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Rolling Out the New Strategy: Clearford India Update Q2 2021

By Sanjay Deshpande, Executive Director & Head of Operations, Clearford India

The second wave of COVID-19 in India resulted in another country-wide lockdown for the majority of Q2. Clearford India’s management was put to another test when reverting back into adhering to the COVID-19 emergency measures as the rapid spread of the Delta variant of the virus caused work stoppages and adjustment to the situation at hand. During this time, there was a strong focus on continuing to roll out the new strategy to deliver the Clearford One system to the industrial market. This system offers long term Industrial Unit Water Security by sourcing water for the units from within the site’s campuses or nearby communities. We also continued developing CSR funded Total Sanitation Rural Development Projects for our existing and new clients.

Projects Nearing Start of Execution

Alwa Village Phase 3B, Gujarat – The Clearford team spent this quarter working with our Client, to identify options for the next phase. A series of virtual meetings led to the decision of opening up a new phase, Phase 3B, which will involve the installation of Clearford SmartDigesters for all the remaining homes in the Alwa Village that have not been serviced yet. A quick survey revealed that 115 homes remained and approximately 90 biodigesters would have to be built. A proposal to that effect was submitted to the Client for review and approval while Clearford awaits a purchase order to commence work.

Swaach Poondi Project Phase 3, Tamil Nadu – Getting settled back into virtual meetings, the Clearford India team met with its NGO partner Voice Foundation and the Client, Cholamandalam Investments & Finance Ltd., to discuss next steps. Subsequently, it was decided that the next phase would be executed at Bangarampettai ST Colony Village which has a population of approximately 235 people living in 47 homes. A survey of the village revealed that 14 homes do not have toilet units, which will be built as a part of this project. Clearford is aiming to begin the execution of this approved project in Quarter 3 of this year.

Swaach Poondi Project, Tamil Nadu – Clearford India is in discussions with our new client, HDFC Bank, one of the largest private banks in India. With this partnership, the Client will fund a pilot project to understand firsthand the objectives, mission, and process in providing sustainable total sanitation in India. After strategy sessions with our NGO partner, Voice Foundation, it was determined that this pilot project will be performed at Venkatapuram Colony Village. This village has 30 homes with a population of approximately 170. A survey revealed that all but one home has a toilet unit – this home will be the focus of the pilot project. A proposal to that effect was submitted and approved by the Client through the Voice Foundation. The pilot project will commence in Q3 of 2021.

Project Pipeline

In addition to the rural projects developed throughout this quarter, Clearford India is actively pursuing a few other opportunities come quarter three. All these projects derive form the new strategy developed in Q1 that involves using the Clearford One technology in sewer residential townships within large industrial units or communities nearby. From there, the treated reuse water is used for the manufacturing process or landscaping requirements of the industrial unit itself. This approach can store a significant amount of water for the industrial unit to access, leading to long term water security in an era of rainfall variability. As part of this process, site visits for gathering data and draft design work are underway in the states of Rajasthan, Maharashtra, Odisha, Kerala and Jharkhand with proposals submitted to four clients and another in design stage.

Clearford India continues to prove its commitment to providing sustainable and effective solutions, even under the most restrictive COVID-19 regulations. Heading into Q3, we remain strong in maintaining project requirements and communicating with our clients, whether in person or virtually.

About Clearford Water Systems Inc.
Clearford Water Systems Inc. is a provider of unified water management solutions for the design, build, finance, operation and maintenance of water and wastewater infrastructure systems. The Company’s technology-based water solutions include Clearford One® wastewater infrastructure systems, Clearford M-brane™ packaged treatment solutions, and a full range of UV Pure® water disinfection products. Clearford is the winner of the Frost & Sullivan 2017 Enabling Technology Leadership Award for Global Decentralized Water & Wastewater Treatment. For more information on Clearford Water Systems, please visit www.clearford.com.

Forward Looking Statements
This news release contains certain statements that constitute forward-looking statements as they relate to the Company and its management. Forward-looking statements are not historical facts but represent management’s current expectation of future events, and can be identified by words such as “believe”, “expects”, “will”, “intends”, “plans”, “projects”, “anticipates”, “estimates”, “continues” and similar expressions. Although management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that they will prove to be correct.

By their nature, forward-looking statements include assumptions and are subject to inherent risks and uncertainties that could cause actual future results, conditions, actions or events to differ materially from those in the forward-looking statements. If and when forward-looking statements are set out in this news release, Clearford will also set out the material risk factors or assumptions used to develop the forward-looking statements. Except as expressly required by applicable securities law, the Company assumes no obligation to update or revise any forward looking statements. The future outcomes that relate to forward-looking statements may be influenced by many factors, including, but not limited to: industry cyclicality; the ability to secure third party agreements; successful integration of Clearford’s system with third party technology; competition; reduction in demand for products; collection from customers; relationships with suppliers; product liability; intellectual property; reliance on key personnel; environmental; interest rates; uninsured and underinsured losses; operating hazards; risks of future legal proceedings; income tax matters; credit facilities; availability and terms of financing; distribution of securities; restrictions on potential growth; effect of market interest rates on price of securities; and potential dilution.

For more information contact:
Kevin Loiselle, President & CEO
Clearford Water Systems Inc.
Phone: 613 599 6474 ext. 303
www.clearford.com

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