TSX symbol: BX
TORONTO, April 3, 2014 /CNW/ - BIOX Corporation (BIOX) (TSX: BX) today commented on the implementation of the Greener Diesel mandate announced by the Government of Ontario. The Greener Diesel, Renewable Fuel Content Requirement for Petroleum Diesel Fuel, regulation came into effect April 1, 2014.
"The Greener Diesel regulation provides stable and certain demand for biodiesel right here in our local market. It clearly demonstrates the value the Government of Ontario places on maximizing the environmental benefits of renewable fuels while ensuring fuel quality and compliance flexibility," said Kevin Norton, Chief Executive Officer of BIOX. "The implementation of the regulation validates the investment we made in locating our 67 million litre nameplate facility in Hamilton. The supply agreement and the inter-terminal pipeline that we completed last year with Shell Canada Limited provide us with the most efficient logistics possible to supply renewable content to one of the largest fuel suppliers in Ontario."
The Regulation was filed on the Government e-Laws website earlier this week and is expected to be published in the Gazette later this month. It requires every fuel supplier to ensure that petroleum diesel and blended diesel that is placed in the Ontario market contain bio-based diesel on an average adjusted volume basis in accordance with a compliance formula.
Once fully implemented, the Regulation requires the use of approximately 240 million litres of bio-based diesel per annum on an average adjusted volume basis. The volume escalates over the implementation period of the Regulation. It starts at a level of two percent for the period from April 1, 2014, to December 31, 2015, and increases to three percent for January 1, 2016, to December 31, 2016, and then four percent from January 1, 2017, onward.
About BIOX Corporation
BIOX is a renewable energy company that owns and operates a 67 million litre per year continuous flow biodiesel production facility in Hamilton, Ontario. BIOX has an innovative, proprietary and patented production process that is capable of producing the highest quality, renewable, clean burning and biodegradable biodiesel fuel utilizing a variety of feedstocks - from pure seed oils to animal fats to recovered vegetable oils with no change to the production process. BIOX's high quality biodiesel fuel meets North American (ASTM D-6751 and CAN/CGSB – 3.524) quality standards.
Certain statements in this press release constitute "forward-looking" statements that involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance, objectives or achievements of BIOX, or industry results, to be materially different from any future results, performance, objectives or achievements expressed or implied by such forward-looking statements. Such statements relate to, among other things, BIOX's long-term expectations for the biodiesel market in light of current market conditions, the implementation of an Ontario biodiesel mandate and its effect on BIOX, the significance of sales under the supply agreement with Shell, and the ability of BIOX to realize on its cost savings programs. These statements reflect BIOX's current views regarding future events and operating performance, are based on information currently available to BIOX, and speak only as of the date of this press release. These forward-looking statements involve a number of risks, uncertainties and assumptions and should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such performance or results will be achieved. Those assumptions and risks include, but are not limited to, the fact that BIOX's results of operations and business outlook are highly dependent on a mix of legislation and producer payment programs and tax credits and upon commodity prices, which are subject to significant volatility and uncertainty. Many factors could cause the actual results, performance or achievements of BIOX to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including factors described in this press release and those discussed in BIOX's publicly available disclosure documents, as filed by BIOX on SEDAR (www.sedar.com) except as updated herein. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described in this press release as intended, planned, anticipated, believed, estimated or expected. Unless required by applicable securities law, BIOX does not intend and does not assume any obligation to update these forward-looking statements.To the extent any forward-looking statements herein constitute financial outlook, they were approved by management as of the date hereof and have been included to provide an understanding with respect to BIOX's financial performance and are subject to the same risks and assumptions referred to herein. There can be no assurance that the plans, intentions or expectations upon which these forward-looking statements are based will occur and readers are cautioned that any financial outlook information contained in this news release should not be used for purposes other than for which it is disclosed herein.
SOURCE: BIOX Corporation
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