Maritime Launch Receives Conditional Term Sheet from Government of Canada for Contribution under the Strategic Innovation Fund

Rhea-AI Summary

Maritime Launch Services Inc. has received a conditional term sheet for a $12.9 million contribution from the Government of Canada under the Strategic Innovation Fund. The funding would support the development of Spaceport Nova Scotia for a first orbital launch in 2025. The term sheet is non-binding and subject to operational and financial conditions.

Positive

• Receiving a $12.9 million contribution from the Government of Canada shows financial support for Maritime Launch Services Inc.'s project.

• The potential funding of $26.0 million from federal and provincial sources will aid in the completion of Spaceport Nova Scotia.

• The focus on developing Canada's first commercial orbital spaceport near Canso, Nova Scotia, highlights the company's commitment to innovation and space exploration.

Negative

• The conditional nature of the term sheet means that the proposed contribution is subject to operational and financial conditions that have not yet been met, potentially leading to delays or changes in the funding.

• The non-binding aspect of the term sheet introduces uncertainty regarding the final approval and execution of a Contribution Agreement, which could affect the project's timeline and development.

HALIFAX, Nova Scotia--(BUSINESS WIRE)-- Maritime Launch Services Inc. (Cboe CA: MAXQ, OTCQB: MAXQF) (the “Company” or “Maritime Launch”) has received a conditional term sheet for a $12.9 million contribution administered under the Strategic Innovation Fund (SIF). Funding would support Maritime Launch in the ongoing development of Spaceport Nova Scotia, as the company prepares for a first orbital launch from Nova Scotia, Canada, in 2025.

The term sheet provided by the Government of Canada is proposing $12.9 million in project cost reimbursements and would be conditionally repayable, to support Maritime Launch’s Spaceport Nova Scotia, which will develop and commercialize Canada’s first commercial orbital spaceport near Canso, Nova Scotia. The term sheet is non-binding, and the proposed contribution is subject to operational and financial conditions that have not yet been met, approvals, and execution of a Contribution Agreement.

Managed by Innovation, Science and Economic Development Canada (ISED), the SIF plays a key role in providing support for innovative projects in Canada. The funding program provides transformative investments in all sectors of the economy to help Canada prosper in a global, knowledge-based economy.

Last year, Maritime Launch announced an investment of $13.1M from the Province of Nova Scotia under the Capital Investment Tax Credit (CITC program). Pending approval of the conditional SIF term sheet, total federal and provincial reimbursement funding would total $26.0 million.

Funding from the SIF would position Maritime Launch to complete the spaceport with a launch control center, a satellite integration facility, and a launch pad. Spaceport Nova Scotia will focus on supporting small class launch vehicles with total payloads not exceeding 1,250 kilograms initially, while growing the site to support medium class launchers.

About Maritime Launch Services
Maritime Launch is a Canadian-owned commercial space company based in Nova Scotia. Maritime Launch is developing Spaceport Nova Scotia, a launch site that will provide satellite delivery services to clients in support of the growing commercial space transportation industry over a wide range of inclinations. Spaceport Nova Scotia will allow launch vehicles to place their satellites into low-earth orbit. Spaceport Nova Scotia is Canada’s first commercial orbital launch complex.

For more information about Maritime Launch and Spaceport Nova Scotia, visit www.maritimelaunch.com

Forward Looking Statements
This news release contains "forward-looking statements" within the meaning of applicable securities laws. All statements contained herein that are not clearly historical in nature may constitute forward-looking statements. The forward-looking information and forward-looking statements contained herein include, but are not limited to, statements regarding: entering into binding definitive Contribution Agreement, the amount and timing of the contribution under such agreement, the budget and timing for completion of Spaceport Nova Scotia, timing of first orbital launch and the subsequent growth to support medium class launchers, and regulatory approval of the extension by the Cboe Exchange.

Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or may contain statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "will continue", "will occur" or "will be achieved".

Forward-looking statements in this news release are based on certain assumptions and expected future events, and involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements, including: negotiation of binding agreements; ; continued approval of the Company’s activities by the relevant governmental and/or regulatory authorities; construction schedules; economic conditions; the Company’s ability to obtain the financing that is a condition of the Strategic Innovation Fund and otherwise finance its operations until profitability of the Company can be achieved and sustained; and ability to continue as a going concern. For additional risks see the risk factors discussed in the Company’s Annual Information Form and Annual Management’s Discussion and Analysis filed on SEDAR+.

Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions, or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated.

Forward-looking statements contained in this news release are expressly qualified by this cautionary statement and reflect the Company’s expectations as of the date hereof and are subject to change thereafter. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, estimates or opinions, future events or results or otherwise or to explain any material difference between subsequent actual events and such forward-looking information, except as required by applicable law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240513106252/en/

Maritime Launch Services

Sarah McLean

Vice President of Communications and Corporate Affairs

sarah.mclean@maritimelaunch.com

www.maritimelaunch.com

902.402.6947

Source: Maritime Launch Services Inc.

FAQ

What is the financial contribution Maritime Launch received from the Government of Canada?

Maritime Launch received a conditional term sheet for a $12.9 million contribution from the Government of Canada under the Strategic Innovation Fund.

When is Maritime Launch preparing for a first orbital launch from Nova Scotia?

Maritime Launch is preparing for a first orbital launch from Nova Scotia in 2025.

What is the focus of Spaceport Nova Scotia?

Spaceport Nova Scotia will focus on supporting small class launch vehicles with total payloads not exceeding 1,250 kilograms initially, while growing the site to support medium class launchers.