PHC.L Regulatory News (PHC)

21 Jan 2008 07:01

Plant Health Care PLC21 January 2008 For release: 21 January 2008 PLANT HEALTH CARE PLC ("Plant Health Care" or "the Company") Product Update Advance towards commercialisation of Myconate(R) in cereal crops Plant Health Care (AIM: PHC.L), a leading provider of natural products forplants and soils, is pleased to report that, based on the very encouragingresults of its 2007 Myconate(R) test programs in cereals, it has reachedagreement, on a non-exclusive basis, with several large, multi-nationalagrochemical/seed companies to move forward in 2008 with testing and potentialcommercialisation of Myconate(R) in cereal grain crops such as wheat, barley,sorghum and oats. The testing partners were selected because of theirgeographical reach and significant market share in the cereal grain markets. These arrangements are a result of the outcome from the first independent testsof Plant Health Care's Myconate(R) programmes in wheat and barley in the USA.Following the impressive results demonstrated in wheat in Mexico, reported on 27June 2007, the latest results demonstrate the efficacy of Myconate(R) in bothwinter and spring sown wheat and in spring sown barley. Plant Health Care nowhas compelling evidence of yield improvement, when Myconate(R) is applied tothree important representatives of the small cereal grains: wheat, barley andsorghum. Winter wheat grain yields were increased across five locations by a range of5.4% to 9.4% depending on application method, timing and quantity applied.Spring sown wheat and barley yields were increased by 5.9% and 11.9%respectively. The results also demonstrated that yield gain was attributable toincreases in both grain number and grain weight. The forthcoming extensive evaluations will be carried out during 2008. TheCompany believes that the test partners, being large global businesses operatingin the agrochemical and/or seed markets, each has the capabilities to conducttrials, and ultimately commercialise Myconate(R) across cereal crops in Europe,the Americas and Australia/Asia. John Brady, Chief Executive of Plant Health Care commented on the results: "Weare extremely excited to be working with these global companies to develop apath to commercialisation for Myconate(R) in these very important crops. Due tothe more regional nature of cereal grains we have opted not to grant anexclusive agreement as we have in the past but have elected to move forward withseveral testing partners who have historically demonstrated strengths in eachmarket." "These recent cereal grain tests demonstrated the ability of Myconate(R) to beeffective in a range of climatic conditions and provided us with important datapoints when determining the optimal dose rates and timing for application." For further information please contact: Plant Heath Care plc Tavistock CommunicationsJohn Brady, Chief Executive Jeremy Carey / Matt RidsdaleTel: 020 7920 3150 (21-25 January) Tel: 020 7920 3150Tel: 001 603 525 3702 (Thereafter) Evolution Securities LimitedTim Worlledge / Tim RedfernTel: 020 7071 4300 Myconate(R) backgroundThrough the stimulation of endogenous mycorrhizal fungi, PHC's novel Myconate(R)technology helps crops to develop larger effective rooting volume. Myconate(R)works by enhancing the growth of beneficial micro-organisms called mycorrhizalfungi which colonize the roots of crop plants. With more mycorrhizal fungi atwork, each plant can draw more nutrients and moisture out of the soil. Morenutrients make for healthier plants, and significantly greater overall yields.Plant Health Care believes Myconate(R) could be the key to changing the face offarming. The safety and ease of application of Myconate(R) means that managementpractices need not be over-hauled. The procedure is a straightforward blendingprocess, either tank mixing the Myconate(R) with the fertilizer during planting,or applying the Myconate(R) to the seed before planting. This information is provided by RNS The company news service from the London Stock Exchange