Regenerative food and agriculture company, Wide Open Agriculture, has entered a non-binding MOU with Saputo Dairy Australia to use Saputo’s manufacturing site to produce commercial quantities of Buntine Protein.
WOA said the non-binding MOU provided a framework for the companies to now negotiate a definitive agreement and that no commercial production would occur until that had been reached.
The terms are for five years with a possible five-year extension. WOA will pay a fee per tonne of Buntine Protein production and there will be a minimum annual fee.
The company said the fee structure is still being worked out and will be disclosed with the final agreement.
WOA will also be responsible for buying the equipment needed and the design of the end-to-end process.
If an agreement is reached, commercial production is expected to commence in CY25.
WOA also announced it would be carrying out a capital raise through a private placement and share purchase plan offer to shareholders.
