Charbone Hydrogen Corporation (TSX-V:CH, OTCQB:CHHYF) continued to advance its green hydrogen initiatives during the first quarter of 2025.
The company on Friday confirmed that all required permits have been secured for the construction of its flagship Sorel-Tracy facility.
Hydro-Québec, the provincial energy utility, is on track with interconnection work, keeping the project aligned with its 2025 production timeline.
Charbone also reported a 7% year-over-year reduction in negative cash flows from operating activities during Q1, at about $620,000 compared to about $664,000 in the year-ago period, as the company continued to tighten its general and administrative expenses.
Other operational highlights included the signing of a term sheet for a construction capital facility of up to US$50 million and entering into an offtake agreement with a US-based Tier One industrial gases producer.
“Management is motivated to continue its efforts to advance and complete the announced project(s) with a lean administrative structure,” Charbone's chief financial officer Benoit Veilleux said in a statement.
“With the construction capital facility term sheet in place and subject to completing project development activities, Charbone now has a partner to deploy and deliver its current project(s) and a growth potential in the short term.”
Revenue for the quarter was about $5,000, down from just over $81,000 in the same period last year. This was attributed to a temporary reduction in services at the Wolf River facility, following equipment failure. Repairs are underway, and the upgrades are expected to increase capacity.
Its net loss for the quarter was $1.19 million.