TORONTO, Oct. 01, 2026 (GLOBE NEWSWIRE) — Carbon Streaming Corporation (Cboe CA: NETZ) (OTCID: OFSTF) (FSE: M2Q) (“Carbon Streaming” or the “Company”) has entered into an agreement with Community Carbon and UpEnergy Group (collectively, the “UPE Parties”) pursuant to which the Company will receive total consideration of US$6.0 million in connection with the termination of the Community Carbon Stream and transfer of the Company’s remaining portfolio of carbon credits, with a portion of the consideration funded through the sale of certain CORSIA-tagged Tanzanian cookstove carbon credits to a third-party purchaser.
The US$6.0 million total consideration is composed of the following: (i) US$2.35 million of proceeds from the Company’s sale of certain CORSIA-tagged Tanzanian cookstove carbon credits to a third-party purchaser; (ii) US$1.47 million of proceeds from the UPE Parties’ sale of certain CORSIA-tagged Tanzanian cookstove carbon credits to a third-party purchaser, with such proceeds to be deposited by the UPE Parties into escrow and paid to the Company; (iii) US$2.18 million deposited by the UPE Parties into escrow and to be paid to the Company.
Release of the escrowed funds to the Company remains subject to the conditions set out in the agreement, including confirmation by the escrow agent that it holds the full escrow amount. To date, the Company has received US$2.35 million from the Company’s sale of certain CORSIA-tagged Tanzanian cookstove carbon credits, with the remaining US$3.65 million to be paid from the escrow account. The transaction is expected to fully close and the Company expects to have received the full US$6.0 million within ten (10) business days subject to satisfaction of the closing conditions described above.
Subject to and following release of the escrowed funds to the Company, the Company will transfer its remaining inventory of carbon credits under the Community Carbon Stream and the stream will be terminated, and the parties will grant mutual releases of all future obligations between them.
Marin Katusa, CEO, stated, “The previously announced transaction with UPE failed due to a financing by UPE not closing. The Company continued to work with the management from UPE and together we created a more complicated, but ultimately better transaction for the Company for two reasons. The first being the Company receives the full US$6 million upfront rather than over 12 months in the previously announced transaction. The second being elimination of all financing and credit pricing risk for the Company. The current carbon credit market continues to be challenging. For example, CORSIA-tagged credits have been liquid and selling for above US$8 per credit, while non-CORSIA-tagged credits in the portfolio have seen limited to no buyer interest over the last 12 months. This Agreement monetizes the current value of the Community Carbon Stream and the inventory of carbon credits by selling for a total consideration of US$6.0 million and receiving the entire amount upfront.
The Company will continue to focus our resources on maximizing value for shareholders in our existing portfolio and fully pursue the recovering of assets through ongoing litigation.
In line with this commitment to shareholders, we have filed a statement of claim against certain former executives, board members, consultants, and associated entities to hold the defendants accountable for actions that have caused financial harm to the Company, as outlined in the lawsuit. While certain defendants have filed counterclaims, we believe these to be without merit and have filed a defence to these counterclaims to vigorously defend our position.
The Company will continue to evaluate acquisitions, divestments, corporate transactions, financings, and other strategic partnership opportunities that will result in maximizing shareholder value.”
About Carbon Streaming
Carbon Streaming’s focus is to maximize value for its shareholders by optimizing its current portfolio of projects.
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 maximizing its existing portfolio and cash resources; statements regarding the evaluation of strategic options; statements with respect to maximizing value for its shareholders; statements regarding the Company holding certain former executives, directors, consultants, and associated entities to account and the merits of the counterclaims from certain of the defendants and the Company’s defences; statements with respect to the timing of closing of the transaction and statements with respect to receipt of the remaining US$3.65 million; transfer of the Company’s remaining portfolio of carbon credits, granting of the mutual releases and the termination of the Community Carbon Stream.
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: the closing may not occur at all or may not occur within the timeframe anticipated; the UPE Parties may fail to deposit the full escrow amount; 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; reputational risk; concentration risk; inaccurate estimates of project value, which may impact the ability of the Company to execute on its growth and diversification strategy; limited operating history for the Company’s current strategy; dependence upon key management; impact of the corporate restructurings and the strategic initiatives advanced by the Company; impact of any strategic opportunities; the inability of the Company to optimize cash flows or sufficiently reduce operating expenses; 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 30, 2026 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.
