As the Hayden project is vertically integrated from farm to housing development it stands to sequester or lock in a sizeable amount of CO2e in soils as well as buildings and other products. Moreover, hempcrete buildings will replace current buildings that have a large, embodied carbon footprint. This provides an opportunity for the Company to enter the Voluntary Carbon Market, where GHG can supply ESG minded corporations with some of the credits they need to balance their carbon budget. The Company is also exploring the opportunities of being able to trade these credits with interested partners.
Management Cease Trade Order (MCTO)
The Company also announces that it anticipates a delay in the filing of the financial statements required pursuant to Part 4 of National Instrument 51-102 Continuous Disclosure Obligations (the "Instrument") as a result of various individuals from the Management team of the Company and external audit team members contracting Covid-19 during various stages of the audit process. Consequently, the completion of the annual audit is taking longer than expected.
The Instrument requires that the Company's audited financial statements and MD&A for the fiscal year ended September 30, 2021 be filed by January 28, 2022. The Company and its auditor are in the process of completing the associated audit work to complete these audited financial statements. The Company expects that the audited financial statements and MD&A for the year ended September 30, 2021 (collectively, the "Required Filings") will be completed and filed on or before February 11, 2022.
In connection with the anticipated delays in making the Required Filings within the time periods mandated by the Instrument, the Company has applied for a management cease trade order ("MCTO") under National Policy 12-203 Cease Trade Orders ("NP 12-203") by the British Columbia Securities Commission, as principal regulator for the Company. The MCTO will restrict all trading by the Company's CEO and CFO in securities of the Company, whether direct or indirect. The issuance of the MCTO will not affect the ability of persons who are not directors, officers or insiders of the Company to trade their securities. The MCTO will remain in effect until the Required Filings are filed or until it is revoked or varied.
The Company confirms that it intends to satisfy the provisions of the alternative information guidelines described in NP 12-203 by issuing bi-weekly default status reports in the form of a news release for so long as it remains in default of the requirement to make the Required Filings. The Company has no material information relating to its affairs that has not been generally disclosed.