TORONTO, Dec. 12, 2018 /CNW/ - Toronto based CO2 GRO Inc. ("GROW") (TSX-V: GROW, OTCQB: BLONF, Frankfurt: 4021) is pleased to announce the signing of its first Commercial Agreement.
GROW has granted a technology site license to US based Tumbleweed Farms a greenhouse grower for a patent protected CO2 Foliar Spray system. The technology site license term is perpetual. Engineering installation starts immediately for completion in January 2019. The date of the agreement is December 4, 2018.
Fees upon start-up will be paid monthly on a per square foot basis. Fees charged will cover engineering support, installation, monitoring and telemetry of GROW's Foliar Spray technology as well as the technology site license.
This US grower was more than satisfied with all of GROW's plant science research and commercial grow trial results so went directly to a commercial installation.
John Archibald, CEO, stated "This is the first of a series of expected Commercial Agreements in four plant verticals GROW is targeting for 2019 – indoor and outdoor cannabis, hemp, flowers and leafy vegetables in North America. While the revenues from this technology site license will be modest initially there is the potential for revenues to grow significantly over time".
About CO2 GRO Inc.
GROW's mission is to accelerate all indoor and outdoor value plant growth naturally, safely, and economically using its patented advanced CO2 Foliar Spray technologies. GROW's global target plant markets are retail food at $8 trillion per year (Plunkett Mar 2017) and retail non-food at an estimated $1.2 trillion per year with retail tobacco at $760 billion (BA Tobacco estimate), floriculture at $100 billion by 2022 (MarketResearch.Biz estimate) and legal cannabis at $50 billion per year by 2022 (Bay St. Analyst estimates).
GROW's CO2 technologies are commercially proven, scalable and easily adopted into existing irrigation systems. GROW's proven crop yield enhancements and revenue model are compelling for growers and Agri-industrial partners.
GROW's sole focus is working with its plant grower and Agri-industrial partners in proving and adopting its CO2 technologies for specific growers' plant yield needs.
The CO2 technologies work by transferring CO2 gas into water and foliar spraying water across the entire plant leaf surface area, which is a semi permeable membrane. The dissolved concentrated CO2 then penetrates a leaf's surface area naturally like nicotine naturally dissolves through human skin from a nicotine patch.
Foliar spraying of natural water, dissolved nutrients and chemicals on plant leaves has been used for over 60 years by millions of indoor and outdoor plant growers. To date, outdoor growers have not had any way to enhance plant CO2 gas uptake for faster growth.
Indoor use of CO2 gassing has enhanced plant yields for over 60 years. However, about 60% of the CO2 gas is typically lost through ventilation. Current greenhouse CO2 gassing levels of up to 1500 PPM are also not ideal for worker health and safety. GROW's safer infused CO2 foliar spray can be used by indoor and outdoor plant growers with minimal CO2 gas lost and much greater plant bioavailability resulting in higher yields.
Forward-Looking Statements This news release may contain forward-looking statements that are based on CO2GRO's expectations, estimates and projections regarding its business and the economic environment in which it operates. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. Therefore, actual outcomes and results may differ materially from those expressed in these forward-looking statements and readers should not place undue reliance on such statements. Statements speak only as of the date on which they are made, and the Company undertakes no obligation to update them publicly to reflect new information or the occurrence of future events or circumstances, unless otherwise required to do so by law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE CO2 GRO Inc.
For further information: please visit www.co2gro.ca or contact Sam Kanes, VP Business Development at 416-315-7477.