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_mmech

08/29/14 8:33 AM

#27746 RE: rodman #27745

My question becomes why rent when you can own? Kman wants an annual royalty fee for GKG, whereas I can buy miscanthus at $700 per acre and it's mine forever. The <15 vs 17year life cycle is irrelevant because I can propagate all the rhizomes I want (again, I own the plants with no royalties required)

You argue that GKG has more economic value, but as far a I know, Kman has never released any costing for an acre of GKG.

VSPC needs to tell their MOUs what my father-in-law once told me-"the test drive is over, it's time to buy the car"

BreakingGood

08/29/14 2:50 PM

#27747 RE: rodman #27745

One of the major issues here is that land owners are prioritizing the use of the land for the food and other crops that they tend to market. Agricorp is willing to consider growing GKG because they have 4,000 acres that they cannot grow their rice crops on. Many land owners are already producing energy from the remainders and waste their land already produces or are willing to sell it cheap to those who want it. The implication is that GKG will only be considered by owners of land that is not already dedicated to something else and can find a use or customer for GKG. I suspect these constraints greatly limit GKG's opportunities. The proof is how how much trouble Mr. Irshad is having at signing customers. Look also at how VSPC has not been able to find anyone willing to really create a plantation to grow GKG as animal feed for sale.