CubicFarms Announces $2.7 Million HydroGreen Sales Commitments in British Columbia

Nov 16, 2021 | Press Releases

Pioneering Dairy Leaders Join HydroGreen Certified Dealer Network

VANCOUVER, B.C., November 16, 2021 – CubicFarm® Systems Corp. (“CubicFarms” or the “Company”) (TSX:CUB), the leader in local chain ag tech, today announced a new HydroGreen Certified Dealer with initial sales commitments valued at CAD$2.7 million. Total sales commitments to date from the HydroGreen Certified Dealer Network include over 98 modules in 2022, valued at over CAD$20.2 million.

The new dealer, HydroGreen CanWest, is a 50/50 joint venture between Bill Vanderkooi, MSc., founder of Nutriva and owner of Nutritech Solutions, a livestock technology company, and Ryan de Lange, owner of J&D Farmers Dairy Service, a leading supplier of dairy automation technology. HydroGreen CanWest signed a letter of intent (“LOI”) to become a member of the HydroGreen Certified Dealer Network. In aggregate, HydroGreen CanWest has committed to an initial 18 HydroGreen Grow System modules under contract by the end of 2022.

An experienced dairy owner and operator, Bill Vanderkooi installed the first HydroGreen Grow System in Canada in 2018 and has since expanded to four systems at the EcoDairy in Abbotsford, British Columbia. “Installation and integration with HydroGreen were easy,” said Vanderkooi. “The EcoDairy feed supply is consistent and reliable, every day. Beef cattle finish better and earlier, and dairy cows perform better when fed HydroGreen feed.”

Vanderkooi’s Nutriva Group consists of grassroots companies dedicated to promoting health and wellbeing by commercializing innovations through partnerships in the dairy, egg, and beef industries. They are driven by their commitment to a healthy planet, with key partnerships and strong customer relationships.

The EcoDairy is known for showcasing industry-leading technologies contributing toward a net-zero emissions future for farms. Underscored by the recommendations of forward-thinking early adopters, the EcoDairy is a working dairy farm featuring automated robot milking devices, a green energy solution digester, and the HydroGreen indoor fresh livestock feed growing solution.

“Ongoing research trials are underway on the nutrition, health, and wellbeing of grass-fed beef and dairy cows,” said Vanderkooi. “We’re looking at replacing grain and/or forage in the dairy herd, analyzing milk yield, and overall animal health and performance. Things like reproductive performance on the dairy side has a lot of promise and ongoing trials are showing the difference between cows fed HydroGreen or not.”

“I’ve established trusted relationships with dairies by consistently identifying and delivering innovative new technologies that maximize benefits to the farmers and their herds,” said Ryan de Lange, a third-generation dairy farmer with 20 years of experience as a DeLaval milking robot dealer. “We’re excited to bring the HydroGreen indoor growing technology to dairy farms to experience not just how much the cows love to eat it but also better nutritional, health, and animal performance. For many dairies, sourcing enough high-quality feed is an ongoing challenge. The HydroGreen Grow System provides farmers with land savings and dairies with improvements for close up cows and peak milk production.”

“As pioneers in the dairy and beef cattle industry, we’re thrilled to officially welcome our long-time supporters Bill Vanderkooi and Ryan de Lange as HydroGreen CanWest to our HydroGreen Certified Dealer Network,” said Dan Schmidt, President, HydroGreen. “They have been our leading demonstration location in Canada. Expanding the operations and research data collection has been instrumental in measuring the benefits of using HydroGreen livestock superfeed. Their ability to provide the firsthand experience of both a demonstration site with four modules and having seen the animal benefits over the past several years makes them truly unique in our dealer network and well-positioned to showcase HydroGreen in the province of British Columbia.”

“Canadian farmers were using robots to milk cows before most people had desktop computers,” said Dave Dinesen, Chief Executive Officer, CubicFarms. “Farmers need the latest innovations in technology to continue growing profitably and sustainably. With the powerful combination of Bill’s direct experience growing with HydroGreen and Ryan’s leadership in implementing innovative on farm solutions, we’re confident HydroGreen CanWest will successfully bring this indoor growing technology solution to new customers in the beef and dairy industries in this part of the world where it is so needed.”

About CubicFarms

CubicFarms is the leading local chain agricultural technology company developing and deploying technology to feed a changing world. Its proprietary ag-tech solutions enable growers to produce high quality, predictable produce and fresh livestock feed with HydroGreen Nutrition Technology, a division of CubicFarm Systems Corp. The CubicFarms™ system contains patented technology for growing leafy greens and other crops onsite, indoors, all year round. CubicFarms provides an efficient, localized food supply solution that benefits our people, planet, and economy.

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On behalf of the Board of Directors

“Dave Dinesen”

Dave Dinesen, Chief Executive Officer

This release may contain certain “forward-looking statements” or “forward-looking information” under applicable securities laws. Forward-looking terms such as “may,” “will,” “could,” “should,” “would,” “plan,” “potential,” “intend,” “anticipate,” “project,” “target,” “believe,” “plan,” “outlook,” “estimate,” or “expect” and other words, terms and phrases of similar nature are often intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Forward-looking statements are based on certain key expectations and assumptions made by the Company. Although management of the Company believes that the expectations and assumptions on which such forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct.

These forward-looking statements are based on certain assumptions that the Company has made in respect thereof as at the date of this press release regarding, among other things, the negotiation of a definitive agreement in respect of the transactions contemplated by the LOI on satisfactory terms.

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