MONTREAL, Aug. 30, 2016 /PRNewswire/ -- BioAmber Inc. (NYSE: BIOA) announced today that its joint venture with Mitsui & Co. has achieved the final operational milestone set out in a CAD$20 million commercial loan that the joint venture drew down in 2015. BioAmber Sarnia demonstrated performance levels validating commercial operation, as defined in its loan agreement with Comerica Bank, Export Development Canada (EDC) and Farm Credit Canada (FCC).
The performance indicators for the Sarnia manufacturing facility included the overall efficiency of BioAmber's proprietary biotechnology in fermentation, the plant's throughput and output in continuous operation, and the quality of the final product. This milestone is further evidence that the Sarnia plant is operating well, as recently disclosed in BioAmber's Q2 2016 operating results.
BioAmber Sarnia has also demonstrated the performance targets that Sustainable Development Technology Canada (SDTC) had originally set for the project. These include targets related to greenhouse gas emissions and financial performance. SDTC has completed its third-party validation of Sarnia's performance and approved the final grant payment of CAD$1.45 million to BioAmber.
"Our lenders had set out rigorous performance criteria for the Sarnia facility and achieving these milestones is independent validation of how well our plant is operating," said Fabrice Orecchioni, BioAmber's Chief Operating Officer. "Our facility is the world's largest succinic acid plant and our variable costs are competitive with petro-succinic acid at current oil prices. With Sarnia up and running, BioAmber has established itself as a global leader in renewable chemicals," he added.
BioAmber (NYSE: BIOA) is a renewable materials company. Its innovative technology platform combines biotechnology and catalysis to convert renewable feedstock into building block materials that are used in a wide variety of everyday products including plastics, paints, textiles, food additives and personal care products. For more information visit www.bio-amber.com
This press release contains forward-looking statements, which are subject to substantial risks, uncertainties and assumptions. These statements often include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate," "seek," "will," "may" or similar expressions. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that the events and circumstances reflected in the forward-looking statements will be achieved or occur and the timing of events and circumstances and actual results could differ materially from those projected in the forward- looking statements. Accordingly, you should not place undue reliance on these forward-looking statements. All such statements speak only as of the date made, and the Company undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise. For additional disclosure regarding these and other risks faced by BioAmber, see disclosures contained in BioAmber's public filings with the SEC including, the "Risk Factors" section of BioAmber's most recent Annual Report on Form 10-K and the recent quarterly reports on Form 10-Q.
For further information:
BioAmber Investor Contact
Tel (514) 844 8000 ext 120
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SOURCE BioAmber Canada Inc.