Climate Change Data

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Outstanding convertible notes payable with its senior lender raises doubt about the Company’s ability to continue as a going concern.
• Projected failure to remain in compliance with certain covenants with our senior lender in the next twelve months.

Mitigation Strategies

• Negotiated a debt exchange agreement with Alterna to reduce dilution and simplify capital structure.
• Worked with investors to convert promissory notes into equity.
• Executed an amended and restated financing agreement with the senior lender, with closing subject to raising $10 Million in an equity offering.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• The Registrant requires additional time to complete the presentation of its financial statements, primarily due to the ongoing review of the accounting treatment for a transaction which occurred during 2019.

Mitigation Strategies

• The Registrant’s Annual Report on Form 10-K will be filed on or before the 15th calendar day following the prescribed due date.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Mercury emissions reduction

Environmental Achievements

• Achieved mercury emissions removal at a significantly lower cost and with less operational impact to coal-fired power plants than currently used methods, while maintaining and/or increasing power plant output and preserving the marketability of byproducts for beneficial use.

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Decreased generation in the coal-fired power sector due to renewables and low natural gas prices.
• Legal challenges to the MATS regulation.
• Highly competitive market.
• Dependence on third-party suppliers for materials.
• Dependence on key customers.
• Dependence on a small number of key employees.
• Lack of diversification.
• Inadequate insurance coverage.
• Potential for disputes with customers.
• Contracts that must be renegotiated periodically.
• Business interruptions (including COVID-19).
• Delays in enactment of foreign regulations.
• Maintaining and improving financial controls.
• Liquidity risk.
• Potential inability to continue as a going concern.

Mitigation Strategies

• Restructuring of debt obligations.
• Private placement offering of unsecured convertible promissory notes and warrants.
• Patent litigation.
• License and development agreement with a third party.
• Agreements with major utility defendants in patent litigation.
• Elimination of convertible notes through conversions to shares of common stock.
• Development of proprietary methane gas emissions control technology.
• Development of new technologies to improve the processing of rare earth elements.
• Securing supply contract extensions with two long-term customers.
• Continued pursuit of the European market.
• Implementation of additional control procedures to improve the overall control environment.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Regulatory changes, market shifts (due to renewable energy and low natural gas prices)

Opportunities

• Development of energy-efficient products (methane gas emissions control technology)

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Methane gas emissions control technology
• Technologies to improve the processing of rare earth elements

Awards & Recognition

• Not disclosed

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Limited availability of key Company personnel and professional advisors due to social quarantining and work from home orders related to COVID-19.

Mitigation Strategies

• Seeking an extension to file the Quarterly Report within the extension period provided under Rule 12b-25 of the Securities Exchange Act of 1934.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Legal challenges to the MATS regulation
• Rising material costs
• COVID-19 pandemic impacts (supply chain, workforce, business relationships)

Mitigation Strategies

• Restructuring of debt obligations to extend maturity dates and eliminate quarterly principal payments
• Focus on execution at customer sites and operational improvements
• Seeking new utility customers and license agreements
• Actions to mitigate adverse consequences of the COVID-19 pandemic

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• mercury emissions removal

Environmental Achievements

• Achieved mercury emissions removal at a significantly lower cost and with less operational impact to coal-fired power plants than other used methods, while maintaining and/or increasing power plant output and preserving the marketability of byproducts for beneficial use.

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Decreased supply demands from customer base in 2023 compared to the prior year along with the closure of one of our customer’s power plants which occurred at the end of 2022.
• Highly competitive market.
• Dependence on third-party suppliers for materials.
• Dependence on key customers.
• Dependence on a small number of key employees.
• Lack of diversification.
• Low gas prices negatively impacting results of operations.
• Inadequate insurance coverage.
• Potential for disputes with customers.
• Reliance on contracts or blanket purchase orders that must be renegotiated periodically.
• Business interruptions.
• Cybersecurity threats.
• Maintaining and improving financial controls.
• Liquidity risk.
• Changes in mercury and other emission regulations.
• Uncertainty and lack of international environmental regulations.

Mitigation Strategies

• Continual operation improvement and refinements to key products.
• Seeking new utility customers and license agreements.
• Patent litigation and enforcement.
• Developing new technologies (REEs extraction, wastewater and coal ash remediation, drinking water treatment).
• Improving documented internal control policies and staff training.
• Retaining a certified public accountant and a financial consulting firm to assist with bookkeeping and accounting services.
• Appointing a new Chief Financial Officer.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Changes, or lack of changes, in environmental regulations; risks related to advancements in technologies; changes in demand for coal as a fuel source for electricity production

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Require additional time to complete the presentation of our financial statements and to insure adequate disclosure of certain information required to be included in the Quarterly Report, primarily due to the Annual Report on Form 10-K for the year ended December 31, 2022 having only recently been filed.

Mitigation Strategies

• We expect to file the Quarterly Report within the extension period provided under Rule 12b-25 of the Securities Exchange Act of 1934, as amended.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• The amount of time otherwise being devoted to prepare for the Company’s patent litigation trial which was scheduled to begin November 13, 2023.

Mitigation Strategies

• We expect to file the Quarterly Report within the extension period provided under Rule 12b-25 of the Securities Exchange Act of 1934, as amended.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Requires additional time to complete the presentation of our financial statements and to ensure adequate disclosure of certain information required to be included in the Quarterly Report.

Mitigation Strategies

• We expect to file the Quarterly Report within the extension period provided under Rule 12b-25 of the Securities Exchange Act of 1934, as amended.

Supply Chain Management

Climate-Related Risks & Opportunities