VIASPACE Announces Major Upgrade To Produce And Sell Giant King Grass Pellets In Asia. Will Generate Revenue And Serve As Working Demonstration Site For Customers.
MARIETTA, Ga., April 23, 2012 /PRNewswire/ -- VIASPACE Inc. (OTC Bulletin Board: VSPC), and its subsidiary VIASPACE Green Energy Inc. (OTC Bulletin Board: VGREF) today reported that the company has installed state-of-the-art pellet production equipment at its plantation site in Southern China.
The company has purchased a 2 ton/hour pellet mill from one of the largest, well-known and reputable pellet mill manufacturers. The pellet mill is expected to be operational and producing Giant King™ Grass ("GKG") pellets in May and the company will begin selling pellets in the Asia market shortly thereafter. Management expects to initially produce and sell up to 10,000 tons of pellets per year which could generate up to $1.6 million of additional annual revenue ($160 per ton at current prices). The pellet operation is expected to generate significant gross profits for the company. In addition, the company has capacity to add an additional pellet mill line within the next 12 months to increase annual output to 30,000 tons per year in order to help fulfill the demand for pellets in Asia. Pellets from China will be available for large scale samples for European customers as well.
VIASPACE CEO Dr. Carl Kukkonen remarked, "We are seeing a strong demand for pellets in Asia and particularly in China where the government has mandated the use of more eco-friendly solutions to coal burning. I have also received inquiries worldwide for pellets using alternatives to wood pellets, and our GKG pellets are the answer. The site in China will be a live demonstration for prospective customers from other countries who want to see a GKG plantation site integrated with fully functional pellet production equipment. At the same time, we will be generating sales and positive cash flow for the company selling domestically in China."
About VIASPACE Inc.
VIASPACE is a clean energy company providing products and technology for renewable and alternative energy that reduce or eliminate dependence on fossil and high-pollutant energy sources. Through its majority-owned subsidiary VIASPACE Green Energy Inc., the Company grows Giant King Grass as a low-carbon fuel for electricity generating power plants, as a feedstock for bio methane production and cellulosic biofuels, and for other low-carbon, renewable energy products. For more information, please go to www.VIASPACE.com or contact Dr. Jan Vandersande, Director of Communications, at 800-517-8050 or IR@VIASPACE.com.
Safe Harbor Statement
Information in this news release includes forward-looking statements. These forward-looking statements relate to future events or future performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. Such factors include, without limitation, risks outlined in our periodic filings with the U.S. Securities and Exchange Commission, including Annual Report on Form 10-K for the year ended December 31, 2011, as well as general economic and business conditions; the ability to acquire and develop specific products and technologies; changes in consumer and business demand for the Company's products; competition from larger companies; changes in demand for alternative and clean energy; risks associated with international transactions; risks related to technological change; and other factors over which VIASPACE has little or no control.
SOURCE VIASPACE Inc.