CO2 GRO Inc. Announces an Agreement with Rancho Nexo to Market CO2 Delivery Solutions(TM) in Mexico’s Protected Agriculture Market

Rhea-AI Summary

CO2 GRO Inc. (OTCQB: BLONF) has signed a renewable one-year agreement with Rancho Nexo to promote its CO2 Delivery Solutions™ technology in Mexico's protected agriculture market. This partnership aims to enhance sales and installations of the technology, which can potentially boost plant yields by up to 30% and profits by up to 100%. The Mexican market, covering 54,150 hectares, ranks as the second-largest globally in this sector. The agreement allows both companies to share net project revenues based on an agreed ratio.

Positive

• New agreement with Rancho Nexo to promote CO2 Delivery Solutions™ in Mexico's agriculture market.
• Potential to increase plant yields by up to 30% and profits by 100%.
• Access to a large market of 54,150 hectares, the second largest globally.

Negative

• None.

TORONTO, ON / ACCESSWIRE / June 2, 2021 / Toronto based CO2 GRO Inc. ("GROW") (TSXV:GROW)(OTCQB:BLONF)(FRA:4021) is pleased to announce that it has entered into an automatically renewable one-year Agreement (the "Agreement") with Rancho Nexo ("RanchoNexo") to market and support CO2 Delivery Solutions™ technology in Mexico's protected agriculture market. RanchoNexo is an Ontario and Mexico Corporation with Mexican associates carrying on the business of promoting largely Canadian technologies in the Mexican market.

Under the terms of the Agreement, the parties have agreed to enter into a long term Sales & Marketing Agreement providing RanchoNexo with use of CO2 Delivery Solutions™ technology for Mexico's protected agriculture market. RanchoNexo has the Mexican capabilities to sell, assist in engineering, installation and commissioning of GROW's CO2 Delivery Solutions™ systems.

RanchoNexo and GROW will account for all project revenues and costs to deliver each project including external engineering, contracting, procurement of products, site commissioning and related travel to produce a net project revenue that will be shared at an agreed upon ratio.

Mexico's Protected Agriculture Market Number Two Globally 

The Mexican protected agriculture market includes hoop, shade and tunnel grow houses as well as greenhouses, all of which can easily employ CO2 Delivery Solutions™ technology to increase plant yields by up to 30% and profits by up to 100%. According to SADER, Mexico's 2019 protected agriculture area was 54,150 hectares or 5.8 billion square feet. Mexico is the number two protected agriculture market globally after China's and similar in size to Spain's. The Mexican market is comprised of 46% shade houses, 28% tunnel houses and 26% greenhouses, mostly located in Sonora, Sinaloa, Jalisco and Michoacán states. Produce grown by acreage are, tomatoes by far first, bell peppers second, and cucumbers third with berry acreage rapidly increasing. All of Mexico's protected grow facilities can use GROW's CO2 Delivery Solutions™ misting technology regardless of heat venting requirements and facility porosity.

According to Ontario and Mexico City Mexico based RanchoNexo Principal Matt Grant "We were introduced to GROW during Canada's Q1 2021 Mexico Trade Commissioner Ag Tech Program and are delighted to now be representing GROW in Mexico via our Mexico Partner Jose Moreno. His engineering background, multi-disciplined Mexican staff and extensive network will help accelerate the sales and installations of CO2 Delivery Solutions™ systems enhancing the profitability of Mexico's protected growers."

Aaron Archibald stated "Our Mexico Trade Commissioner's Ag Tech Program was a very successful introduction and marketing event for us. Our participation in the program introduced us to a number of possible partners as well as growers and grower associations. After extensive discussions we agreed to partner with RanchoNexo. The opportunity to work with a 20 year veteran Ag tech professional like Matt Grant, his Mexico partner Jose Moreno and local professional team is an especially good fit for us as we enter Mexico's protected agriculture market. At 5.8 billion square feet it represents an enormous opportunity to market CO2 Delivery Solutions™ to protected agriculture growers, all of whom we believe can realize substantial benefits from employing our unique and patent protected technology."

Visit www.co2delivery.ca for more information on CO2 Delivery Solutions™ or  watch this video. To see a CO2 Delivery Solutions™ VCO2 system installation,  watch this video.

About Rancho Nexo (www.ranchonexo.com)

Rancho Nexo, based in Guelph, Ontario and Mexico City, Mexico is dedicated to connecting the world with the power of technology by bringing together innovators and global channel partners delivering technology to new markets. Rancho Nexo was founded by Matt Grant to help innovative tech companies reach broader markets in a shorter period of time. "We represent advanced technology firms in Latin American Markets and offer their innovative solutions to companies looking to revolutionize their performance".

About CO2 GRO Inc.

GROW's proprietary CO2 Delivery Solutions™ technology is revolutionizing the global 600 billion square foot protected agriculture industry (Cuesta Roble 2018). We create a saturated CO₂ solution that when misted onto plants provides growers that cannot gas with CO₂ the opportunity to increase plant yields by up to 30% and profits by up to 100%. Applying saturated CO₂ also suppressed the development of pathogens such as E.coli and powdery mildew, helping to reduce crop losses. GROW's CO2 Delivery Solutions™ is protected by a suite of patents and patents pending.

The worldwide market for GROW's disruptive CO2 Delivery Solutions™ technology is the 50 billion square feet of greenhouses and 550 billion square feet of protected agriculture facilities (Cuesta Roble 2018). Growers can maximize revenue and profits with our systems' low fixed and variable costs and ease of systems installation.

GROW's management is rapidly expanding its international marketing partner relationships into the EU, the UK, South Africa, the Middle East, South East Asia and Latin America as well as in its North American base.

GROW is committed to good Environment, Social and Governance (ES&G) policy and practices. We are an equal opportunity employer of choice and opportunity.

Our mission is to accelerate the growth of all value plants safely, economically, naturally and sustainably using our patented advanced CO2 Delivery Solutions™ while accreting value to our customers, stakeholders and shareholders.

Forward-Looking Statements

This press release contains statements which constitute "forward‐looking information" within the meaning of applicable securities laws, including statements regarding the plans, intentions, beliefs and current expectations of the Company with respect to future business activities. Forward‐ looking information is often identified by the words "may," "would," "could," "should," "will," "intend," "plan," "anticipate," "believe," "estimate," "expect" or similar expressions and include information regarding: statements regarding the future direction of the Company; the ability of the Company to successfully achieve its business and financial objectives; plans for expansion and the ability of the Company to obtain, develop and foster its business relationships; and expectations for other economic, business, and/or competitive factors. Investors are cautioned that forward‐looking information is not based on historical facts but instead reflect the Company's management's expectations, estimates or projections concerning the business of the Company's future results or events based on the opinions, assumptions and estimates that management considered reasonable at the date the statements are made. Such assumptions include but are not limited to: general business and economic conditions; the Company's ability to successfully execute its plans and intentions; the availability of financing on reasonable terms; the Company's ability to attract and retain skilled staff; market competition; the products and technology offered by the Company's competitors; and that good relationships with business partners will be maintained. Although the Company believes that the expectations reflected in such forward‐looking information are reasonable, such information involves risks and uncertainties, and undue reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements. Among the key factors that could cause actual results to differ materially from those projected in the forward‐looking information are the following: changes in general economic, business and political conditions, including changes in the financial markets; in particular, in the ability of the Company to raise debt and equity capital in the amounts and at the costs that it expects; adverse changes in applicable laws or adverse changes in the application or enforcement of current laws; the biotechnology industry and the greenhouse growers market are highly competitive, and technical advances in the industry will impact the success of the Company, and other risks described in the Company's filings that are available at www.sedar.com. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward‐looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. The Company does not intend, and does not assume any obligation, to update this forward‐looking information except as otherwise required by applicable law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For more information, please visit www.co2gro.ca or contact Michael O'Connor, Manager, Investor Relations at 604-317-6197 or michael.oconnor@co2gro.ca

SOURCE: CO2 Gro Inc.

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https://www.accesswire.com/650026/CO2-GRO-Inc-Announces-an-Agreement-with-Rancho-Nexo-to-Market-CO2-Delivery-SolutionsTM-in-Mexicos-Protected-Agriculture-Market

FAQ

What is the significance of CO2 GRO Inc.'s agreement with Rancho Nexo?

The agreement allows CO2 GRO Inc. to expand its market reach in Mexico, utilizing Rancho Nexo's local capabilities to promote CO2 Delivery Solutions™ technology.

How does CO2 Delivery Solutions™ technology benefit Mexican farmers?

It can potentially increase plant yields by up to 30% and profits by up to 100%, making it highly advantageous for growers in the protected agriculture sector.

What size is the protected agriculture market in Mexico?

The protected agriculture market in Mexico covers approximately 54,150 hectares, ranking as the second largest in the world.

What is the stock symbol for CO2 GRO Inc.?

The stock symbol for CO2 GRO Inc. is BLONF, which trades on the OTCQB.

How does the partnership with Rancho Nexo impact CO2 GRO Inc.'s revenue?

The partnership includes a revenue-sharing agreement for projects delivered, which could enhance CO2 GRO Inc.'s financial performance.