EcoSystem Corporation (OTC Bulletin Board: ESYM) today announced its execution of an Early Adopter License Agreement (the "License") with GreenShift Corporation (OTC Bulletin Board: GERS) for GreenShift’s Cellulosic Corn™ technologies.
The License calls for the payment of royalties to GreenShift equal to 10% of EcoSystem's pre-tax net income deriving from the use of GreenShift’s feedstock conditioning, lipid production technologies, and carbon dioxide reformation technologies. GreenShift’s patent-pending corn oil extraction technologies are excluded from the License. The License additionally calls for EcoSystem to sell all algal and other microbial lipids that EcoSystem produces but does not directly refine into biofuel to GreenShift at 60% of the price of diesel fuel at the time of shipment.
The corn ethanol industry contributed over $65 billion to the GDP by offsetting 7% of America's fossil fuel needs in 2008. EcoSystem intends to prove that corn has much more to add by developing and using new technologies to increase yield, decrease cost and diversify risk. EcoSystem’s ambition is to acquire and upgrade traditional corn ethanol plants with Cellulosic Corn™ technology and demonstrate the path to revitalization of the ethanol industry.
EcoSystem’s portfolio of patented and patent-pending Cellulosic Corn™ technologies are designed to achieve the following key goals:
Increase the net energy balance of biofuel derived from corn; Increase profitability of corn ethanol; Decrease amount of petroleum burned to make corn derived biofuel; Increase the nutritional content of corn ethanol co-products; Reduce, reuse and recycle the carbon emissions of corn ethanol production; Diversify the biomass mix accepted and produced by traditional corn ethanol facilities; Decrease the commodity and financial risk profile of corn ethanol; Standardize corn-friendly cellulosic technology by building on the existing corn ethanol complex; and, Enhance the competitive positioning of corn ethanol in the domestic and global markets. EcoSystem is entitled under the License to use Cellulosic Corn™ technology on a royalty-free basis in its first 100 million gallons per year of corn ethanol production facility (if successfully acquired).
“GreenShift has developed a number of technologies that need access to resources for commercialization support,” said David Winsness, GreenShift’s Chief Technology Officer. “While we have no intention of committing focus or capital to anything but the commercialization requirements of our patent-pending corn oil extraction technologies, our other technologies have the potential to deliver value to the corn ethanol industry for the mutual benefit of our ethanol partners and our shareholders. The License with EcoSystem can allow this to occur.”
About EcoSystem Corporation
EcoSystem’s ambition is to become a leading low cost and low carbon producer of renewable fuels by acquiring and upgrading existing corn ethanol facilities with technologies designed to increase the yield and to reduce the energy and carbon intensity of refining fuel out of corn.
This is history back when it was ESYM. Nothing new here and still no income. 10% of nothing is still nothing. IT all sounds so good on paper as if they were going to really do something and is quite impressive to those that dont know better. Of course things could change but this one doubts it.