Core Viewpoint - Verde Resources Inc. has secured a $2 million strategic investment from Ergon Asphalt & Emulsions, enhancing its financial position and supporting the commercialization of its BioAsphalt™ technology aimed at decarbonizing the road construction industry [1][4][6]. Investment and Partnership - The investment follows a 10-year exclusive licensing agreement between Verde and Ergon, allowing Ergon to commercialize Verde's BioAsphalt™ technology across North America [2][4]. - Ergon, the largest liquid asphalt marketer in North America, aims to leverage its extensive infrastructure and expertise to scale BioAsphalt™ [3][6]. Technology and Innovation - BioAsphalt™ utilizes 100% recycled asphalt materials in cold-mix applications, significantly reducing greenhouse gas emissions and lowering costs [2][4]. - Independent testing by the National Center for Asphalt Technology confirmed that BioAsphalt™ exceeds industry specifications in terms of strength, durability, and moisture resistance [4][5]. Market Context - Currently, 94% of US roads are paved with asphalt, which is energy-intensive and poses environmental challenges [8]. - The partnership between Verde and Ergon addresses long-standing issues in the road construction sector, such as heat-related risks for workers and environmental waste [8]. Future Outlook - Verde and Ergon are mobilizing joint teams to engage major customers for large-scale projects, aiming to demonstrate the commercial viability of BioAsphalt™ [6][9]. - The collaboration is positioned to redefine sustainable road construction by integrating permanent carbon storage into widely used materials [10].

Core Insights - Verde Resources Inc. has developed a proprietary cold-recycled asphalt mix, BioAsphalt™, which integrates biochar and is made entirely from 100% Reclaimed Asphalt Pavement (RAP) [1][4] - Independent testing by the National Center for Asphalt Technology (NCAT) confirms that this mix meets and exceeds key industry specifications, demonstrating exceptional strength, durability, and moisture resistance [2][3] Performance Evaluation - The BioAsphalt™ mix achieved an Indirect Tensile Strength (ITS) of 61.8 psi (426.1 kPa) under dry conditions and 45.6 psi (314.2 kPa) under wet conditions, with a Tensile Strength Ratio (TSR) of 0.74, surpassing the industry threshold of 0.70 [3] - Testing results indicate significant improvements in cohesion, retained strength, and overall mix performance, exceeding expectations at this stage [3] Environmental Impact - The BioAsphalt™ technology is positioned as a scalable, low-carbon alternative to traditional paving materials, contributing to carbon sequestration and sustainable infrastructure [4][7] - The production process is burnerless and solvent-free, allowing for application at ambient temperatures year-round, which reduces energy use and greenhouse gas emissions [6][7] Industry Advancement - Traditionally, cold recycling of 100% RAP has been limited to intermediate and base layers; the ability to use it in surface layers represents a significant advancement for the industry [5] - The partnership with Ergon Asphalt & Emulsions aims to accelerate commercialization and expand market reach for Verde's innovative solutions [9] Strategic Partnerships - Verde has entered into a 10-year exclusive agreement with Ergon, the largest asphalt marketer in North America, to drive long-term revenue growth and market adoption of BioAsphalt™ [8][9] - This collaboration is expected to enhance the practical application of Verde's technology in the asphalt industry, paving the way for future infrastructure developments [9]

Core Viewpoint - Verde Resources Inc. has entered a 10-year licensing agreement with Ergon Asphalt & Emulsions to manufacture and distribute environmentally sustainable asphalt products across North America, alongside a $2 million strategic investment from Ergon [1][2][5]. Group 1: Agreement Details - The agreement formalizes a long-term strategic alliance to commercialize Verde's BioAsphalt™ materials in the U.S., Mexico, and Canada, with an option to extend for an additional 10 years [2]. - Under the agreement, Verde licenses its proprietary technologies to Ergon for manufacturing, marketing, and distribution, while Ergon gains rights to use Verde's trademarks and access technical services [4]. Group 2: Investment and Strategic Importance - Ergon's $2 million investment in Verde highlights confidence in Verde's long-term growth and solidifies the strategic nature of their alliance, expected to close in October 2025 [5]. - The collaboration aims to accelerate the adoption of low-carbon technologies in road construction, enhancing sustainability without compromising quality [7]. Group 3: Product Innovation and Market Potential - Verde's BioAsphalt™ is designed to be produced without heat or solvents, allowing year-round installation and significantly reducing greenhouse gas emissions [6]. - The global asphalt market is valued at over $175 billion, presenting a substantial opportunity for low-carbon solutions, particularly in North America [9]. Group 4: Environmental Impact and Carbon Credits - BioAsphalt™ is the first product to generate verified Carbon Removal Credits, positioning Verde as a pioneer in transforming asphalt into a climate-positive material [7]. - Verde will share 40% of its future Carbon Removal Credits with Ergon, linking commercial success to measurable environmental impact [8].