Giant Miscanthus

Costs and Revenues

Economics of Growing Freedom Giant Miscanthus

Establishment Costs

Up-Front One-Time Fees

Rhizome Material: $1,250 per acre
(5,000 rhizomes/acre)(volume discounts available)
Grower License Fee: $100 times the number of licensed acres

In addition, we offer optional planting services for $250 per acre.

Annual Royalties

Royalties are paid on all planted acreage on a yearly basis. Royalties are $45 per acre with the minimum royalty being $2,000 per Grower License, per contract year. Royalty payments begin at the end of the 2nd year of growth.

BCAP Incentives

Under the Biomass Crop Assistance Program (BCAP) , the USDA and FSA is providing significant incentives to encourage eligible growers to convert idle land to productive acreage. Some of the illustrations below incorporate BCAP incentives into the numbers.

BCAP provides:

>Payments of up to 75% of establishment costs
>Annual payments for up to 5 years for establishment
>Dollar-for-dollar matching payments at time of sale (of up to $45/ton) for the first two years

Estimated Annual Return on Established Stand After Yr 4

Above estimates are based on a non-irrigated, registered field grown from certified foundation stock. Harvested product sold in bale form at a price of $60 per delivered ton–average radius of 30 miles.

Estimated Net Annual Establishment (Cost)/Income

4 Year Estimated Establishment Costs + BCAP (per acre)

Total 4 Yr Estimated Investment in Freedom (per acre)

Above establishment estimates are based on a registered field designated as contract acreage under BCAP, cleared and bedded land with minimal noxious weeds, medium NPK fertilities levels and normal pH range.

Giant Miscanthus-Rhizomes and growing program

For A Print Version of the Above:

Disclaimer: Estimates here are based on historical data and are in no way guarantees. Your results may differ from the historical data. All information, projections and estimates herein are for informational and advertising purposes only, are subject to change without notice, and are non-binding in all respects. REPREVE Renewables, LLC makes no representation, warranty, or guarantee of any kind with respect to: (i) any volume of sales; or (ii) the level of marketing, advertising, promotion, and/or other support that REPREVE Renewables, LLC will devote to the FREEDOM™giant miscanthus licensing program. this marketing brochure may not be construed as an offer to license to you. this marketing brochure does not represent, sell, or offer to sell, nor does REPREVE Renewables, LLC sell or offer to sell to you, any franchise or “business opportunity” as defined under any state or federal laws.