Cielo Announces Strategic Partnership Framework Agreement with Tano T'enneh Enterprises for Proposed Sustainable Aviation Fuel Facility in British Columbia

Executive Summary

• Cielo Waste Solutions entered a non‑binding Strategic Partnership Framework Agreement (SPFA) with Tano T’enneh Enterprises (TTE) to advance the sustainable aviation fuel “Project Nexus” in British Columbia.
• The proposed structure envisions a limited partnership (Project LP) with up to 51% Indigenous ownership by TTE and the remainder held by Cielo and any third‑party investors; governance will be set out in future definitive agreements.
• Both parties outlined financing pathways—including BC LCFS incentives, Indigenous loan guarantees, Canada Infrastructure Bank funding, Clean Fuels Fund support, and investment tax credits—and identified next steps toward feasibility studies, FEED work, land tenure negotiations, and a Final Investment Decision (FID).

Key Details

• Agreement Date: March 14 2026 (non‑binding SPFA).
• Parties: Cielo Waste Solutions Corp. (TSXV: CMC; OTCQB: CWSFF) and Tano T’enneh Enterprises, wholly owned by the Lheidli T’enneh Nation.
• Project Scope: Development of “Project Nexus,” a sustainable aviation fuel facility using waste‑derived feedstocks on land to be acquired from TTE within Lheidri T’enneh territory, BC.
• Proposed Ownership Structure:
• Project LP – up to 51% of limited partnership units (LP Units) held by TTE (majority Indigenous ownership).
• Remaining LP Units held by Cielo and any third‑party limited partners introduced by Cielo.
• General partner to be formed with representation from both Cielo and TTE.
• Financing Framework (proposed):
• Potential use of British Columbia Low Carbon Fuel Standard (BC LCFS) incentives.
• Indigenous loan guarantee programs.
• Canada Infrastructure Bank financing.
• Clean Fuels Fund funding.
• Investment tax credits.
• Cielo’s equity contribution may be partially recoverable via future LCFS credit allocations under a BC LCFS Initiative Agreement (if executed).
• Roles & Responsibilities:
• Cielo: Lead technical/commercial workstreams – feasibility, pre‑FEED/FEED engineering, permitting, technology integration, EPC oversight, BC LCFS submissions, operational readiness.
• TTE: Provide land access, government/community relations, Indigenous financing pathways, workforce development, environmental stewardship.
• Next Steps:
• Negotiate and execute definitive agreements covering land tenure, Project LP formation, and governance.
• Advance feasibility studies toward a Final Investment Decision (FID).
• Pursue identified financing sources pending lender requirements and program eligibility.
• Forward‑Looking Statements: The release contains numerous forward‑looking statements regarding the SPFA, project structure, financing, land acquisition, partnership benefits, and timeline to FID; actual results may differ materially.

Notable Quotes

• “We are pleased to be working with TTE toward a sustainable aviation fuel facility in British Columbia. Majority Indigenous ownership is a foundational principle of this partnership…” – Ryan C. Jackson, CEO, Cielo Waste Solutions.
• “From our very first conversation with Cielo, it was clear this was a different kind of partnership… This project has the potential to create real jobs, real revenue, and a lasting legacy for Lheidli T’enneh.” – Evan Salter, CEO, Tano T’enneh Enterprises.