Carbon Done Right Announces Acquisition of the London Carbon Exchange

VANCOUVER, BC, March 8, 2024 /CNW/ - Carbon Done Right Developments Inc. ("Carbon Done Right" or the "Company") (TSXV: KLX) (FSE: Q1C) formally Klimat X Development Corp. a company that carries on the business of developing validated and verified carbon credits from afforestation and reforestation of degraded land areas and marine ecosystems, including mangroves, for sale into international voluntary carbon markets, is pleased to announce the Company's intention to acquire London Carbon Exchange "LCE" in an all-share transaction for the equivalent of USD450,000 issued in shares at the date of the next placing, concurrent with the dual listing of the Company on the London Stock Exchange Alternative Investment Market ("AIM"). Combined with the recently announced launch of the highly innovative Carbon Quantification System (CQS™) that provides unprecedented transparency into carbon credit transactions this will further strengthen the Company's commitment to the rapid growth of investment in large scale carbon credit restoration and conservation projects on degraded and threatened land.

• The Company has agreed to acquire the London Carbon Exchange, a fully developed blockchain and enabled carbon trading platform in a share transaction from Supernova Digital Assets Plc. The platform is designed to serve three pivotal roles within the blockchain-enabled carbon trading ecosystem:
  • Transparency, Traceability, and Verification of Carbon Credit Transactions: The primary function of the platform is to ensure complete transparency and traceability of Carbon Credits (CCs) obtained by Carbon Done Right's clients. This includes both the potential for immediate investment into the cost of carbon credit production and contracts for future credits that will belong to the customers. By leveraging blockchain technology, every transaction is meticulously recorded on a decentralized ledger, guaranteeing the origin, ownership, and complete transaction history of each credit is both verifiable and immutable.
  • Decentralized Marketplace for Carbon Credits: The second role of LCE is to establish a decentralized marketplace for the trading of current and future credits. Leveraging smart contracts, the platform will automate the matching of supply (sellers) and demand (buyers) in the carbon credit market. This will facilitate a seamless, secure, and efficient trading environment, reducing the need for intermediaries and enhancing market liquidity.
  • Tokenization and Trading of Carbon Credits: LCE will also introduce a mechanism for the tokenization of purchased credits that have not yet been retired, as well as for the pre-retirement trading of future credits. By representing the credits as digital tokens on the blockchain, LCE is intended to enable customers to trade these tokens in a secondary market. This will provide flexibility for customers to manage their carbon offset portfolios, allowing them to sell or exchange tokens representing their credits before the actual retirement of the credits, thus enhancing liquidity and price discovery in the carbon market.
• The newly expanded company will combine a strong track record in carbon credit nature-based project development covering four jurisdictions around the world, with a unique 'tree to trade' technology that brings the concept of radical transparency to bear on opaque carbon markets. The platform will allow for real time tracking of the growth and performance of restoration and conservation areas using the AI and machine driven Tree Counter™ technology, developed in partnership with the University of Copenhagen.
• The combination of LCE with CQS will significantly expand the market reach of the Company, meeting the needs of a wide range of corporate buyers for greater transparency and increased risk management over their purchases, as well as allowing for earlier investment into the land base for carbon credit production.

The Company has built a strong track in Sierra Leone, Suriname, Guyana and Mexico in restoring and conserving highly productive tropical forest and mangrove ecosystems. The most advanced model, in Sierra Leone, aggregates land leases from smallholder farmers who own unproductive degraded land and undertakes large scale restoration projects to plant a broad mix of native tree species. Land leases are secured under independently monitored Free and Prior Informed Consent rules. The Company has planted 1400 ha of forest to date and 14 ha of mangrove and has a previously announced pre-purchase agreement in place with BP Carbon Trading to plant a minimum of 5000 ha that will produce up to 1.9 million tonnes of carbon credits over 30 years.

CQS tracks each individual tree at the time it is planted and combines proprietary AI and ML models, drone and satellite data to provide unprecedented levels of transparency into the health and growth of the natural assets. 'Radical Transparency' means that buyers can access the underlying smallholder contracts and have increased confidence about the equity of the benefit sharing agreements in place to significantly improve rural livelihoods in some of the poorest regions in the world. The 'tree to trade' technology will ensure smallholders are paid promptly and directly.

The Company intends to expand operations in Sierra Leone beyond the areas that have been secured to date and will transfer the same model to other countries across Africa, starting in Ghana and Liberia. Approximately 90% of land suitable for restoration in Africa is held by smallholders.

About Carbon Done Right Developments Inc.

'Carbon Done Right' is a technology enabled rainforest planting company that carries on the business of developing validated and verified carbon credits from afforestation and reforestation of degraded land areas and marine ecosystems, including mangroves, for sale into international voluntary carbon markets. Carbon Done Right works upstream as a direct owner and operator of projects, addressing a key supply constraint in the current market and the rapidly growing demand for carbon credits in global voluntary and regulated markets. The Company achieves this by investing in the exploration, restoration and management of terrestrial and marine systems that can either be protected to enhance the sequestration of greenhouse gases or restored from a degraded status to fully productive ecosystems. Carbon Done Right draws on the experience of a senior executive team and board that provide access into key target jurisdictions through relationships in the mining and natural resources sectors, combined with decades of experience in carbon markets. The company deploys capital at risk under various arrangements (including cooperation, assignment, and production sharing agreements) with large landowners and governments in various suitable jurisdictions around the world.

On behalf of the Board of Directors

"James Tansey"
James Tansey
Chief Executive Officer

"Kevin Godlington"
Kevin Godlington
President

Cautionary Note Regarding Forward Looking Statements

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

This press release contains forward-looking statements and forward-looking information (collectively "forward looking statements") within the meaning of applicable securities laws. Any statements that are contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "will", "intends" "expects" and similar expressions which are intended to identify forward-looking information or statements. More particularly and without limitation, this press release contains forward looking statements and information concerning the acquisition of London Carbon Exchange and the ongoing business of the Company. Carbon Done Right  cautions that all forward-looking statements are inherently uncertain, and that actual performance may be affected by a number of material factors, assumptions and expectations, many of which are beyond the control of Carbon Done Right  including expectations and assumptions concerning the Company and the performance, market barriers, regulatory review requirement and functionality of the London Carbon Exchange. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of Carbon Done Right . The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement.

The forward-looking statements contained in this press release are made as of the date of this press release, and Carbon Done Right  does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by securities law.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction.

SOURCE KLIMAT X Developments Inc.

Carbon Done Right Developments Inc.: James Tansey, Chief Executive Officer, Email: [email protected], Website: http://www.klimatx.com; Yellow Jersey PR: Charles Goodwin, [phone]; Annabelle Wills, [phone], [email protected]