IRVINE, Calif., Sept. 13, 2011 /PRNewswire/ -- VIASPACE Inc. (OTC Bulletin Board: VSPC), a clean energy company growing Giant King™ Grass as a low-carbon, renewable biomass crop and its subsidiary VIASPACE Green Energy Inc. (OTC Bulletin Board: VGREF), today announced that chief executive Dr. Carl Kukkonen was in Korea September 5 – 10 where he met with potential customers and business partners and made an invited presentation at the 2nd Biomass Pellets Trade Asia conference held in Seoul, Korea September 7-8, 2011. Dr. Kukkonen's presentation was entitled "Wood Pellets or Agricultural Pellets - Pluses and Minuses" and compared the technical issues, pellet availability and cost of wood pellets and agricultural pellets such as those made from Giant King Grass. The presentation is available on the VIASPACE website www.VIASPACE.com.
The Biomass Pellets Trade Asia conference covered the pellet demand in North Asia, supply outlook and government policy drivers for the use of pellets-- particularly in South Korea and Japan. Attendance was 130 people from Korea, Japan, Singapore, Indonesia, Malaysia, Thailand, Myanmar, China, Australia, New Zealand, Europe, Canada, and the US.
During the trip, Kukkonen met with pellet equipment manufacturers and with potential customers from Korea, Japan and Europe and with potential pellet production partners in several countries.
Kukkonen noted that the price for wood pellets delivered in Europe is $186 per metric ton. The conclusions from his presentation are given below:
- Global pellet demand is rising quickly from 16M metric tons/year to a projected 46M tons in 2020
- Wood pellets are the best technical alternative to coal but wood pellet supply is limited
- Sustainability requirements mean that rain forests should not be cut down in order to make wood pellets
- When the global economy recovers, the demand for wood waste for construction materials will increase, and wood pellet prices will rise
- As pellet demand increases, agricultural pellets, especially pellets from dedicated, sustainably grown energy crops will be in great demand
- Long-term contracts for pellets made from dedicated energy crop pellets will be attractive for customers
- Giant King Grass pellets will be the lowest cost because of high yield, year round production and simple logistics due to co-location of the plantation and pellet mill
- VIASPACE and JV partner are developing a 400,000 mt/y Giant King Grass plantation and pellet mill in Dominican Republic for European market
- VIASPACE is examining opportunities to grow & pelletize Giant King Grass in Southeast Asia for the Asian market