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CubicFarm Systems Announces FreshHub Validation Project Update
Wednesday, November 16, 2022Company Profile | Follow Company
Langley, BC, November 16, 2022--(T-Net)--CubicFarm Systems Corp. (TSX: CUB), a leading agricultural technology company, has announced the preliminary results from Phase II of its project to validate its larger FreshHub configuration.
CubicFarms' FreshHub System are a configuration of 96 modules occupying one acre with the potential to replace 100 acres of outdoor growing space.
CubicFarms says it has completed Phase II of its project for the commercial validation of its larger FreshHub configuration using CubicFarm Systems' patented technology.
CubicFarms recently completed its first successful harvest from the FreshHub configuration prototype project with two machines at its research and development facility in Langley, BC.
Prior to conducting Phase II testing, CubicFarms was targeting a viable cultivation output weight of 32 kg per machine per day of lettuce, with a target of this output level achieving a 20% return on invested capital in order to validate commercial earnings by the end of Phase III.
The recently completed harvest achieved a maximum weight of 40 kg per machine, per day equivalent for a specific test configuration. On the basis of the data collected from this phase, the Company believes that there are many process optimizations that can further increase output per machine, per day.
Based on the Phase II cultivation output, the Company expects that the commercial earnings targets of FreshHub remain achievable, in particular that the larger FreshHub configurations will be able to achieve or outperform the target objective of a return on invested capital of 20%.
John de Jonge, Interim Chief Executive Officer, CubicFarms
John de Jonge, Interim Chief Executive Officer of CubicFarms, stated, "I am very excited about the outcome of Phase II of our FreshHub validation project. The results are extremely promising, and I believe there is a clear path to commercialization for the FreshHub project alongside the current focus on our HydroGreen division."
Daniel Burns, Chair of the Board of Directors and Special Committee, added, "The FreshHub prototype project can demonstrate the potential for at-scale success of the patented CubicFarms technology, bringing the approach from a small-farm agriculture solution to an industrial-scale solution competitive with field-grown produce."
Phase III of the validation project will include three sub-phases, of which Phase III - A is currently underway:
Intention |
Target Commercial Outcome |
Progress |
|
Phase I |
Proof of concept using latest CubicFarm System technology |
Build and manufacture the FreshHub prototype modules |
Complete |
Phase II |
Validate produce output |
Growing the volume of produce necessary at scale and quality to run a FreshHub operation |
Complete; validation achieved |
Phase III - A |
Validate commercial earnings |
Optimize output for crops from the first harvest |
Targeting November 2022 |
Phase III - B |
Grow at least one alternative crop type (beyond lettuce) |
Targeting December 2022 |
|
Phase III - C |
Confirmation and validation of economics on the basis of optimized saleable product outcomes |
Targeting February and March 2023 |
About HydroGreen
HydroGreen's Automated Vertical Pastures™ technology utilizes a unique process to sprout grains, such as barley and wheat, in a controlled environment with minimal use of land, labour and water. HydroGreen's fully automated indoor growing technology performs all growing functions including seeding, watering, lighting, harvesting, and re-seeding - all with the push of a button - to deliver nutritious fresh forage for livestock without the typical investment in fertilizer, chemicals, fuel, field equipment, and transportation. Automated Vertical Pastures™ not only provide superior nutritious feed to benefit the animal but also enable significant environmental benefits to the farm.
About CubicFarms
CubicFarms is a leading local chain agricultural technology company developing and deploying technology to feed a changing world. Its proprietary ag-tech solutions enable growers to produce high quality, predictable produce and fresh livestock feed with HydroGreen Nutrition Technology, a division of CubicFarm Systems Corp. The CubicFarms™ system contains patented technology for growing leafy greens and other crops onsite, indoors, all year round. CubicFarms provides an efficient, localized food supply solution that benefits our people, planet, and economy.
This release may contain certain "forward-looking statements" or "forward-looking information" under applicable securities laws. Forward-looking terms such as "may," "will," "could," "should," "would," "plan," "potential," "intend," "anticipate," "project," "target," "believe," "plan," "outlook," "estimate," or "expect" and other words, terms and phrases of similar nature are often intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Forward-looking statements are based on certain key expectations and assumptions made by the Company. Although management of the Company believes that the expectations and assumptions on which such forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. [ MORE ] |
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