WALNUT Calif., April 17, 2013 /PRNewswire/ -- VIASPACE Inc. (OTCQB: VSPC) today announced that CEO Dr. Carl Kukkonen met with Grain Hill CEO and Board President, Amilcar Ybarra-Rojas and his team in Nicaragua last week. VIASPACE had previously entered into a contract with Grain Hill subsidiary and is growing Giant King Grass on land owned by them. The Giant King Grass is growing well in Nicaragua, and VIASPACE and AGRICORP have agreed to form a partnership to build a 12 MW biomass power plant fueled by Giant King Grass.
AGRICORP is a subsidiary of Grain Hill which is a diversified agro-industrial business group in the following food related businesses: agriculture-mainly growing rice, food processing, mainly rice milling, and distribution of its own 12 brands of rice, and value added food products, and third-party brands. It has revenues of $300 million per year with operations in Nicaragua, Costa Rica and El Salvador. Grain Hill/AGRICORP is the largest rice company in Nicaragua with 65% market share.
Giant King Grass is being grown on part of a 10,000 acre AGRICORP farm near Lake Nicaragua. 6,000 acres of the farm are currently cultivated with rice and irrigated with water from Lake Nicaragua. An AGRICORP rice mill is co-located on the farm which would also be the site of the power plant. The rice mill produces rice husk as waste which would also be used as a small portion of the biomass fuel for the power plant.VIASPACE and AGRICORP are satisfied that the Giant King Grass grows well on the AGRICORP plantation, and plan to expand the nursery in May to support the 2100 acre Giant King Grass plantation needed to fully fuel the 12 MW power plant.