innovative flexMBR technology used for a new water reuse project.
• Membrane thickening project expected to reduce waste volume by approximately 67%.
• Increased desalination capacity of 100,000 gpd in Anguilla.

Negative

• Potential delays and additional costs due to global supply chain issues.
• Risks associated with the ability to execute projects timely.

All amounts in Canadian dollars unless otherwise stated.

QUEBEC CITY, Nov. 18, 2021 (GLOBE NEWSWIRE) -- (TSXV: HEO) – H₂O Innovation Inc. (“H₂O Innovation” or the “Corporation”) is pleased to announce that its Water Technologies & Services (“WTS”) business line has recently been awarded three new capital equipment projects, one each in water reuse, wastewater, and seawater desalination. These new contracts, with a total value of $4.1 M, bring the WTS backlog to $44.2 M.

The first project is a water reuse contract for the supply of a 220,000 gpd (835 m³/day) membrane bioreactor (MBR) using the Corporation’s versatile flexMBR^TM technology. The customer selected H₂O Innovation’s unique open-source platform for the flexibility it offers in membrane selection, as well as its robust design. The Corporation will also supply a reverse osmosis (“RO”) system to treat a portion of the flexMBR^TM filtrate to meet final quality requirements. The reuse system will harvest wastewater from the sewer system leaving a medical center, located in downtown Atlanta, and treat it for reuse as cooling tower and boiler make-up.

“Water reuse is a major focus for us, and our flexMBR^TM technology positions us well to serve this market in a unique way. The flexibility offered by our open-platform strategy affords the customer peace of mind knowing they will have access to the best available membrane technology for the life of their equipment”, stated Gregory Madden, Chief Strategy Officer of H₂O Innovation. “We are excited to be working with a partner who understands the value this design brings to the end-user.”

H₂O Innovation’s first membrane thickening project, located in Sonora, California, will incorporate flat plate membranes which have a higher solids tolerance than hollow-fiber membranes. Membrane systems have great potential for thickening sludge and provide significant advantages over traditional approaches using clarification. The system will thicken waste activated sludge, reducing volume of the waste by approximately 67 %. Toray's new high-performance membranes will be used for this application.

Finally, the Corporation will replace high-pressure feed pumps on existing seawater reverse osmosis (“SWRO”) trains and provide an additional 100,000 gpd (380 m³/day) in desalination capacity for a drinking water application at a resort in Anguilla.

Prospective disclosures
Certain statements set forth in this press release regarding the operations and the activities of H₂O Innovation as well as other communications by the Corporation to the public that describe more generally management objectives, projections, estimates, expectations or forecasts may constitute forward-looking statements within the meaning of securities legislation. Forward-looking statements concern analysis and other information based on forecast future results, performance and achievements and the estimate of amounts that cannot yet be determined. Those forward-looking statements, based on the current expectations of management, involve a number of risks and uncertainties, known and unknown, which may result in actual and future results, performance, and achievements of the Corporation to be materially different than the said forward-looking statements., such as the Corporation’s ability to execute, complete or deliver these projects, in a timely manner and without additional costs, mostly due to the challenges resulting from the global supply chain and the Covid-19 pandemic. Information about the risk factors to which the Corporation is exposed is provided in the Annual Information Form dated September 27, 2021 available on SEDAR (www.sedar.com).

About H₂O Innovation 
Innovation is in our name, and it is what drives the organization. H₂O Innovation is a complete water solutions company focused on providing best-in-class technologies and services to its customers. The Corporation’s activities rely on three pillars: i) Water Technologies & Services (WTS) applies membrane technologies and engineering expertise to deliver equipment and services to municipal and industrial water, wastewater, and water reuse customers, ii) Specialty Products (SP) is a set of businesses that manufacture and supply a complete line of specialty chemicals, consumables and engineered products for the global water treatment industry, and iii) Operation & Maintenance (O&M) provides contract operations and associated services for water and wastewater treatment systems. Through innovation, we strive to simplify water. For more information, visit www.h2oinnovation.com.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor the NYSE Euronext Growth Paris accepts responsibility for the adequacy or accuracy of this release.

Source:
H₂O Innovation Inc.
www.h2oinnovation.com

Contact:
Marc Blanchet
+1 418-688-0170
marc.blanchet@h2oinnovation.com 

FAQ

What are the new projects awarded to H2O Innovation (HEOFF)?

H2O Innovation was awarded three projects in water reuse, wastewater, and seawater desalination with a total value of $4.1 million.

What is the current backlog of H2O Innovation (HEOFF)?

The current backlog for H2O Innovation stands at $44.2 million.

How much waste volume will the new membrane thickening project reduce?

The new membrane thickening project is expected to reduce waste volume by approximately 67%.

What technology is being used in the water reuse project by H2O Innovation (HEOFF)?

The water reuse project will utilize H2O Innovation’s flexMBR technology.

What risks are associated with H2O Innovation's (HEOFF) new projects?

Risks include potential delays and additional costs due to global supply chain challenges.