Roots Sustainable Agricultural Technologies Limited (ASX:ROO) has started installing more than 1,000 heat exchange probe units at the My Green Fields cannabis farm in Northern Israel.
This is the first deployment of Israeli‐manufactured heat exchange probes on a large commercial scale.
By streamlining the supply chain and reducing shipping costs, Roots has transitioned production of its heat exchange probe technology from China to Israel, allowing the company to expedite production and installation, as well as significantly increase its profit margin with each sale.
Closing in on sales contracts
Roots executive chairman and chief executive officer Boaz Wachtel said: “Commencing production of our technology in Israel is an important step for Roots.
“We are confident that this strategic decision will allow us to aggressively pursue opportunities with a range of commercial growers.
“Following recent regulatory shifts, management is closing in on a number of sales contracts with cannabis cultivators in Israel, the USA and Europe.
“We are also making strong progress with the company’s plant‐based meats division and look forward to updating shareholders very soon on some exciting progress.”
Installation to complete within a week
Roots expects to complete the installation of the heat exchange probes at the My Green Fields cannabis farm within a week with the technology to be deployed to specifically assist in the clone production room and throughout the farm’s flowering room.
This system will use existing heat pumps and water tanks to supply hot or cold water as needed, based on plant root temperatures.
The heat exchange probe is designed to be inserted into the tops of the cannabis pots and grow bags to significantly simplify working procedures and lower the installation costs of the company’s proprietary Root Zone Temperature Optimisation (RZTO) technology.
RZTO technology optimises plant physiology for increased growth, productivity and quality by stabilising the plant’s root zone temperature year around.
Optimal root zone temperature is known to be the most influential parameter in plant's physiology besides water.
Increase cannabis yield
Its heat exchange probe has previously increased cannabis yields by 20% or more, with THC levels rising or kept in similar ranges.
Roots anticipates more sales to materialise in the near term to cannabis cultivators in Israel and other regulated markets.