Roots blossoms with early pot proof-of-concept results
Ag-tech innovator, Roots Sustainable Agricultural Technologies (ASX:ROO), this morning unveiled encouraging interim results for its world-first proof-of-concept to cool medical cannabis roots grown in a greenhouse in northern Israel.
Impressively, these results show a more than 25% vegetative growth increase and enlarged stem diameters on cooled root zone cannabis plants compared with uncooled control plants.
This proof-of-concept, which will wind up in November, is a collaboration with Canndoc Limited, one of Israel’s leading medical cannabis growers. ROO’s innovative Root Zone Temperature Optimisation (RZTO) technology is being used to cool the root systems of cannabis seedlings and stabilise temperature between scorching hot summer days and cooler nights.
These encouraging interim results look to offer sizeable value to farmers in the blossoming medicinal cannabis space — a market that’s expected to be worth up to $31 billion globally over the next four years.
Current pot prices in the Californian medicinal cannabis market sit at US$2-3 per gram. Given that, the Canndoc control crops have typically produced 600 grams of flowers per plant each growing cycle, making them worth US$1200-$1800.
It should be noted, however, that this is an early stage tech company and success is no guarantee. Investors should seek professional financial advice before making an investment.
The short video below was shot in the testing greenhouse, comparing the RZTO and control crop growth:
Roots CEO, Dr Sharon Devir, noted that these early results are very promising. “When you consider that most commercial cannabis greenhouses have thousands of plants, the increased yields, shortened growing cycles will add up to a significant financial benefit to farmers,” Devir said.
“It is one reason we were keen to get into the ag-tech sector providing micro-climate control equipment for the root zone area to growers in the medicinal cannabis market – which expects up to $31 billion in sales globally over the next four years.
“Like other high-value crops where quality is of paramount importance that we have done proofs-of-concept on, we’re finding that by applying our RZTO technology to keep root zones at optimum temperatures, we’re able to greatly increase yields and shorten growing cycles..
“So far in this summer pilot we have been able to keep the root zone of cannabis plants at more than 7 degrees below the root zones of the control crops. RZTO is providing increased protection against heat and stabilising the temperature range between night and day.”
The pilot will continue until November — only a couple of months from now — at which point ROO and Canndoc will examine the effects of root zone cooling on cannabinoid profile, content and composition, crop yield and weight, quality, uniformity, stem diameter and growing cycle duration.
In recent months, ROO has demonstrated how its disruptive technology can be used in everything from hydroponic lettuce growth and winter basil to the buzzing medical cannabis space, and these pleasing results make for a further confidence boost for its finely honed technology.
And investors seem to concur. On the back of this morning's news, ROO has been on a high, currently up 6% at 26.5 cents.
The past performance of this product is not and should not be taken as an indication of future performance. Caution should be exercised in assessing past performance. This product, like all other financial products, is subject to market forces and unpredictable events that may adversely affect future performance.
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of Maven Capital Pty Ltd (AFSL No. 418504). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.
Conflict of Interest Notice
S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.
The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.