BOULDER, Colorado, July 25, 2016 /PRNewswire/ --
Surna Inc. (OTCQB: SRNA), a technology company that engineers state-of-the art equipment for controlled environment agriculture (CEA) with special expertise in cannabis cultivation, signed a contract valued at $1.0 million with the general contractor for Rolling Farms, LLC. Surna began recording revenue in the second quarter of 2016. Upon receipt of payment, Surna will provide its complete climate control solution and system integration support.
Brian Lade is an advisor to Rolling Farms, LLC and the owner of The Clone Zone, LLC in Smokey Point, WA. The Clone Zone has relied on Surna's climate control system for the last two years and has become one of Washington's highest performing producers. Lade reports the consistent quality of his crops has created strong demand for his Smokey Point Productions (SPP)-branded products. Rolling Farms, LLC - a new 100,000 square foot cultivation facility that will be completely Surna equipped and grow the SPP-brand - expects to begin operations in a few months.
Lade stated, "I am passionate about producing top quality cannabis. With Surna equipment, my company achieves the same controlled environments in each grow room, resulting in efficient process management and reduced operating expenses, while yielding a large quantity of high quality product. Many thanks to Surna for superior equipment and customer service."
Washington State i502 Recreational Marijuana Sales provides market data. Based on 2016 year-to-date sales through May, The Clone Zone is ranked as the thirteenth largest producer in the state from a field of more than 700, despite being a smaller operation with only four thousand square feet of canopy. Additionally, The Clone Zone was the 2015 Top Clone Producer with 24% of production. 502data.com
Brandy Keen, Surna's VP of Sales, stated, "Washington State legalized recreational cannabis in 2014 and appears to be entering its second wave of investment. Having established a strong foothold in Washington State and a solid reputation, we are excited to increase the number of referrals and return customers. We continue to secure orders based upon customers' prior experience with Surna, which we believe validates efficacy of our equipment. We are proud to be part of what The Clone Zone/SPP has accomplished, and we look forward to helping other growers achieve similar results."
Surna Inc. (http://www.surna.com) develops innovative technologies and products that monitor, control and or address the energy and resource intensive nature of indoor cannabis cultivation. Currently, the Company's revenue stream is based on its main product offerings - supplying industrial technology and products to commercial indoor cannabis grow facilities.
Headquartered in Boulder, CO, Surna's diverse engineering team is tasked with creating novel energy and resource efficient solutions, including the Company's signature water-cooled climate control platform. The Company's engineers continuously seek to create technology that solve the highly specific demands of the cannabis industry for temperature, humidity, light and process control.
Surna's goal is to provide intelligent solutions to improve the quality, the control and the overall yield and efficiency of CEA. Though its clients do, the Company neither produces nor sells cannabis.
Forward Looking Statements
This press release contains forward-looking statements regarding the Company's future business expectations, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are only predictions and may differ materially from actual results due to a variety of factors including Surna's ability to recognize revenue related to the Smokey Point Productions (SPP) contract and monetize service components, Surna's support of premium prices for existing products, commercialization of research and development efforts and continued expansion of legal cannabis markets. Other risks and uncertainties include, among others, risks related to new products, services, and technologies, government regulation and taxation, and fraud. In addition, the current global economic climate amplifies many of these risks. More information about factors that potentially could affect Surna's financial results is included in Surna's filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and subsequent filings. The Company cautions readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. The Company disclaims any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.
Statement About Cannabis Markets
The use, possession, cultivation, and distribution of cannabis is prohibited by federal law. This includes medical and recreational cannabis. Although certain states have legalized medical and recreational cannabis, companies and individuals involved in the sector are still at risk of being prosecuted by federal authorities. Further, the landscape in the cannabis industry changes rapidly. What was the law last week is not the law today and what is the law today may not be the law next week. This means that at any time the city, county, or state where cannabis is permitted can change the current laws and/or the federal government can supersede those laws and take prosecutorial action. Given the uncertain legal nature of the cannabis industry, it is imperative that investors understand that the cannabis industry is a high-risk investment. A change in the current laws or enforcement policy can negatively affect the status and operation of our business, require additional fees, stricter operational guidelines and unanticipated shut-downs.
Katie O'Block, VP of Marketing, [email protected], +1-303-993-5271 ext. 101
Kirsten Chapman, LHA Investor Relations, +1-(415)-433-3777, [email protected]
SOURCE Surna Inc.