Lifequest Signs Letter of Intent with Aquity (Pty) Ltd. to Pursue Build Own Operate and Build Own Lease Transfer and Water-as-a-Service Wastewater Treatment Plants
Lifequest Will Own a Majority Stake in Aquity and Arrange Project Finance to Build a Portfolio of Plants Yielding Long-Term Cash Flow
RIDGEFIELD PARK, NJ, April 08, 2021 (GLOBE NEWSWIRE) — via NewMediaWire – LIFEQUEST WORLD CORP (LQWC) is focused on innovative, scalable and disruptive decentralized wastewater treatment and reuse technologies. Pursuant to the LOI, the Company will acquire a majority equity interest in Aquity and provide project financing to pursue build own operate (BOO), build own lease transfer (BOLT) and Water-as-a-Service (WaaS) plants in South Africa. Such plants are either evergreen (perpetual) or have minimum 10-year concessions and 7-year lease and expected to yield stable cash flow over a long period with equity IRRs in excess of 25%. The global growth of modular, distributed (onsite) wastewater plants is expected to rise to $21.8 billion in 2021. Of the $21.8 billion, $9.1 billion is forecast to be purchased by municipal wastewater, $8.4 billion by industrial wastewater and $4.4 billion for municipal drinking water.
Mr. Max Khan, CEO, said, “With decentralized systems becoming a viable option, governments and corporations are increasingly turning to BOO, BOLT and WaaS models. This asset class is now attracting private equity and impact investors seeking stable cash flow. We have an opportunity to build a portfolio of such plants over the next 18 months in the countries we operate in. We are pursuing several project debt financing options in order to execute the projects in the pipeline. Aquity has complete design, engineering, procurement, construction, operation and maintenance capability and has an agreement in place to do the first BOO plant. It is a 10+10-year abattoir wastewater treatment-as-a-service agreement with one of South Africa’s premier beef producers. The plant is expected to generate circa $3.5 million in free cash flow over twenty years. Lifequest is expected to arrange the debt financing along with its shares of equity capital.”
About Lifequest & Biopipe
Lifequest offers both effluent treatment (ETP) and sewage treatment (STP) solutions. Biopipe, a wholly owned subsidiary, has developed a patented 100% sludge-free, chemical-free, odor-free, silent, easy to assemble and install, scalable, low cost, ecological and virtually maintenance-free onsite sewage wastewater treatment system. Our Abrimix ETP solution through our joint venture is a highly efficient and cost-effective industrial wastewater treatment system that is vastly superior to Dissolved Air Floatation (DAF) and other onsite industrial wastewater treatment systems.
www.lifequestcorp.com
https://www.biopipe.co/
This press release contains forward-looking statements that reflect the Company’s current beliefs, expectations or intentions regarding future events. Any statements contained in this press release that are not statements of historical fact may be deemed forward-looking statements. Words such as “will,” “will be,” “anticipate,” “predict,” “expect” “continue,” “future,” and similar expressions are intended to identify such forward-looking statements. All forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, many of which are generally outside the control of the Company and are difficult to predict. Examples of such risks and uncertainties include, but are not limited to: future revenues, expenditures, capital, the adequacy of the Company’s current cash and working capital to fund present and planned operations, and the growth through joint ventures. Additional factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, can be found in our current Disclosure Statements at www.otcmarkets.com. The Company anticipates that subsequent events and developments may cause views and expectations to change. The Company assumes no obligation, and specifically disclaims any intention or obligation, to update any forward-looking statements, whether as a result of new information, future events or otherwise.
