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ASOPROCAOR

COMMUNITY DRIVEN
HEMP & CBD

SUMMER 2 0 2 3

DISCLAIMER
CAUTIONARY NOTE AND FORWARD-LOOKING STATEMENT:
This presentation is confidential and is being supplied to you solely for your information and may not be reproduced or distributed to any
other person or published, in whole or in part, for any purpose. No reliance may be placed for any purpose whatsoever on the information
contained in this presentation or the completeness or accuracy of such information. No representation or warranty, express or implied, is
given by or on behalf of Asoprocaor (the “Company”), or its shareholders, directors, officers or employees or any other person as to the
accuracy or completeness of the information or opinions contained in this presentation, and no liability is accepted for any such information
or opinions.

Certain statements contained in this presentation constitute forward-looking statements within the meaning of Canadian securities laws.
These forward-looking statements, by their nature, require the Company to make certain assumptions and necessarily involve known and
unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these forward-looking
statements. Forward-looking statements are only management’s beliefs, expectations and intentions and are not guarantees of
performance. Whenever possible, words such as “may”, “will”, “would”, “could”, “expect”, believe”, “plan”, “anticipate”, “intend”, “estimate”,
“continue”, or the negative or comparable terminology, as well as terms usually used in the future and the conditional, have been used to
identify these forward-looking statements. Forward-looking statements contained in this presentation may include discussions on financial
outlooks, the Company’s business or financial objectives, its strategies or future actions, including the Company’s strategy and future actions
in the Cannabis market, its targets, expectations for financial condition or outlook for operations and future contingent payments, the
expected timing for receipt of licenses from Ecuador and the expected growth and development of the Cannabis market and the potential
revenues related thereto. These forward-looking statements reflect management’s beliefs and are based upon certain material assumptions
of future events that were applied in drawing a conclusion or making a forecast or projection, including management’s perceptions of
historical trends, current conditions and expected future developments, as well as other considerations that are believed to be appropriate
in the circumstances. Although management considers these assumptions to be reasonable based on information currently available to it,
many factors could cause the actual results, performance or achievements to be materially different from any future results, performance or
achievements that may be expressed or implied by such forward-looking statements. Such factors include, among others, general business,
economic, competitive, political and social uncertainties, conclusions of economic evaluations and studies, other general risks and
uncertainties associated with the Cannabis market, as well as the risks and uncertainties discussed in the Company’s quarterly and annual
management discussion. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-
looking statements prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by
the forward-looking statements contained in this presentation. These factors should be considered carefully and readers should not place
undue reliance on the forward-looking statements. The forward-looking information set forth herein reflects the Company’s expectations as
at the date of this presentation and is subject to change after such date. The Company disclaims any intention or obligation to update or
revise any forward-looking statements, whether as a result of new information, future events or otherwise, other than as required by law.
The forward-looking statements contained in this presentation are expressly qualified by this cautionary statement
WHO WE ARE
ASOPROCAOR is a Puruhaes farmer community in the
Andes with generations of farmers who understand their
land and natural resources. It's located 3200 m above sea
level (see level conversion). This location is the highest
point of cultivation on Earth.

Our indigenous community has grown broccoli,


Colliflower, chamomile, and many more vegetables and
herbs from generation to generation, and they are not
afraid of hard work and dedication to get this project off
the ground.

We have more than 90 hecquetars ready to go, and we


have the knowledge through our local business partners
to manage six out of the seven licenses that the Ministry
of Agriculture offers.
PURUHAES
An original indigenous community from the Andes of Ecuador
located mostly around the tallest mountain in the world. Their
strong pride and courage made them legends because they
were never conquered by the Incas or the Spaniards.
Many epic battles were fought and won by the ancestors of
this community. Just about 5 miles from our cultivation site, we
have La Laguna de Colta. This place was an ancestral site for
many rituals and the cornerstone of the Puruhaes Culture. The
Spaniards had to come to an agreement with this community
to continue their Christian crusades. And Just across from la
Laguna, The Spaniards built the first Christian church, Iglesia
de Balbanera, in Ecuador with the help of the Puruhaes.
This land is magical, rich on history and culture, with the
introduction of hemp and cannabis, we can say that this
community can help build a new industry just like they have
done in the past.
High Grade Cannabis from The Highest point on Earth
CULTIVATION EXPERIENCE

Our community has a wealth of experience in


cultivation, hemp, and cannabis; it's just another
crop that, with the guidance and knowledge of our
local partners and international investors, we are
extremely confident that we can produce the best
cannabis in the region, and why not the world?

Our cannabis cultivation experts have over 18


years of experience in cannabis cultivation and
have won numerous awards for their proprietary
organic cultivation methods, genetic breeding, and
contributions to the cannabis community.

Our dedication to pure organic practices and


sustainable farming methods is second to none.

No nutrients. No sprays. No artificial additives


“The beginning is the most
important part of the work.”
Plato
Current Scope
Given Ecuador's current legal framework, which has extended
seven licenses for the hemp and cannabis sectors, this initiative is
of enormous scope. Out of the seven license options, we'll use six
of them.

We are able to handle six licenses and develop a project that is


vertically integrated from seed to sale thanks to our experience
and understanding of horticulture and local resources.

We shall start medical clinical studies with the right use of License
#6 Research and Development. These medical trials will be
comprehensive and thoroughly documented thanks to our
collaboration with the government and academic institutions.
PROJECT OBJECTIVES

• Create a lean, integrated consistent supply chain of the highest-quality organic


and sustainable Industrial Hemp material for refining and production, both
domestically and internationally to the world’s largest manufacturers.

• Promote clinical research trials with specific cannabinoids that can create a list
of pattens that can be potentially license to Pharmaceutical companies around
the work.

• Encourage and highlight the development and production of Industrial Hemp


and its bio-derivatives such as: fibers, textiles, paper, construction materials,
animal feed, cosmetics, medicine, biofuels, among many others.

• Provide education and research opportunities for technical-scientific,


regulatory, and economic fundamentals that make up the industrial hemp
industry.

• Promote academic training of entrepreneurs, technicians, and professionals


from each field, to help supply the potential increasing labor demand that is to
be developed.
CURRENT INDUSTRY HURDLES
Consistent supply of fresh product:
• Large scale production requires large scale outdoor cultivation which is
limited to 1 growing season/harvest per year due to the changing of the
seasons and climate.
• Forces manufacturers to bulk purchase product for the year which, over time,
has adverse effects on important chemical properties such as potency and
terpenes levels.
Legal uncertainty in the US:
• Large scale cultivations are still technically federally illegal and only a limited
number of states provide cultivation permits.
• International exportation regulations are still uncertain and will limit sales of
products to the domestic market.

High Prices:

• The cost of production in the United States is over 3x that of South America
OUR SOLUTIONS
Lots of viable land and ideal climates:
•Our company has over 200 acres of some of the most viable
agricultural land in the world with some of the most ideal
cultivation climates to match.
• Over 1,000 acres of private agriculture land is available and has
already been tested.
•Help from local authorities an State level.
•LOI with local Universities.
•We hold the permits.
•The community owns the land and have ancestral laws that can
provide many opportunities to our final objectives.
•Cheaper costs:
•Ecuador’s economy and foundation is based primarily on
agriculture.
•Labor is much cheaper and more importantly, knowledgeable
to the land.
HIGHER QUALITY PRODUCT:
KEYS TO OUR • PRISTINE VOLCANIC SOIL

SUCCESS 2 •


IDEAL CULTIVATION CLIMATE
SUSTAINABLE CULTIVATION METHODS
ORGANIC PRACTICES

CONSISTENT SUPPLY: CHEAPER COSTS


COMPETITIVE PRICING :
1 • 4 HARVESTS IN 13 MONTHS
• EQUATOR =12 HRS OF SUNLIGHT
• FUTURES CONTRACTS
3 •


UNDERCUT THE MARKET BY 40%+
CHEAPER LABOR
CHEAPER LAND
• NO EXPORT/IMPORT TAXES
FUTURE GROWTH MODEL

• While the CBD market growth is currently accelerating at a rapid rate our vision for the
future is to expand our efforts further into the cultivation, processing, and distribution of
hemp for its fibers and bio-derivatives such as biofuels and bio plastics.

• We currently work with Universities that have a strong interest of Medical research but don’t
have asses to the strains and Knowle of the used on Medical Pharma.

• We believe that as the prohibition on hemp comes to an end in the United States there is an
opportunity to become a large provider of these materials to contribute to solving many of
the world’s economic problems such as air and ocean pollution, and deforestation.

• We currently have a strong business and personal relationship with one of the largest
manufacturers of ready-made concrete. Our mission is to continue working with them to
continue to research and develop a bioplastic made from hemp fibers to replace the existing
harmful plastic that are used today. Thus reducing the carbon footprint and creating a
superior product.
SCALING UP
• Utilizing over 1,000 acres of private agricultural farm land for both CBD rich
plants and fiber plants.

• Expanding the fiber crops from Ecuador to approximately 300,000 total acres
of scouted and tested land in Peru and Columbia.

• Creating two (2) more Industrial Scale processing and manufacturing facilities
in both countries.

• Developing and branding retail product lines for: Vaporizer cartridges,


topicals, edibles, animal food, clothing.

• Creating an international wholesale distribution network for plant material,


crude oil, and refined products such as isolates and distillates.
MEDICICAL STUDIES

CBD has been touted for a wide variety of


health issues, but the strongest scientific
evidence is for its effectiveness in treating
some of the cruelest childhood epilepsy
syndromes, such as Dravet syndrome and
Lennox-Gastaut syndrome (LGS), which
typically don’t respond to antiseizure
medications.

In numerous studies, CBD was able to


reduce the number of seizures, and in
some cases it was able to stop them
altogether.

Recently the FDA approved the first ever


cannabis derived medicine for these
conditions, Epidiolex, which contains
CBD.
CURRENT BIOMASS PRICING EXAMPLE

Level of Dollar Value Gross


CBD
potency
X per CBD = revenue
Per pound
percentage

12%
CBD
X $3.50 = $42
Per pound
OUR PRICING STRATEGY
• Our current pricing strategy will mirror that of most current
agricultural commodities by charging a set price per pound.

• Undercut the market pricing by over 40% which will allow us to


contract out larger quantities of product to some of the largest
and most reputable manufacturers both domestically and
internationally.

• The simplicity of a set cost per pound will also foster a more
fluid facilitation of all transactions and, because of the large
scale output, will help to stabilize the international market
pricing.

• Further, this will allow a more precise forecast of revenue to


shareholders and investors each quarter.
WHY LABOR COSTS ARE IMPORTANT
• Because these plants will be used primarily for CBD extraction which will be
used for consumption and medicinal purposes, it is extremely important to have
the highest quality of organic material that is unaffected by pollutants and any
other inorganic compounds.

• One of the most critical ways to ensure this is to minimize the use of large farm
machinery and tractors during every stage of the process from planting to
harvesting.

• By utilizing a larger labor-force, we will be able to produce a truly superior plant


material that is handled carefully, and almost exclusively, by agriculturally skilled
workers.

• The project will fiscally be able to achieve this with a labor force that is less than
1/4 of the cost of the United States, Canada, and a majority of the other
competing cultivation nations.
FINANCIALS:
BRIEF OVERVIEW
Expenses &
Projections
Our product can be sold in either
raw plant from or processed oils
and crystalline powders.
However, this project's power is in realizing how
much more we can accomplish with the waste
that other initiatives simply discard or deem
useless.
BIOMASS (PLANT MATTER): PROJECTIONS PHASE 1

PLANTS POUNDS POUNDS PRICE PER GROSS GROSS


PER ACRE PER PLANT PER ACRE POUND REVENUE REVENUE
PER ACRE PER HECTARE

2,000 2 4,000 $2.00 $8,000.00 $20,000

HECTARES GROSS REVENUE


10 $200,000.00
30 $600,000.00
50 $1mil
100 $2mil
140 $2.8mil

Information is based on a single (1) harvest.


Start -up and harvest
expenses are approx. 1/5
the cost of that in the US
EXPENSES: GENERAL PERSONNEL

JOB POSITION MONTHLY COST YEARLY COST

FIELD MANAGER $2,000 $24,000.00

FIELD LABORER $400 $4,800.00

EQUIPMENT DRIVERS (TYPE E) $600 $7,200.00

PLANTING SECURITY $600 $7,200.00

GENERAL MANAGER $3,000 $36,000.00

SUPERVISOR $1,500 $18,000.00

TOTAL $8,100 $97,200.00


CBD - CBG - CBN - THC
RETURN ON INVESTMENT PER GREENHOUSE
Medicinal grade Cannabis needs to meet specific infrastructure and cultivation
requirements in Ecuador and around the world. The use of a technological
greenhouse is a must. This request requires an initial investment in the
construction of this infrastructure, but the time of use of each green house in
this region is 10 years on frames and building materials and 3 to 4 years on
plastic.
COSTO OF A CONSTRUCTION
OF A 1000 MT2 GREENHOUSE
COST
DESCRIPTION MT2 TOTAL
/ MT2
Metal frame with
plastic, and water 1000 $15.75 $15,750.00
recollection sistems
Automatic Controlled
1000 $3.25 $3,250.00
Irrigation Systems
Electric Lights
1000 $2.99 $2,990.00
and Air Circulation
Soil and Cultivation
1000 $2.30 $2,300.00
Areas
TOTAL COST OF INFRASTRUCTURE $24,290.00
OPERATING EXPENSES PER CYCLE

Initially, we are going to use a 5-month cycle on the first two runs to make
sure we can get the most adaptability from the plant. As the plant and the
people get more accustomed, we can drop this cycle to less than 3.5 months
using proper cloning practices. This will increase our production and lower our
costs as we grow with this project, which means that our productivity will
increase exponentially
Cost of Production on a 1000 Mt2
Green House with ASOPROCAOR
# OF PLANTS PER GREENHOUSE
PER CYCLE 800
Nutrition Cycle per Greenhouse 4,000.00
Master Grower on a 5 Month Cycle 4,750.00
Grower on a 5 Month Cycle 3,250.00
Grower on a 5 Month Cycle 3,250.00
Light and Expenses 1,250.00
Additional Expenses 425.00
TOTAL COST OF OPERATIONS PER CYCLE 16,925.00
Each cycle, after selling premium PREMIUM AND EXTRACTION FLOWER PER CYCLE
flowers, biomass, and left-oversPlants Complete Cycle 720 Cost per KG $146.92
to our own transformation center, Wholesale price per
GRAMs per Plant Dried Flower 160 $399.00
we will make $41,827 in profit. KG
After paying our costs of Total Production in KG 115 PROFIT PER KG $252.08
$16,925. PROFIT PER CYCLE 29,039.80
Once we get our genetics to PRODUCCION OF BIOMASS FOR EXTRACTION PER CYCLE
produce three cycles per year, Plants Complete Cycle 720 Cost per KG $0.00
we will make $125,481 per year.
Wholesale price per
GRAMs of BIOMASS 480 $25.00
KG
With license #3 and the amount
GRAMs of BIOMASS 346 PROFIT PER KG $25.00
of land, we could have 20
PROFIT PER CYCLE 8,640.00
greenhouses making $2,509,620
per year at 100% production and PRODUCCION OF BIOMASS FOR FIBER OR BIO CONSTRUCTION PER CYCLE
usage of space. Plants Complete Cycle 720 Cost per KG $0.00
Wholesale price per
GRAMs of BIOMASS 960 $6.00
Selling at $399.99 per KG. The KG
average US price of medicinal GRAMs of BIOMASS 691 PROFIT PER KG $6.00
cannabis is $1275. PROFIT PER CYCLE 4,147.20
MANUFACTURING
LICENSE #5
Extraction Methods
& Equipment
MANUFACTURING PROCESS OVERVIEW
SUPERCRITICAL C02 EXTRACTION PROCESS
Budget for Cultivation Licenses
Tuning
Running Total
Initial Budget and Refining
Space Capital Investment
Minimal Requirement Capital
Available
0 - 6 Months 6 - 12 Months 18 - 24 Months
License Application fees and
Acquisition
94 Hectares
Process Fees
$15,000.00
Office and Meeting Space
License #1
Common Employee Areas
$12,000.00 $8,000.00 $5,000.00 $25,000.00
Propagation Area
Greenhouse
License #2 1 Hectare Mother Plants Area $25,000.00 $35,000.00 $35,000.00 $95,000.00
Cloning Ares
Storage Area
Propagation Area
Greenhouses
License #3 5 Hectares
Post Harvest Area
$65,000.00 $95,000.00 $45,000.00 $205,000.00
Storage Area
Propagation Area
Greenhouses
Post Harvest Area
License #4 84 Hectares
Maquine Room
$65,000.00 $45,000.00 $35,000.00 $145,000.00
Equipment Areas
Storage Area

$182,000.00 $183,000.00 $120,000.00 $470,000.00


Budget for Transformation Licenses

Tuning
Running Total
Initial Budget and Refining
Space Capital Investment
Minimal Requirement Capital
Available
0 - 6 Months 6 - 12 Months 18 - 24 Months

License #5 Industrial Transformation


Procesamiento Machines $150,000.00 $450,000.00 $50,000.00 $650,000.00
Industrial Papel - Plastic - Fibers
1 Hectare
License #5
Procesamiento Co2 Machines
$180,000.00 $150,000.00 $35,000.00 $365,000.00
Alimenticio Lab Equipment
Medico

$330,000.00 $600,000.00 $85,000.00 $1,015,000.00


Budget for Research and Development
and Clinical Licenses
Tuning
Running Total
Initial Budget and Refining
Space Capital Investment
Minimal Requirement Capital
Available
0 - 6 Months 6 - 12 Months 18 - 24 Months

License #6 Propagation Area


Investigación Greenhouses $55,000.00 $50,000.00 $35,000.00 $140,000.00
Agrícola Post Harvest Area
Storage Area
License #6 1 Hectare
Small Clinic
Investigación $25,000.00 $65,000.00 $50,000.00 $140,000.00
located in Riobamba
Científica

Clinical Research
Non Profit $20,000.00 $45,000.00 $15,000.00 $80,000.00
Operating Capital

TOTALES $80,000.00 $115,000.00 $85,000.00 $280,000.00


Summary of Investment Budgets

Tuning
Running Total
Initial Budget and Refining
Capital Investment
Capital
0 - 6 Months 6 - 12 Months 18 - 24 Months
Cultivation Licenses $182,000.00 $183,000.00 $120,000.00 $485,000.00

Transformation
$330,000.00 $600,000.00 $85,000.00 $1,015,000.00
Licenses
Research and
Development and $80,000.00 $115,000.00 $85,000.00 $280,000.00
Clinical Licenses

$592,000.00 $898,000.00 $290,000.00 $1,780,000.00


R.O.I SUMMARY
We have to take into consideration that this project not only benefits an indigenous community
but also has the potential to make a lot of money.
Each license generates revenue and creates a link to our transformation centers, which then
produce the final project products, generating additional revenue on top of the revenue.
Just understanding that with License # 3, we can generate around $2 million per year in profit
and that the time that we need to get to this point is under 36 months, we have a 10-year project.
Also, taking into consideration that the THC market is not even available yet, once it becomes
available, we will have the entire infrastructure ready.
License # 6 and the clinical trial with the non-profit foundation also have great potential for
generating patents that could be worth millions of dollars and licensing agreements. Having a
non-profit foundation as part of the project will help us with grants and tax breaks for all our
operations.
Our transformation center on the industrial hemp side will be the first one in the country, and our
partnership with the local government will give us access to public contracts on bioconstruction
and biofuels.
We estimate that the total return on investment is attained within the first 36 months and that the
growth is infinite.
Also, the possibility of using this project as a stepping stone for another project with more equity
for the invertor is a reality. Latin America is growing, and there is a new market for hemp and
cannabis. The accessibility of land and natural resources is a huge advantage, and many
possibilities are open to it.
PHOTO
GALLERY
“We areextremely excited about the future of this
industry and are grateful to have the opportunity to
contribute to its rapid growth both domestically and
internationally. We look forward to growing our team
and evolving the community and country of Ecuador.”

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