Three years ago CBD distillate traded at $30/gram on the wholesale market. Today it trades at $7/gram. As CBD becomes commoditized, return on investment is becoming paramount.
The days of spending $5M - $20M+ on CO2 extraction systems are quickly disappearing for most new entrants. We are receiving inquiries and orders on a weekly basis from existing CO2 processors who know that the future involves ethanol processing for industrial scale.
A typical example is that you would spend $7.5M on a CO2 system that will process 4,000 lbs of dry hemp per day. For $2.5M you would have a turnkey ethanol processing system. 30 minutes from putting hemp into a screw press you would have CBD distillate flowing into glass jars. In addition, an ethanol extraction system is a continuous feed operation. You can run 24 hours a day, 365 days a year in an automated manner.
We have three main consultancies we are working through on these turn-key solutions. Smaller systems run $500,000 with larger systems capable of processing 5,000 - 10,000+ acre farms coming in around $10M- $15M.
Solvent wash is the future, do not doubt it. It's what the big boys have been using for over 50 years and what this new Hemp industry will soon all move to.
For more information and consultancy around your ambitions. give Rob Johnston a call.