Global Clean Energy Holdings Inc.
10/25/2024 | Press release | Distributed by Public on 10/25/2024 15:06
Termination of Material Agreement Form 8 K
Item 1.02. Termination of a Material Definitive Agreement.
As previously disclosed, Bakersfield Renewable Fuels, LLC ("BKRF"), an indirect wholly-owned subsidiary of Global Clean Energy Holdings, Inc. ("we," "us," "our" and the "Company"), is party to that certain Turnkey Agreement with a Guaranteed Maximum Price for the Engineering, Procurement and Construction of the Bakersfield Renewable Fuels Project, by and between BKRF and CTCI Americas, Inc. ("CTCI") dated as of May 18, 2021 (as amended from time to time, the "EPC Agreement"), pursuant to which CTCI agreed to provide services for the engineering, procurement, construction, start-up and testing of the Company's Bakersfield Renewable Fuels Facility (the "Facility"). On October 21, 2024, BKRF notified CTCI that CTCI was in default under the EPC Agreement, and such defaults are not capable of cure. As a result, all further work under the EPC Agreement was terminated, and BKRF exercised its right to complete all remaining work. BKRF intends to pursue any and all remedies available to it as a result of such defaults under the EPC Agreement and at law, including enforcing its right to draw down on a letter of credit provided by CTCI in support of its obligations under the EPC Agreement.