NEXE Innovations Provides a Corporate Update on its Windsor Facility

Rhea-AI Summary

NEXE Innovations has entered the final stages of commissioning its Windsor Facility for commercial operations, focusing on the production of food-grade components for its compostable single-serve beverage pods. Key milestones achieved include receiving the occupancy permit, installing essential production equipment, and conducting successful test runs.

The facility aims to provide North American-made solutions to reduce plastic waste and is set to enhance NEXE’s production capabilities significantly. The company is actively engaging with potential clients and expanding its workforce as production ramps up.

Positive

• Windsor Facility is nearing completion, facilitating the production of compostable pods.
• Occupancy permit obtained, allowing NEXE to commence production.
• Installation of key production equipment completed and passed acceptance tests.
• Successful completion of multiple production test runs.
• Active discussions with potential customers in private label and co-manufacturing sectors.

Negative

• None.

NEXE enters final stages of commissioning its Windsor Facility for commercial operations

VANCOUVER, BC, March 14, 2023 /PRNewswire/ - NEXE Innovations Inc. ("NEXE" or the "Company") (TSXV: NEXE) (Frankfurt: NX5) (OTC: NEXNF), a compostable and innovative materials company, is pleased to provide a corporate update on its Windsor Facility. NEXE commissioned key equipment at its Windsor Facility for producing food-grade components for its proprietary single-serve beverage pods. The end-to-end manufacturing facility is a key part of NEXE's operating strategy and is equipped for compounding resin, injection molding key components of NEXE's proprietary single-use fully compostable pod, and dosing and sealing the pods for commercialization. NEXE will also provide roasting and grinding capabilities in order to provide a fully integrated coffee solution to potential clients.

Since the start of 2023, NEXE has completed several key steps in the commissioning process and NEXE's operations team is currently working with various vendors and contractors to ensure end-to-end system processes and equipment as a whole are operating as per the specifications and parameters set by NEXE. This performance verification stage includes training and a trial period before a final handoff occurs.

"A key milestone has been achieved by NEXE. We have fully onshored the manufacturing of key components of our compostable single-use pod," stated Ash Guglani, President, NEXE Innovations, "Not only is the Company able to provide a North American-made solution to help eliminate plastic waste, but the manufacturing infrastructure will also allow NEXE to scale much faster and introduce other fully compostable packaging solutions when ready''.

Update on Windsor Facility

Several key parts of the commissioning process that have been completed to date include:

• The Company has received the occupancy permit from the City of Windsor; meaning it has been constructed in full compliance with all the provisions of the Building Code Act. This important step required by the City of Windsor allows NEXE to start business practices and production.
• Key equipment required for production has been installed and has passed the Site Acceptance Tests (SATs) conducted by vendors and NEXE.
• The Company is in the process of building its operations team and has various key production employees in place. Key members of the team that were previously based in Vancouver have moved to Windsor, including the CEO, Darren Footz. The Company has several job openings and will continue to hire additional employees as production ramps up. 
• The Company has successfully conducted several production test runs to test and validate certain components required to manufacture the single-use fully compostable coffee pod.

NEXE is currently in active discussions with potential customers. A key part of NEXE's strategy is to target private label and co-manufacturing segments of the market in order to reliably fill NEXE's production capacity as it comes online.

 *NEXE Innovations Inc. is not affiliated with, endorsed, or sponsored by Keurig®. Keurig® is a registered trademark of Keurig Dr Pepper Inc.

**NEXE Innovations Inc. is not affiliated with, endorsed, or sponsored by Nespresso®. Nespresso® is a registered trademark of Société des Produits Nestlé S.A

About NEXE Innovations Inc.

NEXE Innovations Inc. is a leader in innovative compostable materials technology based in British Columbia, Canada. The first product developed by NEXE Innovations is one of the only patented, fully-compostable, single-serve coffee pods for use in existing major single-serve coffee machines.

For more information about NEXE Innovations' compostable materials and how it is well-positioned to meet the growing demand for environmentally friendly and sustainable products, visit www.nexeinnovations.com and follow us on social media @nexeinnovations.

On behalf of the Company:
Ash Guglani
President & Director

For investor relations contact:
Kam Mangat
VP, Investor Relations & Corporate Strategy
invest@nexeinnovations.com
Office +1-604-359-4725
Mobile +1-604-359-4742

For media relations contact: media@nexeinnovations.com

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

Cautionary Note Regarding Forward-Looking Statements

Certain statements in this release are forward-looking statements or information, which include, but are not limited to, statements in respect of discussions with potential clients; services the Company intends to offer and the Company's overall business strategy. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such information can generally be identified by the use of forwarding-looking wording such as "may", "expect", "estimate", "anticipate", "intend", "believe" and "continue" or the negative thereof or similar variations. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. 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, including but not limited to, the Company's ability to execute on its business strategy and those risks set out in the Company's management's discussion and analysis for the three and six months ended November 30, 2022, under the heading "Risk and Uncertainties". Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, including the demand for its products, anticipated costs, and the ability to achieve goals. Factors that could cause the actual results to differ materially from those in forward-looking statements include, receipt of necessary approvals and general economic, market or business conditions. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The reader is cautioned not to place undue reliance on any forward-looking information.

The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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SOURCE Nexe Innovations Inc.

FAQ

What is the status of NEXE Innovations' Windsor Facility?

NEXE Innovations is finalizing the commissioning of its Windsor Facility, which will produce compostable single-serve beverage pods.

What key milestones has NEXE Innovations achieved recently?

Recent milestones include obtaining an occupancy permit, completing equipment installation, and conducting successful production test runs.

How does the Windsor Facility impact NEXE Innovations' production capabilities?

The Windsor Facility enhances NEXE's production capabilities by providing North American-made solutions to combat plastic waste.

What markets is NEXE Innovations targeting with its new facility?

NEXE Innovations is targeting private label and co-manufacturing segments to fill its production capacity.

What are the implications of NEXE's operational updates on stock symbol NEXNF?

The operational updates suggest potential growth in production and market engagement, which may positively influence NEXNF's stock performance.