Monday, August 18, 2014

Potential Revenue for GDSM and MJ production in CO

Just a few thoughts for where we stand for GDSM producing MJ.  If we assume that there is .14 acres of the three greenhouses, and it produces 500 pounds per acre that would be 70 pounds produced in the proposed three greenhouses or 1,120 ounces and at $200 per ounce the current price that would be $224,000 and two crops per year $448,000. Is a possibility for three, but reduced amounts for the third so I will not factor that into cost.
You have to remember this is the first project there are supposed to be two more deals in works.  This will get GDSM generating revenues and being able to increase in size and production.  If this is successful and go to five acres for instance that would be $8 million.  For the full 40 acres you are looking at $64 Million for each growing season, and two cuttings per year $128 million per year.
The following are the links and information how I calculated this information.  Good luck to everyone and we get this deal signed and two more.  Do not forget of the other revenue streams the company has.  You decide and make your own decision.

Just one acre of weed can produce 3.25 million dollars at $375 per oz with 10,000 plants
Even if you reduce the number to 5,000 plants per acre your total would be 1.625 million dollars per acre. So you get the idea that we are dealing with the most profitable cash crop ever.
Returns from experimental areas indicate that yields of 400 to 500 pounds of dried tops per acre may be expected under good conditions.
Average Weed Prices
Quality
Average ($/Oz.)*
Sample Size
High Quality
$237.77
2847
Medium Quality
$197.2
2463
Low Quality
$226.77
168
* Averages are corrected for outliers based on standard deviation from the mean. 

 http://www.medicaljane.com/2013/09/26/greenhouse-growing-efficient-medical-marijuana-production/ 

Another major benefit of greenhouse growing is that it greatly reduces the amount of power used, in comparison to an indoor facility. The need for more “green” growing practices continues to increase as medical marijuana becomes more prevalent across the nation. According to Scott Reach, founder of the seed company Rare Dankness, “greenhouses are the future of growing.”

http://www.amsterdammarijuanaseedbank.com/the-strategy-of-constant-harvesting.html 
This article states it is 60 days for maturation and you could get two good crops per year.