El Paso, Texas
March 13, 2008
Valcent Products Inc. (OTCBB: VCTPF) -- Data from its fully
operational field test plant has confirmed commercial production
potential with several companies expressing interest to build
out commercial plants on a joint venture basis. A commercial
module of one-eighth acre (5,445 square feet) is estimated to
have capital costs of $565,000; using a wholesale price for
leafy lettuce of $1.10 per head, may have gross annual revenues
in excess of $1,300,000 with earnings before tax of
approximately $505,000 supporting management's estimated 89%
internal rate of return over 10 years.
Valcent's High Density Vertical Vegetable Growing System (VGS)
has now been operating over the last six months and has produced
leafy lettuce, micro greens, spinach, herbs, mints, beets,
strawberries, wheat grass, alfalfa and other grains. During this
period, the system has proven production capabilities on
average, of approximately 20 times the amount of vegetables per
acre grown in a field while requiring only 5% of the water used
for field crops. The VGS system will be sold in one-eighth acre
modules that contain 1,320 grow panels and the production
modules may be scaled, depending on the growers' output and crop
diversity requirements.
VGS will be a continuous production system. Plants can be
simultaneously harvested and planted with no interruption to the
process. Recent development of the vertical panels and packaging
will make it possible to deliver live produce to the consumer,
ensuring the highest quality of nutrition and taste. For example
lettuce that is picked in a field loses 50% of its nutritional
value within 24 hours, yet delivery from a distant field may
take a week to reach the consumer, with even a larger
nutritional loss.
The system is fully automated by computer monitoring and
operating systems which control the rate of movement of the
vertical growing panels, water pumps, sterilization, and the
deployment of nutrients, the ambient temperature, and ph levels.
The system also uses no herbicides or pesticides. The VGS system
does not require arable land and can be sited in urban, suburban
or even desert areas, thus providing fresh, highly nutritious
vegetables to large markets with virtually no transportation
costs eliminating transportation fuel expense and related
pollution.
Glen Kertz, Valcent's President and CEO commented, "The world
today requires high density, renewable, highly nutritional crop
technologies that do not require high volumes of water that can
be deployed on non-arable land for localized consumption at a
reasonable cost to the consumer, as well as reduce the negative
impact of transportation in food production and distribution."
Valcent owns 100% of the High Density Vertical Growth System
subject to royalties of 4.5%.
Algae Vertical Bioreactor
The research and development team of Valcent Products Inc. has
now completed twelve months of the algae vertical bioreactor
development program. During a 90-day continual production test,
algae was being harvested at an average of one gram (dry weight)
per liter. This equates to algae bio mass production of 276 tons
of algae per acre per year. Achieving the same biomass
production rate with an algal species having 50% lipids (oil)
content would therefore deliver approximately 33,000 gallons of
algae oil per acre per year.
The primary focus of the 90-day continuous production test was
determining the robustness of the field test bed. Other
secondary tests were also conducted including using different ph
levels, C02 levels, fluid temperatures, nutrients, types of
algae, and planned system failures. It is important to note that
the system has not been optimized for production yields or the
best selection of algae species.
The next phase of development will include increasing the number
of bio reactor units from 30 to 100 and then continuing a number
of production tests that may further increase production as well
as initiating various extractions and harvesting tests. Final
engineering is being completed at this time with construction of
the 100 panel Bioreactor to begin soon. Subsequently, a one acre
pilot plant will also be built.
The algae vertical bioreactor technology is being developed
jointly with Global Green Solutions Inc whereby both Companies
own a 50% interest which is subject to a 4.5% royalty.
Both the High Density Vertical Vegetable growing technology and
the Algae Vertical Bioreactor technology have been featured in
news stories on MSNBC, CNN, FOX News, and ABC news as well as
numerous print and internet articles.
Valcent Products Inc. (OTCBB: VCTPF) develops highly
innovative consumer and industrial products and processes for
global markets. Valcent is a pioneer and leader in ecotechnology
with its core R&D focus on sustainable, renewable, and intense
growth of agricultural products. Valcent also owns 50% of the
Vertigro Joint Venture, which has developed algae production
technology initially intended for an oil bio fuel feed stock All
Valcent products and processes have patents or patents pending
on integral technologies. For more information, visit:
www.valcent.net.
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