HALCYON THRUPUT, LLC TO OPEN HEMP PROCESSING PLANT IN HOPKINSVILLE, KENTUCKY
OZ Capital, LLC (“OZ Capital”) is pleased to announce its initial Qualified Opportunity Zone investment in Halcyon Thruput, LLC (“Halcyon”). Halcyon, located in Hopkinsville, KY is a post-harvest, midstream drying and processing facility for the recent federally legalized hemp crop. The business expects bring more than thirty jobs to the Hopkinsville community, and provide essential agricultural infrastructure that will support the needs of local and regional farmers throughout Southwest Kentucky and Northern Tennessee.
"We are very excited not only that Halcyon Thruput has decided to locate in Hopkinsville, KY, but also that they are the first commercial real estate transaction in an Opportunity Zone in the county,” said Mark Lindsey of the Southwestern Kentucky Economic Development Council. “They will operate a hemp business in the city limits that will bring jobs and capital investment into our community."
The 48,000 sq. ft. facility was purchased in May 2019 by OZ Capital, LLC, an Opportunity Zone investment firm based in Fort Worth, TX. “We are extremely excited about our close partnership with the Superior Farms network, independent farmers and their families. The people we are working with are among the most skilled, knowledgeable and experienced agricultural professionals in the US,” said Watt Stephens, Managing Partner of OZ Capital. “Combine our partners’ know-how with the growing demand and myriad applications for hemp, and we feel we have the critical components for success,” Stephens added. “The Opportunity Zone qualification makes it an even more attractive investment, and one that fully encompasses the spirit of the legislation.”
Halycon was founded as a result of growing demand for post-harvest drying infrastructure in the region. The newly developed technology will accept whole-plant, raw material coming directly from the field and mechanically dry it to a sub-10% moisture content, while also removing the stalks and stems.
Halcyon will have a total throughput of approximately 50,000 pounds of wet plant material per hour, and the end-product will result in a standardized, 10% - 12%-plus CBD biomass that is packaged and ready to ship to extractors.
Wayne Jackson, head of the Superior Farms network, is a second year hemp farmer who has been growing tobacco for over 50 years around Clarksville, TN. "Hemp is such a fantastic opportunity for the agricultural community, and the ability we have as a network to help farms in the region succeed in 2019 is huge," he said. "Our goal, together with Halcyon Thruput, is to furnish the highest grade CBD biomass in 2019 and to set the standard for the future of this new commodity. We are thankful for the support we have received from the current administration in regards to the passage of the Opportunity Zone legislation and the 2018 Farm Bill which have allowed for all of this to come together!"
The Halcyon Thruput facility is currently undergoing upgrades that will greatly increase the efficiency and capacity during harvest. “We’d like to thank the OZ Capital team for putting significant investment into the building, equipment and personnel in order to maximize Halycon’s throughput volume and scalability,” said Zeb Reicher, President of Halcyon Thruput. “The investment will ensure Halcyon is able to serve both Hopkinsville, as well as the greater Southwest Kentucky community throughout harvest.” The upgrades are scheduled to be completed by the middle of August, in time for the 2019 harvest.