Northstar Clean Technologies (ROOF) investor relations material

Business model and technology

• Converts asphalt shingles into aggregate, limestone/fiberglass, and asphalt, creating a circular economy solution validated by industry partners.

• Holds patents in Canada, the U.S., and internationally, protecting its waste-to-value process.

• Revenue streams are split between tipping fees (35%) and product sales (65%), with asphalt accounting for 95% of product revenue.

• Tipping fees and asphalt prices are supported by industry trends, including landfill scarcity and rising crude prices.

• Asphalt supply is tightening as refineries shift to biofuels, supporting long-term pricing.

Facility operations and economics

• Calgary commercial facility is operational, with de-bottlenecking and material handling improvements completed.

• A 40,000-ton facility generates about CAD 10 million in revenue and CAD 5 million EBITDA; doubling throughput to 80,000 tons doubles both metrics without additional CapEx.

• Calgary has secured a five-year feedstock supply and offtake agreements, including with McAsphalt for all produced asphalt.

• TAMKO, a major U.S. shingle manufacturer, validated the circularity of the asphalt and holds a 20% equity stake.

• Provincial funding and milestone-based grants have supported facility development, with all operational milestones achieved.

Growth strategy and expansion plans

• Expansion targets cities with populations over 2 million, with a clear framework based on facility size, asphalt pricing, and tipping fees.

• Next facilities identified in Hamilton (Canada) and Baltimore (U.S.), with a TAMKO MOU for offtake from the first four U.S. plants.

• Over 30 North American locations identified for potential 24/7 operations, aiming to build three facilities per year.

• Pathway to a CAD 1 billion valuation involves building 10 facilities, each with an estimated EBITDA of CAD 10 million and a 10x multiple.

• Calgary's success is positioned as the launchpad for broader North American expansion.