Cielo Waste Solutions Corp. (TSXV:CMC) entered into a letter of intent to acquire EGTL? facility in Carseland, Alberta from Rocky Mountain Clean Fuels Inc. for approximately CAD 160 million on June 12, 2024.

The Cielo LP will also assume approximately CAD 31.5 million in RMCFI liabilities (the ? Assumed Liabilities ?). The Cielo LP will be required to make a lump-sum payment of $15 million (approximately CAD20 million) on or before October 1, 2024 as repayment of one of the Assumed Liabilities.

The balance of the Purchase Price will be paid through a non-negotiable, secured vendor take back note (the ? VTB Note ?). The completion of the Transaction is subject to certain conditions and a due diligence review.

Following the completion of the due diligence review, definitive agreements will be entered into setting out all final terms of the Transaction before closing. The deal is expected to close on or before September 6, 2024. As of June 24, 2024, the Company anticipates using the net proceeds of the Private Placement dated June 24, 2024, for the continued advancement of its existing renewable fuel projects in Carseland, Alberta (the ?Carseland Project?) and the completion of the Proposed Acquisition, as well as for general working capital and corporate growth purposes.