- Xebec Adsorption (TSXV:XBC) has been classified as an essential business by the Government of Québec
- As such, the clean energy company will continue to operate in Canada, while non-essential businesses close due to COVID-19
- Xebec’s operations in China have returned to fully operationality, but its Italian operations are still on hold
- Xebec Adsorption (XBC) is up 4.35 per cent, and is currently trading at $2.16 per share
Clean energy company Xebec Adsorption (TSXV:XBC) has been classified as an essential business during the COVID-19 crisis.
Two days ago, Québec’s Premier François Legault announced that all non-essential businesses in the province must close down. The mandated closure is the authorities’ latest measure to prevent further spread of the COVID-19 virus.
Xebec is a supplier of critical equipment and services to key sectors like energy, healthcare, and pharmaceuticals.
Thus far, the company has supplied over 10,000 pieces of equipment to organisations at the frontlines of the pandemic. This includes 100 installations of medical air systems to hospitals in Québec, British Columbia, Alberta, and other Canadian provinces.
Xebec products also have uses in many other essential businesses and services, including food & beverage, pharmaceutical manufacturing, oil refining, paper production, electrical power generation, and natural gas transmission & distribution.
As such, Xebec qualifies as an essential business, and will continue its operations and manufacturing in Blainville, Québec. During this unprecedented time of need, the company’s manufacturing facilities in Québec are nearly at full capacity.
Xebec’s President and CEO, Kurt Sorschak, said that the company has also offered its services in other much-needed areas.
“We have offered the Governments of Canada and Québec our production capability for oxygen concentrators and medical air systems. If they are needed or are in short supply, we stand ready to produce them.
“We’re proud to do our part in contributing to the cause, and will work diligently to ensure we can continue doing so over the coming months,” he said.
Xebec’s Toronto-based subsidiary, Compressed Air International Inc, will also remain open as an essential business. In other countries, however, the company’s operations are in varying states of functionality.
Xebec’s Californian acquisition, CDA Systems, has partially shut down, and only available to provide emergency onsite maintenance and service.
The company’s manufacturing operations in Italy are still on hold and may not restart before mid-April at the earliest.
Fortunately, Xebec’s operations in Shanghai, China, have returned to fully operationality. Three weeks ago, the site restarted conducting deliveries, and is continuing to expand.
“All of our administrative and sales personnel now work from home. For our production staff, we’ve implemented strict codes and guidelines to reduce risk, in line with Government regulations. Now is the time to be united as the need for action grows stronger every day,” Kurt said.
Xebec Adsorption (XBC) is up 4.35 per cent, and trading at $2.16 per share, as of 10:32am EST.