VIASPACE Sees Major Market for Giant King Grass in India

IRVINE, Calif., April 6 /PRNewswire-FirstCall/ -- VIASPACE Inc. (OTC Bulletin Board: VSPC), a clean energy company growing Giant King™ Grass as a low-carbon, renewable energy crop, sees a large market opportunity for its Giant King Grass in India, where increasing use of agricultural waste and rising prices are causing biomass electrical energy providers to seek other less costly and more reliable sources of fuel.

Chief Executive Dr. Carl Kukkonen recently returned from business meetings with eight biomass energy companies in India. He also made an invited presentation and served on two special interest panels at the World Renewable Energy Technology Congress held March 18-20 at the Le Meridien Hotel in New Delhi.

Kukkonen remarked that biomass power plants in India use agricultural waste such as rice husks, mustard plants, corn straw, cotton straw and many other crop leftovers as fuel. However, due to increasing demand for these materials, agricultural waste is becoming scarce, and prices are rising dramatically. In addition, agricultural waste is seasonal, and its quality as a fuel source varies depending on what crop is available. As a result, power plant owners are aggressively seeking alternative, reliable and lower-cost sources of renewable biomass for fuel.

"I believe this condition has created an attractive opportunity for Giant King Grass to meet the needs of this large market for renewable energy," Kukkonen stated. "The fuel quality of Giant King Grass is superior to current materials being used. The climate in India is also great for growing Giant King Grass, which can be planted and harvested continuously. This 'just-in-time' advantage means simpler fuel logistics and less biomass storage. And based on our experience with cultivating Giant King Grass, it can be grown in India at a lower price than they currently pay for agricultural waste."

According to Kukkonen, one of the Indian companies has already visited the Company's grass operation in China, and confidentiality agreements have been signed with several companies in order to proceed with further steps in business discussions.

India plans to very significantly raise its total output of electric energy. India's population of 1.2 billion people is four times that of the United States; however, India uses only about one-tenth the electricity per capita compared to the United States. An Indian official at the Congress stated that the country's goal is to initially provide electricity to its 40% of poor citizens, and then raise the country's electricity use to near Western country levels, which would require a 40-fold increase in electricity output. However, to achieve that goal using fossil fuels, India's fuel consumption and carbon emissions would be 40 times higher than it is today and generate four times the carbon emissions of the United States. India plans to use large amounts of renewable and low carbon energy to meet its electricity goals.

To promote the use of renewable, low-carbon energy, India provides guaranteed subsidies for electricity generated from biomass and other renewable, low carbon emitting sources. The country already has many direct combustion biomass power plants in the size of 5 to 20 megawatts, and biogas power plants of about 1 to 2 MW each. In addition to the government subsidies, these power plants earn carbon credits which add a substantial amount to their profitability.

Kukkonen's presentation at the Congress was entitled "Giant King Grass for Biomass Electricity Generation, Biogas Production and Cellulosic Biofuels". The presentation provides an update on Giant King Grass and is available to download on the lower right-hand side of the homepage of the VIASPACE website www.VIASPACE.com. The Congress was sponsored by the Oil and Natural Gas Corporation Ltd. (ONGC), the Indian national oil and gas company, and by other companies. There were more than 500 attendees from 26 countries.

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 and as a feedstock for cellulosic biofuels. For more information, please see www.VIASPACE.com or contact Dr. Jan Vandersande, Director of Communications, at 800-517-8050 or [email protected].

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, 2009, 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.