TORONTO, Dec. 15, 2025 (GLOBE NEWSWIRE) -- Carbon Streaming Corporation (Cboe CA: NETZ) (OTCQB: OFSTF) (FSE: M2Q) (“Carbon Streaming” or the “Company”) today announce amendments to the terms of the carbon credit streaming agreement (the "Azuero Reforestation Stream”) with Azuero Reforestación Colectiva, S.A. (“ARC”), a wholly owned subsidiary of leading project developer Ponterra Ltd. (“Ponterra”), Microsoft Corporation (“Microsoft”) and Rubicon Carbon Capital LLC (“Rubicon”) for the ARC Restauro Azura project (the “Azuero Reforestation Project” or the “Project”) located in Panama.
Project amendments include the revision and refinement of the plan by the project.
Pursuant to the Amendment, Rubicon and Microsoft maintain ongoing funding obligations and Carbon Streaming has no ongoing funding obligations but maintains an option to participate in future funding moving forward. To date, the Company has paid an upfront deposit of US$1.2 million. The option, exercisable by Carbon Streaming on or before June 30, 2026 (the “First Election Period”) or on or before June 30, 2027 (the “Second Election Period”), would require Carbon Streaming to fund an additional US$4.6 million and US$3.8 million, respectively. Initial carbon credit issuance from the Project is expected in 2029 and is expected to continue through to 2052
If the Company does not exercise its option, the Project is expected to restore a minimum of 7,500 hectares (previously 10,000 hectares) of degraded tropical forest on the Azuero Peninsula in Panama that has been converted to low-density cattle ranchland over the last century and is expected to remove 2.32 million tonnes (previously 3.24 million tonnes) of carbon dioxide equivalent (“tCO2e”) and generate an equivalent number of carbon credits under Verra’s Afforestation, Reforestation & Revegetation (ARR) methodology (VM0047). The Company would expect to receive approximately 54,000 carbon credits (approximately 2.3% of the total credits) through 2052 (previously approximately 438,000 carbon credits (approximately 13.5% of total credits).
If the Company exercises its option at the First Election Period, the Project is expected to restore a minimum of 9,539 hectares and is expected to remove 2.94 million tonnes of tCO2e and generate an equivalent number of carbon credits, with the Company expected to receive 357,000 carbon credits (12.1% of the total credits) through 2052.
If the Company exercises its option at the Second Election Period the Project is expected to restore a minimum of 9,050 hectares and is expected to remove 2.79 million tonnes of tCO2e and generate an equivalent number of carbon credits with the Company expected to receive approximately 295,000 carbon credits (10.6% of the total credits) through 2052.
The offtake between Microsoft and the Company to purchase 100% of carbon credits that Carbon Streaming receives from the Project through 2040 will remain in place.
Marin Katusa, CEO stated, “Carbon Streaming would like to thank all parties involved in moving the Azuero Project forward towards success. We believe in the Project and the developer team and look forward to the milestone successes of the Project being achieved. Carbon Streaming currently has C$53.7 million in cash, no debt and 48.5 million shares outstanding.”
About Carbon Streaming
Carbon Streaming’s focus is on projects that generate high-quality carbon credits and have a positive impact on the environment, local communities, and biodiversity, in addition to their carbon reduction or removal potential.
ON BEHALF OF THE COMPANY:
Marin Katusa, Chief Executive Officer
Tel: 365.607.6095
info@carbonstreaming.com
www.carbonstreaming.com
Investor Relations
investors@carbonstreaming.com
Media
media@carbonstreaming.com
Cautionary Statement Regarding Forward-Looking Information
This news release contains certain forward-looking statements and forward-looking information (collectively, “forward-looking information”) within the meaning of applicable securities laws. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future, are forward-looking information, including, without limitation, statements regarding the timing and the amount of future carbon credit generation and tCO2e removals from the Project; registration, timing and the amount of future carbon credit issuances from the Project; expected use of proceeds from stream agreements; the impacts of the Project on the surrounding ecosystem and other expected co-benefits; the timing and the expected cash flow to Carbon Streaming from carbon credit sales (including the offtake); timing to meet additional payment milestones; expectations regarding the number of landholders; expectations on the Company’s investment model to be used in the future; and statements with respect to execution of the Company’s portfolio.
When used in this news release, words such as “estimates”, “expects”, “plans”, “anticipates”, “will”, “believes”, “intends” “should”, “could”, “may” and other similar terminology are intended to identify such forward-looking information. This forward-looking information is based on the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, the Company. They should not be read as a guarantee of future performance or results, and will not necessarily be an accurate indication of whether or not such results will be achieved. Factors that could cause actual results or events to differ materially from current expectations include, among other things: general economic, market and business conditions and global financial conditions, including fluctuations in interest rates, foreign exchange rates and stock market volatility; volatility in prices of carbon credits and demand for carbon credits; change in social or political views towards climate change, carbon credits and environmental, social and governance initiatives and subsequent changes in corporate or government policies or regulations and associated changes in demand for carbon credits; the Company’s expectations and plans with respect to current litigation, arbitration and regulatory proceedings; limited operating history for the Company’s current strategy; concentration risk; inaccurate estimates of project value, which may impact the ability of the Company to execute on its growth and diversification strategy; dependence upon key management; impact of corporate restructurings; the inability of the Company to optimize cash flows or sufficiently reduce operating expenses; reputational risk; risks arising from competition and future acquisition activities failure or timing delays for projects to be registered, validated and ultimately developed and for emission reductions or removals to be verified and carbon credits issued (and other risks associated with carbon credits standards and registries); foreign operations and political risks including actions by governmental authorities, including changes in or to government regulation, taxation and carbon pricing initiatives; uncertainties and ongoing market developments surrounding the validation and verification requirements of the voluntary and/or compliance markets; due diligence risks, including failure of third parties’ reviews, reports and projections to be accurate; dependence on project partners, operators and owners, including failure by such counterparties to make payments or perform their operational or other obligations to the Company in compliance with the terms of contractual arrangements between the Company and such counterparties; failure of projects to generate carbon credits, or natural disasters such as flood or fire which could have a material adverse effect on the ability of any project to generate carbon credits; volatility in the market price of the Company’s common shares or warrants; the effect that the issuance of additional securities by the Company could have on the market price of the Company’s common shares or warrants; global health crises, such as pandemics and epidemics; and the other risks disclosed under the heading “Risk Factors” and elsewhere in the Company’s Annual Information Form dated as of March 31, 2025 filed on SEDAR+ at www.sedarplus.ca.
Any forward-looking information speaks only as of the date of this news release. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein. Except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise.
