TORONTO, ON / April 22, 2020 / Kontrol Energy Corp. (CSE:KNR)(OTCQB:KNRLF)(FSE:1K8) (“Kontrol” or “Company”) a leader in the energy efficiency sector through IoT, Cloud and SaaS technology addresses the impact of the decline in oil prices on Kontrol’s operations.
Kontrol’s business operations are primarily in Ontario, Canada, however the Company has numerous US customers who represent approximately ten percent (10%) of its revenues. Kontrol’s customers include owners, operators, and managers of commercial and industrial facilities. Kontrol has an established and diversified customer base. Approximately fifty percent (50%) of Kontrol’s annual revenue is from repeat customer business.
Approximately 10% of Kontrol’s total revenues are derived from the oil and gas sector and primarily from large cap blue chip customers. The majority of services and solutions which Kontrol provides in the oil and gas sector relate to emission compliance and is regulatory driven versus discretionary. To date there have been no changes to the services and solutions provided by Kontrol to its oil and gas customers.
For its customers in the commercial, industrial, and multi-residential real-estate sectors, the price of oil is much less than relevant than the wholesale and retail cost of electricity. Building improvements, energy savings and technology retrofits are driven primarily by the cost of electricity.
Proposed Plan of Arrangement
Due to ongoing market volatility, Kontrol is postponing its previously announced (January 22, 2020) potential plan of arrangement for its wholly owned engineering firm, Efficiency Engineering Inc. (“EEI”). EEI provides engineering services to industrial, municipal and commercial building owners across Canada, and continues to operate as a wholly owned operating subsidiary of Kontrol Energy.
About Kontrol Energy
Kontrol Energy Corp. (CSE: KNR) (OTCQB: KNRLF) (FSE: 1K8) is a leader in the energy efficiency sector through IoT, Cloud and SaaS technology. With a disciplined mergers and acquisition strategy, combined with organic growth, Kontrol Energy Corp. provides market-based energy solutions to our customers designed to reduce their overall cost of energy while providing a corresponding reduction in greenhouse gas (GHG) emissions.
For further information, contact:
Neither IIROC nor any stock exchange or other securities regulatory authority accepts responsibility for the adequacy or accuracy of this release.
Caution Regarding Forward Looking Statements:
Certain information included in this press release, including information relating to future financial or operating performance and other statements that express the expectations of management or estimates of future performance constitute “forward-looking statements”. Such forward-looking statements include, without limitation, statements regarding possible future acquisitions, organic growth, the provision of solutions to customers and Greenhouse Gas emissions reductions, proposed financial savings and sustainable energy benefits, energy monitoring and the continuing sources of revenue. Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief are based on assumptions made in good faith and believed to have a reasonable basis. Such assumptions include, without limitation, that suitable businesses and technologies for acquisition and/or investment will be available, that such acquisitions and or investment transactions will be concluded, that sufficient capital will be available to the Company, that technology will be as effective as anticipated, that organic growth will occur, that revenues will continue to be from the same sources and in the same proportions as has historically been the case, and others. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to, lack of acquisition and investment opportunities or that such opportunities may not be concluded on reasonable terms, or at all, that sufficient capital and financing cannot be obtained on reasonable terms, or at all, that technologies will not prove as effective as expected, that customers and potential customers will not be as accepting of the Company’s product and service offering as expected, and government and regulatory factors impacting the energy conservation industry. Accordingly, undue reliance should not be placed on forward-looking statements and the forward-looking statements contained in this press release are expressly qualified in their entirety by this cautionary statement. The forward-looking statements contained herein are made as at the date hereof and the Company does not undertake any obligation to update publicly or revise any such forward-looking statements or any forward-looking statements contained in any other documents whether as a result of new information, future events or otherwise, except as required under applicable securities law.