Orbite Provides Corporate Update

LAVAL, Quebec, May 09, 2019 (GLOBE NEWSWIRE) -- Orbite Technologies Inc. (NEX: ORT.H) (“Orbite” or the “Company”) today provided an update on its progress in implementing the solutions to resolve the issues encountered with the calcination equipment at its HPA Plant, as part of its plan to emerge from CCAA protection.

Definitions of the capitalized terms used herein can be found at the end of this press release.

Update on Calcination Equipment and Modifications

The requisite changes to the calcination equipment and the impacted upstream sections of the HPA Plant are materially complete and entailed the following:

• The design, fabrication, and installation of a new ACH feed system required for the proper injection of ACH crystals into the decomposer oven.
  
  
• The design, fabrication and installation of the new feed hopper system, which will allow the tightly controlled injection of ACH through multiple feed ports (vs 1 originally).
  
  
• The modification of the pneumatic transport system for the conveyance of the ACH to the new multiport feed hopper system. 
  
  
• The fabrication and installation of new steam injection ports in the decomposer to assist ACH injection into the decomposer.
  
  
• Modifications to both the seal pots including their tear down, the modification of the internal refractory diameters, the addition of new steam injection ports, and their reinstallation, to allow more efficient and predictable product extraction from both ovens.
  
  
• The replacement of all 32 ceramic heating tubes in the calciner.
  
  
• The design, fabrication and installation in the decomposer and calciner of 138 new heating element sealing systems, required for ceramic tube and heating element support, insulation and cooling.
  
  
• The tear out and replacement of certain refractories in the decomposer and the seal pots as a result of the modifications above. 
  
  
• Modifications and additions to the high temperature steam piping and distribution system as a result of the additional injection points listed above.

All of the changes described above required the supply of custom designed and fabricated parts that meet the specifications of the patented – HCl based Orbite process.

Update on HPA Plant Startup

• The Company started up the digestion circuit of the hydrometallurgical section of the HPA Plant in late February 2019.  The crystallization section has since been started up and ACH crystals produced.
  
  
• Oven heat up commenced on April 19 and is following a slow ramp up schedule, as required for new refractory curing.
  
  
• The Harper rotary kiln is being used to produce amorphous (pre-decomposed) HPA for use as the startup bed in the both the decomposer and calciner.
  
  
• Testing of the pyrometallurgical section, including the new feed system and product transfer between the decomposer, calciner and cooler is expected to commence in mid-May with first ACH injections into the decomposer forecast for the beginning of June.
  
  
• This will then be followed by the production of a limited quantity of HPA over 3 to 4 weeks to demonstrate the HPA Plant’s capacity.  Production activities will then be put on hold while Orbite completes the required steps to emerge from CCAA protection.

Update on Financial Situation

• The Company recently collected mining taxes receivable and estimates that these additional funds will extend the Company’s cashflow into late August of 2019.

The Company will provide further updates as developments occur.

There can be no guarantees that Company will otherwise be successful in its restructuring efforts and will emerge from CCAA protection.

Definitions

CCAA: Companies’ Creditors Arrangement Act.

HPA Plant: the Company’s high purity alumina (HPA) plant, in Cap-Chat, Québec.

ACH: aluminum chloride hexahydrate, the precursor to high purity alumina.

HCl: Chlorhydric acid.

About Orbite

Orbite Technologies Inc. is a Canadian cleantech company whose innovative and proprietary processes are expected to produce alumina and other high-value products, such as rare earth and rare metal oxides, at one of the lowest costs in the industry, and in a sustainable fashion, using feedstocks that include aluminous clay, kaolin, nepheline, bauxite, red mud, fly ash as well as serpentine residues from chrysotile processing sites. Orbite is currently in the process of finalizing its first commercial high-purity alumina (HPA) production plant in Cap-Chat, Québec and has completed the basic engineering for a proposed smelter-grade alumina (SGA) production plant, which would use clay mined from its Grande-Vallée deposit. The Company's portfolio contains 15 intellectual property families, including 41 patents and 17 pending patent applications in 11 different countries and regions. The Company also operates a state of the art technology development center in Laval, Québec, where its technologies are developed and validated.

Forward-looking statements
Certain information contained in this document may include "forward-looking information". Without limiting the foregoing, the information and any forward-looking information include statements regarding projects, costs, objectives and future returns of the Company or hypotheses underlying these items. In this document, words such as "may",” confident”, "would", "could", "will", "likely", "believe", "expect", "anticipate", "intend", "plan", "estimate" and similar words and the negative form thereof are used to identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. Forward-looking statements and information are based on information available at the time and/or the Company management's good-faith beliefs with respect to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond the Company's control. Risks, uncertainties and other factors that could affect anticipated results and future events also include, but are not limited to, those described in the section of the Management's Discussion and Analysis (MD&A) entitled "Risk and Uncertainties" as filed on July 28, 2017 on SEDAR, including those under the headings “Going Concerns”, Commercial Operation of HPA Plant”, “We will need to raise capital to continue our growth” and “Development Goals and Time Frames” described in the MD&A filed on March 31, 2017.

The Company does not intend, nor does it undertake, any obligation to update or revise any forward-looking information or statements contained in this document to reflect subsequent information, events or circumstances or otherwise, except as required by applicable laws.

CONTACT INFORMATION:

FOR MORE INFORMATION, PLEASE CONTACT:
Orbite Technologies Inc.
Geneviève Marchand, Corporate Secretary
Tel.: 450 680-3341
Email: info@orbitetech.com