Surna Cultivation Technologies Secures Letter of Intent from Greene Brothers Farm for a Potential $10 Million in Revenues
Agreement Includes Five Phases of Development with the First Phase Contract Signed for $1.2 Million
Louisville, Colorado, June 21, 2022 (GLOBE NEWSWIRE) -- CEA Industries Inc. (NASDAQ: CEAD, CEADW) (“CEA Industries” or the “Company”) subsidiary, Surna Cultivation Technologies LLC (“Surna”), a leader in controlled environment agriculture (CEA) systems engineering and technologies, today announced it has entered into a letter of intent to provide products and mechanical engineering services over five phases with Greene Brothers Farm, Inc., a family owned and operated farm that is developing a 26-acre site exclusively for indoor cannabis cultivation. CEA Industries anticipates contract revenues of approximately $10 million over an estimated two to three-year period. The initial contract, valued at $1.2 million, is for the first phase of products and services and is planned to be completed by early Q4 2022.
The project builds out a new all-indoor Cannabis Park, located in Lockeford, California, between Stockton and Sacramento, on a 26-acre property once used as a vineyard and wine distribution center. The Greene Brothers Farm Cannabis Park is an ambitious major expansion of the Greene Brothers’ operations that are currently located at a 200-acre farm in Mendocino County. The Cannabis Park will be the new headquarters for the Greene Brothers and will include cultivation, manufacturing, non-storefront retail sales and distribution. Once complete, the Cannabis Park will utilize 371,918 square feet of new structures.
“After a couple of years of planning and working with San Joaquin County, we are beyond excited to realize the dream that started back in 2020,” stated Aaron Greene, Co-Founder and CEO of Greene Brothers Farm, Inc. “We look forward to creating hundreds of jobs and funding various community improvements that will be enjoyed by our new neighbors with revenue generated from our Cannabis Park and Farmacy Phactory brands. We partnered with Surna because we know they can provide the outstanding engineering, design and equipment that we require in a quick and efficient manner throughout each phase of development.”
Phase 1 is estimated to be online by Q4 of this year. For this first phase, Surna will perform mechanical engineering services that will include the design of exhaust air filtration systems to eliminate odors as well as to provide climate controls systems, its EnviroPro™ air handling equipment and Surna by Anden dehumidifiers. Phases 2 and 3 are planned for completion in 2023, while phases 4 and 5 are planned for completion in 2024.
“We are proud to have been chosen by Greene Brothers Farm for this multi-million-dollar, multi-phase development project,” said Tony McDonald, Chairman and CEO of CEA Industries Inc. “We expect this to be a winning relationship for both of us and we will strive to make this Greene Brothers Farm Cannabis Park an exemplary representation of these types of projects for others in this industry.”
About CEA Indusries Inc.
Headquartered in Louisville, Colorado, CEA Industries knows that growth is a team sport. Through future partnerships and mergers and acquisitions, both financial and strategic, CEA Industries will continue its pursuit of companies that bring accretive value to its customers and investors.
About Surna Cultivation Technologies
Surna Cultivation Technologies (www.surna.com), is an industry leader in CEA facility design and technologies. We provide full-service licensed architectural and mechanical, electrical, and plumbing (MEP) engineering services, carefully curated HVACD equipment, proprietary controls systems, air sanitization, lighting, and benching and racking products. Our team of project managers, licensed professional architects and engineers, technology and horticulture specialists and systems integrations experts help our customers by precisely designing for their unique applications. Through our partnership with a certified service contractor network, we provide installation and maintenance services to assist in a smooth build-out and optimal facility performance. We have been providing solutions to indoor growers for over 15 years and have served over 800 cultivators with over 200 of them being large, commercial projects.
Headquartered in Louisville, Colorado, we leverage our experience in the industry to bring value-added solutions to our customers that help improve their overall crop quality and yield, optimize energy and water efficiency, and satisfy evolving state and local codes, permitting and regulatory requirements.
About Greene Brothers Farm, Inc.
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