Clean Beef Co. Applies to Organic Materials Review Institute for Fertilizer Listing

Bion Environmental Technologies Inc. (BNET:OTCQB) announced it has applied to have its liquid nitrogen fertilizer, that is produced from livestock waste, OMRI listed.

The company's ammonium bicarbonate fertilizer is a stable source of nitrogen upcycled from reactive ammonia in organic waste streams in a patented process.

It has applied to the Organic Materials Review institute (OMRI)  for a listing of its liquid 10-0-0 commercial nitrogen fertilizer. OMRI is an international nonprofit organization that lists products allowed for use in organic production under the USDA's National Organic Program.

"Recovering the volatile ammonia in livestock waste to produce high-value organic nitrogen is a big step in the drive toward modern circular farming," Bion Chief Executive Officer Bill O'Neill said. "It can also enhance regenerative practices that promote long-term soil health and increased productivity."

Bion said it received an OMRI listing in 2020 for its initial product, a 0.5% ammonium bicarbonate solution. The company is also preparing to expand the markets for its fertilizer by applying to the California Department of Food Agriculture (CDFA) for a 6-0-0 nitrogen fertilizer product.

"Organic fertilizer products recognized by accepted regulatory bodies sell at substantially higher prices than synthetic fertilizers," Bion said in a release.

According to Growing a Greener World, the numbers on fertilizer labels refer to percentages of nitrogen, phosphorous, and potassium.

Bion's Ammonia Recovery System (ARS) was developed to process and treat livestock waste streams with a focus on discharges from anaerobic digesters. It's at the core of the company's Gen3Tech technology, which produces renewable energy and clean water from livestock waste streams and removes the ammonia, then stabilizes and repurposes it into low-carbon and organic nitrogen fertilizers using only the compounds in the waste stream itself.

This keeps ammonia out of the air, land, and water and saves the resource from being lost. It can then be used as an organic fertilizer, adding significant value to help offset treatment costs, the company said.

Bion just received a fifth patent to broaden its ARS technology to include municipal and wastewater streams.

"The patent we received in January extends that ability to cover organic industrial and municipal waste streams, such as food and food processing waste and others, which greatly expands our opportunity," O'Neill said. "Bion's organic nitrogen fertilizers truly represent a win-win – for our shareholders, as well as producers, consumers, and the planet."

The Catalyst: Sustainable Beef at Scale

With its Gen3Tech, the company said it will lead the charge to produce truly sustainable beef at scale within the next two years.

The technology treats waste from indoor finishing facilities, where cattle are grain-fed, and the vast majority of U.S. beef is produced, reducing pollution and upcycling it into valuable fertilizer products, clean water, and renewable energy. Cleaning up the finishing facility is the lynchpin in a sustainable value chain. Bion said indoor barns, coupled with its Gen3Tech platform, represent the most advanced, efficient, and cleanest production possible in the beef industry today.

Cattle feeders and producers can also create more value for their commodity through premium pricing by having a sustainable brand that would be backed up by Bion's technology and third-party verification, the company noted.

According to the company, more than 75% of the nitrogen in livestock waste escapes to the environment as ammonia, which is an economic loss and a source of pollution, harmful algae blooms, and contaminated groundwater.

Its process "helps offset treatment costs and provides an economic driver that allows the nitrogen to be redistributed from where it is not wanted, and precision applied when and where it is needed," the company said.

No More 'Greenwashing'

An OMRI listing would enhance value and transparency, improve consumer confidence, and reduce Bion’s partners' exposure to claims of greenwashing. The attorney general in New York recently filed a lawsuit accusing the world's largest meatpacker of lying about its environmental credentials.

Letitia James sued Brazilian company JBS' U.S. division, accusing it of "greenwashing" and saying it misled buyers with its plan to reach net-zero carbon emissions by 2040, The Wall Street Journal reported.

"Bion's technology and the strategic partner approach it supports will provide transparency to the consumer, up and down the value chain," Bion Senior Vice President of Capital Markets Craig Scott said. "It will also benefit the stakeholders in the supply chain with meaningful change backed by third-party verification."

Technical Analyst Clive Maund rated Bion "a Strong Buy here for all time frames" when he reviewed the stock in August 2023. He said indicators pointed to a price breakout and steep rally. 

"This stock has the characteristic of making sudden dramatic rallies that are then followed by long periods of reaction," added Maund.

Ownership and Share Structure

According to Reuters, nearly 22% of Bion Environmental is owned by management and insiders. President and General Counsel Mark Smith has the most out of this category at 10.12% with 5.69 million shares. 

About 1.25% is with Centerpoint Corp. with 0.70 million shares. Less than 1% is held by institutions, such as Howard Capital Management Group LLC, with 0.10%. The rest is with retail.

Bion has a market cap of US$59.57 million. Trading over the past 52 weeks ranged from US$0.86 per share to US$1.90.

Important Disclosures:

1. Bion Environmental Technologies Inc. has a consulting relationship with an affiliate of Streetwise Reports, and pays a monthly consulting fee between US$8,000 and US$20,000.
2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Bion Environmental Technologies Inc.
3. Steve Sobek wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.
4.  This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company. 

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