VIASPACE Press Release
SAMSUNG, GRASS AND 2008 FINANCIALS DISCUSSED BY VIASPACE CEO
WIDE RANGING INTERVIEW WITH THE WALL STREET REPORTER
PASADENA, CA-April 16, 2009-VIASPACE Inc. (OTC Bulletin Board: VSPC), an alternative energy company providing products and technology for renewable and clean energy, said its chief executive, Dr. Carl Kukkonen reviewed the company's business and financial progress and plans during a wide-ranging interview with the Wall Street Reporter which can be found at:
Referring to recent press releases about Samsung's new military fuel cell, Dr. Kukkonen pointed out that VIASPACE subsidiary Direct Methanol Fuel Cell Corporation (DMFCC) has been working with Samsung (based in Korea) for two years, but that Samsung had not previously publicly discussed the details of their fuel cell program. Dr. Kukkonen added, "Samsung's new fuel cell has been extensively tested by the U.S. Army, and that South Korea is a strong ally that works closely with the US Army. The Samsung military fuel cell with the VIASPACE/DMFCC cartridge is designed to be a general purpose external supply of electricity that can power and recharge many computing, communications and navigation devices carried by soldiers. The fuel cell system is designed for 72 hour operation with a weight less than one half that of the batteries needed for 72 hours performance. One of Samsung's strong points is that their fuel cell works upside down or in any orientation that a soldier may find himself in. Since military requirements are even more severe than commercial requirements, this experience should help Samsung in commercializing fuel cells for notebook computers and other applications. VIASPACE also provided Samsung with cartridges specifically designed for their notebook computer fuel cell."
Responding to a question about VIASPACE's proprietary, fast-growing Giant King Grass, Kukkonen stated that the grass can be used for both cellulosic low-carbon biofuels and as an animal feed for cows, pigs, poultry and fish. He said that the animal feed market is an immediate opportunity to generate revenues, so, VIASPACE does not need to wait for a cellulosic biofuel plant to be built before seeing income from its grass crops. Giant King Grass can be used to make cellulosic biofuels such as ethanol, methanol and green gasoline. About one third of the world's corn crop now goes to making ethanol in the US, and ethanol has been blamed as a major contributor to higher food prices and world hunger. Cellulosic biofuels are made from nonfood crop sources such as grass. BP has announced plans to build a cellulosic ethanol plant in Florida using grass as a feedstock. Toyota says that its new hybrid vehicles can be even greener if they are powered by cellulosic biofuels. VIASPACE has 100 acres of grass under cultivation now in Guangdong province China, and expects to have 300 acres by late in the summer. Additional projects in China and elsewhere in the world are under consideration.
Dr. Kukkonen said that the company filed its Annual Report on Form 10-K on March 31, 2009. "It provides a good description of the company's business and financials, and is available publicly, and on the company's website at http://www.viaspace.com/sec_filings.php". VIASPACE reported $1.4 million in revenue and $800,000 in gross profit for the year ending December 31, 2008. The company reported that it had $2.6 million in cash and equivalents at the end of 2008 and that it was cash flow positive from operations.
VIASPACE was the subject of a research report released in February by the Cohen Independent Research Group which gave VIASPACE stock a "STRONG BUY" recommendation and named a price target using their proprietary valuation model. The report describing the company and its potential is available at http://www.cohenresearch.com/,
Dr. Kukkonen concluded the interview by pointing out that VIASPACE does not make fuel cells, but rather makes the disposable fuel cartridges that provide the energy source for notebook computers, cell phones and other electronic devices powered by fuel cells. VIASPACE does not make biofuels, but does grow the grass needed as a feedstock for the biofuel factory. Both the grass and fuel cartridges represent renewable and alternative energy products with recurring revenue streams. The grass is perennial and can be harvested four times a year, and a fuel cell powered notebook computer is projected to use 100 disposable cartridges during its lifetime. The fuel cell is like the razor and disposable cartridges are like razor blades.
Using figures from Frost and Sullivan, it is projected that approximately five years after introduction of methanol fuel cell powered portable electronics, the cartridge market may be 3 billion units per year. Dr. Kukkonen stated, "This is why we are in the cartridge business."
About VIASPACE Inc.
VIASPACE is an alternative energy company providing products and technology for renewable and clean energy that reduce or eliminate dependence on fossil and high-risk-pollutant energy sources. The Company provides raw material for cellulosic biofuels and develops and markets fuel cell cartridges, products and technology. VIASPACE subsidiary Direct Methanol Fuel Cell Corporation owns a portfolio of fuel cell patents licensed from Pasadena-based California Institute of Technology (Caltech), which manages NASA's Jet Propulsion Laboratory, where the direct methanol fuel cell was invented. For more information, please see http://www.viaspace.com/ or contact Dr. Jan Vandersande, Director of Communications, at 800-517-8050 or IR@VIASPACE.com.
Safe Harbor Statement: Information in this press release and interview includes forward-looking statements. These forward-looking statements relate to future events or future performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. Such factors include, without limitation, risks outlined in our periodic filings with the U.S. Securities and Exchange Commission, including Annual Report on Form 10-K for the year ended December 31, 2008, as well as general economic and business conditions; changes in demand for the Company's products; competition from larger companies; changes in demand for alternative alternative energy; risks associated with international transactions; risks related to weather, crop damage and technological change; and other factors over which VIASPACE has little or no control.