CHESTNUT RIDGE, N.Y., March 5, 2019 /PRNewswire/ -- BioHiTech Global, Inc. ("BioHiTech" or the "Company") (NASDAQ: BHTG), a technology and services company that provides cost-effective and sustainable waste management solutions, today announced it has initiated operations at the nation's first HEBioT™ renewable resource recovery facility located in Martinsburg, West Virginia (the "Martinsburg Facility" or the "Facility").
The Company has successfully completed the first phase of plant commissioning including the facility's reception area, overhead bridge cranes, and its primary mechanical sorting equipment. The Company has begun the next phase of plant commissioning and progressing operations, which includes receiving limited amounts of waste and beginning runs of its patented high efficiency mechanical and biological treatment process ("HEBioT Process") for producing an EPA recognized solid recovered fuel ("SRF"). The limited processing runs are expected to result in the production of SRF in the coming weeks with the facility reaching full operations early in Q2 2019.
The Martinsburg Facility is expected to generate $7 million of high margin revenue annually while diverting as much as 80% of the waste that enters the facility from landfills. The majority of the waste, to be delivered as feedstock to the facility, is covered under a ten year put-or-pay agreement with a local waste hauler owned by Gold Medal Group, a regional waste management services company backed by Kinderhook Industries, and 100% of the SRF that will be produced is subject to a ten year, take-or-pay agreement with Argos USA, LLC., one the largest producers of Portland cement in the United States. The SRF manufactured at the facility will be utilized by Argos as a partial replacement for coal used in the cement manufacturing process. The 56,000 square foot Facility is completely enclosed and fully automated with no waste being exposed to the outside environment and no workers in direct contact to the waste processing.
Commenting on the announcement, Frank E. Celli, Chief Executive Officer of BioHiTech Global stated, "The initiation of revenue generating operations at this first facility of its kind in the United States is a pivotal moment for our Company and an important step forward in the movement to lessen the environmental impact of waste management. This flagship facility will add significant high margin revenue and will serve as a model for how BioHiTech can cost-effectively create positive environmental change throughout the United States. By bringing this facility across the finish line we are now at the starting line for sustainable long term revenue growth with a roadmap to build significant value for our stockholders."
BioHiTech is the largest owner of the Martinsburg Facility through a majority owned subsidiary company with a 78% controlling interest in its operations (the "Subsidiary"). Gold Medal Group owns the remaining minority stake in the Subsidiary.
Mike Schmidt, Executive Vice President of Gold Medal Group, also commented "We are excited to be a part of this important project which marks the beginning of positive change in the way we can manage waste in this country. The Martinsburg Facility will allow Gold Medal to divert over 60,000 tons of the municipal solid waste we collect in the area from landfills annually at no additional cost to those residential and businesses customers we service. This landfill diversion, as well as the creation of a renewable fuel that can be used locally, helps to solve two environmental problems while serving as a model that BioHiTech and Gold Medal can replicate throughout our current business footprint. We look forward to working together with BioHiTech to roll out this technology in the US and reduce the burden that waste generation has on our environment."
About the HEBioT Technology
HEBioT solid waste processing technology has been successfully deployed at seven facilities located throughout Europe which currently process in excess of 1 million tones of solid waste per year of waste. The HEBioT process recovers almost 80% of municipal solid waste by integrating OEM sorting equipment with patented MBT (Mechanical/Biological Treatment) technologies into a dedicated fully enclosed processing facility. The disposal of waste using this system is cost effective and results in a number of environmental benefits including:
For a more detailed description of the HEBioT solid waste processing technology please view the following video https://www.youtube.com/watch?v=CHhfSrdkOmM.
About Kinderhook Industries
Kinderhook Industries, LLC is a private investment firm that manages over $2.0 billion of committed capital. We have made in excess of 200 investments and follow-on acquisitions since inception. Kinderhook's investment philosophy is predicated on matching unique, growth-oriented investment opportunities with exceptional financial expertise and our proprietary network of operating partners. Our focus is on middle market businesses with defensible niche market positioning in the healthcare services, environmental / business services, and automotive / light manufacturing sectors. We have a track record of successfully and consistently building industry leaders. For more information, please visit: www.kinderhook.com.
About Gold Medal Group
Gold Medal, headquartered in Sewell, New Jersey, is a waste and recycling services company operating in Pennsylvania, New Jersey, Maryland, and West Virginia. Gold Medal offers a complete range of integrated services to thousands of customers in the region. The company serves residential, institutional, commercial and industrial locations. Gold Medal offers superior collection, recycling, disposal and dumpster rental services 24 hours a day and seven days a week. For more information, please visit: www.goldmedal.net.
About BioHiTech Global
BioHiTech Global, Inc. (NASDAQ: BHTG), is changing the way we think about managing waste. Our cost-effective technology solutions include the patented processing of municipal solid waste into a valuable renewable fuel, biological disposal of food waste on-site, and proprietary real-time data analytics tools to reduce food waste generation. Our unique solutions enable businesses and municipalities of all sizes to lower disposal costs while having a positive impact on the environment. When used individually or in combination, our solutions lower the carbon footprint associated with waste transportation and can reduce or virtually eliminate landfill usage. For more information, please visit www.biohitech.com.
Forward Looking Statements
Statements in this document contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended. These statements are based on many assumptions and estimates and are not guarantees of future performance. These statements may involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of BioHiTech Global, Inc. to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. BioHiTech Global, Inc. assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. Our actual results may differ materially from the results anticipated in these forward-looking statements due to a variety of factors, including, without limitation those set forth as "Risk Factors" in our filings with the Securities and Exchange Commission ("SEC"). There may be other factors not mentioned above or included in the BioHiTech's SEC filings that may cause actual results to differ materially from those projected in any forward-looking statement. BioHiTech Global, Inc. assumes no obligation to update any forward-looking statements as a result of new information, future events or developments, except as required by securities laws.
SOURCE BioHiTech Global, Inc.