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Hello. Good morning. I will just give others a few minutes to join here and then get started. Great. I think we can probably get started here. Victoria, do you want to kick things off?
Yes. No, that would be great. So thanks, everyone, for joining us on EverGen's Q3 Earnings Call. Chase is going to be giving the majority of the presentation. And Chase, I can't see who you have with you. Is that Sean?
Sean's here, Mischa is on the call as well.
Okay. Perfect. Do you want me to share the presentation on my end for you? And then you can just let me know when to...
That would be great.
Perfect. All right, you disabled screen sharing. So you might actually have to -- Chase you might have to share it on your side. It looks like you've disabled screen sharing for participants.
Just a second. We'll get that going here from our side.
Sorry for the delay, everybody. We've got a little presentation coming up here, now.
Chase, if it's not working, you can just make me the host, if you right click on my name and go to more, there should be somewhere that says make host.
Should be working now. We had logged in under their own account. So nobody was the host, but I appreciate everybody being patient. And hopefully, that gave everybody a few more people a chance to join. Great. Thanks, Victoria. And I think just as we go through -- see if there's any questions for Mischa, Sean or I take them in the chat, and then we'll get to them at the end of the presentation. We'll leave some time. I think we obviously did an update call around our AGM for those that joined that. So today, we'll really stick to the earnings results for Q3. We'll give a little bit of an update on the business and then leave some time for questions. So Thanks, everybody, for joining. I can go to the third slide -- and the next slide. Thanks, Victoria. So overall, Q3 2022 for us, it was an exciting time for EverGen, -- we've got a base operating business that is operating in line with last year and our expectations and really setting the stage for growth with 2 core expansion projects that are now under construction and really are going to drive our growth of EBITDA. So the milestones that led us there in Q3, we executed a term sheet for long-term RNG offtake at Fraser Valley Biogas. This is renewing our 10-year old existing agreement with a new contract. So that's something that we expect to transition to a definitive agreement in the coming weeks. We completed the acquisition of GrowTEC and went immediately into constructing the RNG conversion project there, which is now 80% complete. So that was completed in July, the acquisition and broke ground right after that installing the RNG upgrading units, which you'll see on the slide coming up in the presentation and expect to be flowing gas there by the end of the year. We secured funding for our growth with a term sheet for a $31 million senior term loan from Roynat & EDC. And then we broke ground at Fraser Valley Biogas at the end of September. Really, these 2 projects drive a significant increase in our cash flow. As we look through what we're excited about in Q3 and early 2023 is that we have a number of catalysts that relate to both these construction projects, but also our core business in terms of the ability to fund projects but also the amount we get paid for our gas. So that will be the execution of the loan facility, so the definitive agreement there. And the same with the long-term offtake agreement at Fraser Valley Biogas, which will result in us receiving a higher price closer to today's market price for RNG on a long-term basis at Fraser Valley Biogas. Then the construction milestones, I think our first year of existence, we had a number of internal milestones that we -- as we advance projects towards shovel-ready status, now we're in the process of constructing and commissioning both Fraser Valley and GrowTEC and there's a number of milestones that will hit as we move through those projects. And then finally, Project Radius, I think, is untapped potential for us not being realized in our share price as well as the Net Zero Waste strategy expansion, which will have further milestones for us. I'll turn it over to Sean on the operating results for Q3.
Great thanks, Chase. See on this slide, we've got a summary of our results for the 3 and 9 months ended September 30, 2022, relative to the same periods last year. So starting at the top of the slide, revenues were -- came in slightly higher than last year. There was a boost in revenues with the GrowTEC acquisition, and there was a slight increase in the amount of revenues from tipping fees received. And this was offset slightly by a decrease in RNG revenues, which are all covered under insurance proceeds.
Net loss. So net loss relative to the primary driver of the increase in net loss relative to Q3 last year was a $1.5 million accounting adjustment or accounting revaluation last year, and there was a few timing differences relating to certain overhead expenses. And relative to Q2 of this year, the main driver of the increase in the net loss was deferred taxes. So my point here is that the in both instances, the primary variance are accounting-related adjustments, and that's why adjusted EBITDA is relatively in line with the same period last year. Had it been for -- had we had not had the impacts of the floods, soil sales would have been boosted and those -- we would have expected adjusted EBITDA to come in higher than last year. Moving down the slide. We made significant CapEx investments during the period. The major investment was obviously our acquisition in GrowTEC and we continue to invest capital into our -- both of our Fraser Valley Biogas expansion and our Net Zero Waste expansion projects. Moving down to cash. So we finished the quarter with $12.8 million of cash. This excludes our estimate of approximately in excess of $1 million of expected insurance proceeds, which we believe we will receive during the fourth quarter of 2022. We can move to the next slide. So here, what we've tried to do is break down our cash flow statement to kind of draw attention to the investments we've made within our growth projects. So starting at the top, we started the year with $22 million of cash. We've had a slight outflow of cash relating to operating activities. Again, if we had received all of our insurance proceeds at 2 September 30, we would have expected this to be somewhere around 0. And our target for year-end is a -- our target for year-end is to record positive operating activities pending a final insurance settlement. Financing cash flows includes the payment repayments of debt and leases and then $300,000 for the repurchase of common shares under the NCIB program.
But yes, as I touched on the purpose of this slide is to really draw attention to how we're investing in our growth projects. So we've made investments in the GrowTEC acquisition, the NZWA and Fraser Valley Biogas expansion projects and Project Radius as well. And that's, our investing activities are circa 80% of our total cash outflows for the year. Moving down and looking forward to post September 30th, once we receive the expected debt proceeds from the soon-to-be executed debt facility with Roynat & EDC enter on the funds for the Fraser Valley portion of the facility. We expect to end with a -- we expect to have a cash -- remaining cash balance of circa $5.5 million after funding both the Fraser Valley expansion project and the first phase of the GrowTEC expansion project, everything else remaining equal. This leaves us with a healthy cash balance to then deploy to future accretive projects and activities, which I'll hand it over to Chase to talk about.
Yes. And I think important on this slide... This is a photo of the GrowTEC RNG upgrading units that we've now installed awaiting commissioning. So this is really a smooth transition, an example of our team coming in and executing on a project midway through, which is really our business model coming into projects that are on the 50-yard line and taking them across the goal line, I think, has been our motto since day 1. As we commission Fraser Valley Phase 1, I think this CapEx is for both Phase 1 and 2, but just the first phase and GrowTEC first phase. We're looking at the baseline EBITDA of around $8 million with upside from increased tipping fees in RNG sales to something closer to $10 million of EBITDA. So at that point, we're sitting with $10 million of debt, $5 million of cash -- or $50 million of debt 5 of cash, about a $10 million net debt position and about that in EBITDA and then heading into our next 2 projects being Radius and Net Zero Waste Abbotsford expansion, if you go to the next slide.
So the cash flow from Fraser Valley and GrowTEC would get redeployed along with the cash position that we have, plus we've got a $16 million of available credit towards Net Zero Waste Abbotsford. So with those 3 sources, we would be funding Net Zero with the capital that we've already spent. And we might phase that project, so there's some spending that would occur towards the end of the project that would be on minor upgrades, but it wouldn't impact the capacity of the project.
This is the overall picture. This includes the Net Zero Waste Abbotsford expansion as well. And I think what this doesn't include is our development project, the Project Radius is in Ontario. I'll go to the next slide -- from a multiple standpoint, this is just a bit of an update for those that weren't on the AGM call. What we continue to see is strong valuations for the space being the renewable natural gas peers as well as the IPP or more contracted renewable infrastructure companies. I think what's changed is there's been a significant push out of projects, delays in EBITDA on the RNG side. So if you see there are multiples have expanded. There's some really aggressive growth targets. And I think the reality is that a more measured pace is what you'll see for the industry overall. So I think that's something that's happened outside of EverGen and I think has led to what appears to be higher valuations for next year. Next slide. I think our business model, hopefully, those on this call are familiar with the company. Happy to answer any questions or come back to it. But I think maybe skip to the next slide, Victoria. In terms of where we sit today, Mischa, I don't know if you want to add anything else to this in terms of some of the growth avenues that we're working on, but maybe this is a good time to do that.
Yes. I think the only thing to emphasize here is we're now sitting here with projects in BC, Alberta and Ontario. We're looking to grow our portfolio in Ontario, Quebec as well, where we see a lot of opportunities there, particularly given the regulatory environment and the offtakes being offered by Energy or the Quebec offtakers. So I think that's sort of the next leg in our expansion process that we're focused on and excited about what we can do there.
The next slide Victoria. And Mischa, anything else you want to touch on the operating portfolio that we might have skipped over.
No, I saw a question there about feedstock. And I think when you look at these 4 our 4 core projects here, feedstock is essentially secured at Fraser Valley Biogas for Phase I, and we're working towards securing the Phase 2 feedstock as well. Essentially, in the region, there's too much feedstock, not enough homes, not enough permitted sites to take it to. Feedstocks are getting trucked 500 kilometers up north in the interior of the province. So really, given the location and the status of our projects, we're sort of in a prime position to receive feedstock. So we're -- I think we've got a healthy mix of long-term contracted contracts for municipal waste as well as being able to take advantage of some more favorable spot pricing on some of the commercial waste as well. So we're pretty -- I think we're in a pretty healthy position in terms of feedstock at all across all of our facilities.
I think a big reason for that, just adding to it is the combination of waste that we can take at each facility. I think you see -- you sort of -- you see these projects in the U.S. that are either 100% commercial waste or municipal waste or agricultural waste and the challenges there have been they're facing a single off-taker in a market where you're potentially -- or a single feedstock provider, I should say, in a market where there's not the same sort of dynamic in terms of bands on organics or there's not the same lack of infrastructure that we have in BC. So I think that's a big difference. And then the ability to produce gas from manure, produce gas from a small quantity of ICI, I think just to emphasize Fraser Valley Biogas has consistently produced 80,000 gigajoules annually of gas from what essentially is a combination of 40,000 tons of manure and 10,000 tonnes of commercial waste. So I think that's a good example of how you're getting significant gas production from not a lot of commercial organics. This is really the waterfall buildup of our core business. And I think highlighting the ability to take in incremental organic waste on the front end, providing $2 million to $3 million of upside across our portfolio, that's bought and paid for infrastructure that we've built, spare capacity that we have to take additional organics once we're fully complete our expansions. And then same on the RNG upside. So with those incremental tons, the ability to produce incremental gas. And on the gas side, I think what's key is the market has continued to evolve.
So 18 months ago, Fortis was out there as the only one providing 20-year-type utility-grade offtakes. And since that time, we've seen Energia come out and aggressively RFP gas in the space. We've seen a couple of the U.S. utilities, Northwest Natural, Vermont Gas do the same thing. And then aside from the utility space, there's significant interest from the strategics or gas marketing groups that are looking to decarbonize their own infrastructure. So I think what we're seeing is a really healthy offtake market that leads to increased upside for any additional volumes that we have at our facilities. And then -- so that's the base business. Beyond that, we have our near-term upside from the pipeline projects that we have. So these are both projects that are under development, like Project Radius and a couple of other greenfield projects that we've been working on alongside the partnership projects that we have that we're in negotiation on that are at various stages of development. So that's the $15 million to $20 million wedge, which we see getting us to $30 million of EBITDA. Next slide, Victoria. So looking at how we get there. I think it's -- this is -- I won't spend a ton of time on this slide. I think we've talked about it in the past. Our near-term pipeline, a big chunk of that near-term pipeline is Project Radius. And at 2 million gigajoules per year, assuming a market price of around $20 to $30 per gigajoule on a long-term contracted basis. That's $50 million to $60 million of revenue just from the RNG side of the business with incremental tip fee revenue and then 50% to 60% EBITDA margins. So that's driving a $30 million-plus EBITDA from that near-term pipeline and maybe flip to the next slide and talk a little bit more about Radius and the business model there. I think what's been part of this strategy that we've taken as of late given the current market and high value of cash on balance sheet. It has been taking projects like Project Radius and which for us was a $1.5 million investment and using that development stage project as a model for growth. So with Project Radius, we have 3 phases of 550 gigajoules per phase. Each of those phases is about the gas production that we'll have from Fraser Valley, Net Zero Waste and GrowTEC combined. So it's large-scale projects, agricultural projects in Ontario. And we partnered with Northeast who had been developing these projects for a couple of years and came in at a point in time where we saw the project being significantly derisked, but still pre-FID or pre-shovel-ready or notice to proceed stage projects, where with significant milestones that we have line of sight to coming up. So for us, for Radius, this is the signing of an offtake agreement, a feedstock agreement and cost certainty on the project. So we're approaching each of those milestones. I believe on the offtake side, we'll have something between now and the end of Q1, probably early part of Q1. On the feedstock side, we've been working with the Andersons. I think that's been discussed before and expect to get to an agreement in short order. And then on the cost certainty side, we are awaiting final engineering sometime in the next couple of weeks. So we'll be able to talk about the -- where the cost is on this project. We saw all 3 phases as around somewhere between $180 million and $200 million of total spend relatively equal across the phases. So we're working on an update there, but that's sort of our benchmark. And then with all of those items in hand, we've got a derisked project that's shovel-ready that -- that's where the value is created on these projects, much like the wind and solar space. If you look at developer-only publicly listed companies that do nothing but just develop greenfield projects to FID and then sell them off. That business model works in the RNG space as well. So in our case, we've got the flexibility to take this project to shovel-ready status, bring in a financial partner to carry an interest in the project and retain operatorship is our goal. But ultimately, we're going to look at all options as we go through that process in early 2023. And if there's an ability to monetize a portion of this asset and retain operatorship, I think we'll do that. If there's an ability to potentially own more of it and our cost of capital makes sense, then we'll do that. I think we're really emphasizing that it's a flexible model. Our anticipated return though is somewhere between 10x with the capital that we put into this and higher. So I think -- when we go to put shovels in the ground on this project, we expect that our carried interest in the project is going to be worth north of $15 million, and that's the type of return that we're seeing in these projects. And because it's a new space, it's not -- we're not competing against hundreds of other solar developers. We're one of the few RNG platforms that have the capability to put development dollars into projects. So this is a real area for growth for us. And this project has $15 million of value. We're not seeing it in our share price. It's a bucket share just with this project alone and potentially higher if we're retaining a larger interest in the project. So I think that -- those types of projects are where we're focused in terms of growth and expect that we'll have some news to share on that in the coming months.
Mischa, do you want to take this one? I feel like it's a long-winded explanation of where we're going with the Project Radius, but maybe we can cap it off here for the -- and then leave some time for questions.
Yes. And I think when we look at key catalysts and milestones going forward towards the end of the year and early Q1 of next year, we're really excited about and focused on are getting GrowTEC commissioned and producing first gas, the Fraser Valley Biogas expansion. We've got definitive agreements on our credit facility and the Fraser Valley Biogas definitive offtake agreement, which are imminent here and additional feedstock awards from some of the various municipalities as well as some additional new growth projects that we're working on. So I think as we work through commissioning at GrowTEC and the expansion at Fraser Valley Biogas, I think we've got a lot of exciting catalysts and milestones that we're focused on over the next 3 months here.
Great. Victoria, do you want to take us through some of the remaining Q&A out there. I think we can cap off the formal part of the presentation there and then go into questions. Some of them I see some overlap, so maybe we can -- we can try to address multiple at the same time but guide us through Victoria, if you don't mind.
Yes, I'll just go through and read them out and try to get rid of the duplicates. So if anyone does have a question, just a reminder, you can put it in the chat at the bottom of your screen. At Chase, do you mind just commenting on the status of the grants?
Yes. So the grants that we've applied for, there's a number of them across multiple projects. I think one of the more substantive grants that we applied for was with Net Zero Waste Abbotsford in the Clean Fuels Fund -- there was an announcement by the Fed, federal government about 2 weeks ago that they had allocated about $800 million of that $1.6 billion fund, and we're working through the remaining awards. So we're in that process. We're still waiting for a decision. So we're in that bucket of projects that is -- they're looking to allocate remaining dollars too, is really all I can say. I think ultimately, the process that they went through, they're a large fund, our project is relatively small. So I think it's not surprising that we're in that second bucket of allocation. So that's one of the larger grants that we've applied for. The others are in various stages of decision-making. So we're -- we sort of follow up regularly, and you tend to get very little back until you get good news or you get bad news. But we're still expecting a large portion of grant funding to come in, whether it comes in before or after completion on projects. And I think that's the bigger question. We're also -- we've applied -- or we continue to apply for grants. So things like GrowTEC, things like Fraser Valley, both have the expansions that we're doing today, both have applicability for new brand programs that were recently announced.
So we're applying there probably another $10 million of additional grants that we'll apply for. And then on -- we have been awarded a small grant of around $2 million on one of our projects where we can't disclose too much about it yet. But we're having -- we have had some positive news, and we're still waiting to receive news on the others.
And then what's the potential to lock in RNG pricing above the $30 market?
So today, there is some potential there depending on the -- I think -- so I think, first of all, from a BC perspective, Fortis has the ability to buy gas up to $32, I think, at the moment, Mischa is their cap. So with our contracts, you'd expect that over time with inflation, you'd escalate to that point. So in a sense, we have locked in pricing at that level. But in the spot market or if you're looking at the Californian LCFS RIN markets, you're -- what we're seeing now as well as, I guess, the BC and federal carbon markets, we're seeing an ability to lock in a price in and around or just above $30 depending on the carbon intensity of the gas. So for a mixed waste project is sort of just above $30, I'd say right now and for a manure based project where in the U.S., you're getting a higher price above that. So I think you lock it in, but locking it in into those markets means locking it in for 1 year, 3 years, 5 years potentially a little bit longer, but you -- what you're giving away is to a third party that's essentially hedging that. So the pricing comes down, the longer you lock in the price point. So still -- the reality at the end of the day is that utilities are still a good counterparty. Our model has been to contract for a significant portion of our gas production, and then leave some exposed to the shorter-term markets and try to capture the best of both worlds.
And then could you maybe just elaborate on what's causing the production challenges maybe operationally from some of the flood-related issues and then how you guys are resolving them?
Yes. I can take this one or feel free to jump in, Mischa or Sean. I think that -- the flood-related issues really from our perspective, operationally, we're largely faced in Q1, Q2 and lingering in Q3, and then the lagging effect will be recovery of insurance proceeds in Q4. So by the end of the year, we expect that the flooding impact is sort of the impact on the financials is complete. And I think what's nice about that is it aligns with the calendar year so that it's easy to see sort of year-over-year that the business has continued to operate the way that we expected. I think the lingering issues are things that Sean touched on, the soil sales, as an example, so not having the soil to sell that was contaminated from the floods, having operations focused on cleanup efforts versus sourcing new business. I think all of those things are a little bit external to the direct costs of the flood, which are covered by insurance, but still impact the business. And I think it's safe to say we're through that. And now we're really -- our focus is on the construction projects and away from dealing with historical flood rating flood issues. And that will -- what that says to me is our business will be improved next year regardless of the upgrades, but then we've got the upgrades on top of that, that you'll see come through with a couple of milestones that are really short term, one being the execution of the Fraser Valley definitive agreement that gives us a higher price and secondly, GrowTEC coming online where we'll start to get a higher price for gas. So we'll have sort of 3 -- really 3 drivers for our increased operating cash flow being GrowTEC, Fraser Valley and flood-related impacts being out of the results.
Yes, I can address the specifics for the RNG production volumes. So with the flooding that occurred a year ago now, there was some equipment at Fraser Valley by I guess that was damaged, but was still operational. And in order to change out that equipment, we would have had to incur a significant amount of downtime, and we were still seeing production volumes at historical levels. So a decision was not to change out that equipment and to upgrade it as part of the expansion project, which is occurring now. So some of those -- some of that equipment started to fail during Q3 and has since been remediated with the expansion projects, which broke ground at the end of the quarter. Just to reiterate, all of those lost revenues are covered under insurance under our existing insurance policies. So that's the main driver for the lower gas production this year, but revenues are unaffected.
And then as we move forward, the construction work that we're doing at Fraser Valley Biogas is -- we're setting up the site so that if we occurred if the same 100-year flood occurred again, we would be positioned so that the majority of all of the electrical process flow lines, everything is above the flood line so that we're able to continue to operate in a much more resilient fashion outside of a catastrophic flood. And in which case, I think you're seeing -- you're seeing Abbotsford spend a ton of time and effort on solving the overall problem. I think $2 billion has been committed to fixing the regional issues. So I think from a micro macro perspective, I think we're in a good position or we will be post construction. And then on top of that, the other thing that we thought about and maybe questions here or not here is what does feedstock looks like in the region, given flooding issues. And I think what we've seen is farmland in the region has continued to get historical high prices. So something like $150,000 an acre was the last sale price of land down the road from our facility. So still civilly in high demand, which is a strong driver for us go forward is a agricultural focus of that area and being a core project that helps recycle agricultural waste. So I think that's a positive sign in the last few months that we've seen.
Could you speak to the increase in your G&A? Or should we look at this as a new run rate? Or was it somewhat off?
Yes, I can take that one. So G&A in Q3 last year was extremely low. If we look at year ended 2021, the G&A for the year was $3.8 million, which is approximately $1 million a quarter. So 1.1 isn't far off a run rate. But during Q3 of 2022, there's obviously transaction costs incurred with the GrowTEC acquisition, there were legal fees, success fees, et cetera, which circa around $200,000, $250,000. So yes and no, I would say that $1 million is a fair run rate G&A, $1 million, and that's in line with last year.
But that's inclusive of acquisitions and other things that would not be part of the operating business. So I think what we're really saying is we'll continue to be accretive, but for the purposes of modeling, I see the source of the question, we would associate a chunk of that $1 million maybe with acquisitions.
Yes. And those are the costs that are being carved out of our adjusted EBITDA, the onetime related G&A costs.
Will your credit facility be a fully floating rate? And what is your all-in cost of the credit facility now?
So we have optionality there. We've been presented with options to lock in rates with -- there's obviously, we have derivative interest rate swap optionality as well. So those are all -- obviously, we -- as I touched on before, we haven't executed the agreement yet, but those are all areas that we're looking at. And we're doing our own internal assessments to determine what's the most cost-effective approach to measuring this debt new debt facility.
How long is construction expected to take for Net Zero Waste Abbotsford? And how long typically does it take to commission and ramp up these types of facilities to their nameplate capacity?
So that is -- I think with a project like that, where we've got the long lead equipment secured from great ground to first gas, we anticipate around 6 months for a new build facility 6 to 8 months of construction and then a ramp-up period that will take anywhere from a couple of months to 6 months. In this case, we've got feedstock already coming to the site. So I think it would be on the shorter end of that. So I think all in, from breaking ground to ramping it up to our baseline. And our baseline is never nameplate capacity. We think with all of our facilities, and maybe this is a difference versus our peers, I don't know. But we typically assume somewhere between 70% and 80% of nameplate capacity in terms of our baseline EBITDA estimates that we put forward on a project-by-project basis. And the rest is considered upside. I think just the nature of the projects, our experience has been that's a more conservative approach.
nd then do you also -- do you have enough cash and liquidity to complete the Net Zero Waste Abbotsford expansion? So you've got the $5.5 million in cash, plus I guess they're assuming your credit facility drawdown.
Yes. So our credit facility, the dedicated portion to Net Zero Waste Abbotsford is $16 million. I think the $5.5 million of cash plus operating cash flow plus we expect some portion of grant proceeds will get us to the remaining capital on that project and then some. I think the -- for -- from a debt facility perspective, we've got -- we went with a senior option. I think the -- what we've seen is there's an incremental $5 million to $10 million of subordinated debt at the project level that's available that we've seen term sheets on. So that's also out there as well.
Okay. And then I guess the last question, I think you've kind of answered all of the other ones in one way or another. But maybe just to elaborate, I know Mischa, you spoke about the feedstock coming into each of your facilities. But can you just talk about the competitive state of the market for feedstock right now?
Yes, absolutely. So I think as I mentioned, what's really happening in the space is you're seeing -- you're seeing municipalities mandating landfill bands. So all organic waste needs to be diverted away from landfills. And as -- and right now, the larger municipalities like Vancouver and Toronto starting to catch up and Calgary and the big cities are putting these in place. But you're also seeing the surrounding areas also start to put these landfill bans in place, which is creating more organic waste. And we just don't have enough permitted facilities to accept this way. So right now at all of our sites, we've got surplus in terms of supply. We're turning away loads, and waste is going further up north, further in NBC for sure. And there's just not enough permitted facilities to handle them. So the supply demand dynamics definitely favor platforms like us who have sort of flexibility in terms of where we can take feedstocks. And we're just sort of going to see that dynamic continue to look more and more favorable as we move forward here.
Okay. Thanks, everyone. That wraps up all of the questions. Chase, any last comment you want to leave everyone with?
I think we're really positioned for a strong exit to the year with a number of positive developments in terms of our core business. And really, the whole purpose of EverGen was to come in and redevelop projects, which we're doing. So it's an exciting time. I think our team has all worked really hard to come up with a really structured model so that we can continue to template what we've been doing on Fraser Valley and GrowTEC and maybe that's taken some additional time, but I think it will reap benefits in the future. So I look forward to updating everyone in a couple of months on the progress at both of those projects. And I think you'll start to see our operating results match the developments of those projects as we come into the new year as well. I appreciate everyone's support and available for follow-ups if we missed any questions here, feel free to reach out to Victoria or I. I think contact information should have been on the original email.
Okay. Thanks, Chase. And thanks, everyone, for joining today.