Product Update

Plant Health Care PLC 21 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 for plants and soils, is pleased to report that, based on the very encouraging results of its 2007 Myconate(R) test programs in cereals, it has reached agreement, on a non-exclusive basis, with several large, multi-national agrochemical/seed companies to move forward in 2008 with testing and potential commercialisation of Myconate(R) in cereal grain crops such as wheat, barley, sorghum and oats. The testing partners were selected because of their geographical reach and significant market share in the cereal grain markets. These arrangements are a result of the outcome from the first independent tests of 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 27 June 2007, the latest results demonstrate the efficacy of Myconate(R) in both winter and spring sown wheat and in spring sown barley. Plant Health Care now has compelling evidence of yield improvement, when Myconate(R) is applied to three important representatives of the small cereal grains: wheat, barley and sorghum. Winter wheat grain yields were increased across five locations by a range of 5.4% 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 to increases in both grain number and grain weight. The forthcoming extensive evaluations will be carried out during 2008. The Company believes that the test partners, being large global businesses operating in the agrochemical and/or seed markets, each has the capabilities to conduct trials, 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: 'We are extremely excited to be working with these global companies to develop a path to commercialisation for Myconate(R) in these very important crops. Due to the more regional nature of cereal grains we have opted not to grant an exclusive agreement as we have in the past but have elected to move forward with several testing partners who have historically demonstrated strengths in each market.' 'These recent cereal grain tests demonstrated the ability of Myconate(R) to be effective in a range of climatic conditions and provided us with important data points when determining the optimal dose rates and timing for application.' For further information please contact: Plant Heath Care plc Tavistock Communications John Brady, Chief Executive Jeremy Carey / Matt Ridsdale Tel: 020 7920 3150 (21-25 January) Tel: 020 7920 3150 Tel: 001 603 525 3702 (Thereafter) Evolution Securities Limited Tim Worlledge / Tim Redfern Tel: 020 7071 4300 Myconate(R) background Through 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 mycorrhizal fungi which colonize the roots of crop plants. With more mycorrhizal fungi at work, each plant can draw more nutrients and moisture out of the soil. More nutrients make for healthier plants, and significantly greater overall yields. Plant Health Care believes Myconate(R) could be the key to changing the face of farming. The safety and ease of application of Myconate(R) means that management practices need not be over-hauled. The procedure is a straightforward blending process, 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
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