News Release
May 29, 2018
Spread Co., Ltd.

Spread Plans First Indoor Vertical Farmin Partnership Agreement withJX ANCI, a Subsidiary of JXTG Nippon Oil & Energy,and Nissin Shoji
Spread Co., Ltd. (HQ: Kyoto, Japan; CEO: Shinji Inada, hereinafter;“Spread”) has confirmed its collaboration with JX Nippon ANCI Corporation (HQ:Chiba, Japan; President : Jun Shonaka; hereinafter “JX ANCI”), a subsidiary of JXTG
Nippon Oil & Energy Corporation (HQ: Tokyo, Japan; President and Representative
Director: Tsutomu Sugimori), and Nissin Shoji Co., Ltd. (HQ: Tokyo, Japan;
Representative Director: Hiroaki Tsutsui; hereinafter “Nissin Shoji”) whereby Spread
will support the construction of an indoor vertical farm which will be Japanʼs largest,and will produce and sell indoor vertical farmed vegetables.
JX ANCI and Nissin Shoji have conducted agriculture related business and haveconsidered the management of an indoor vertical farm by applying their knowledge tothe business. Spread has developed Techno FarmTM – its next-generation indoor vertical
farming which incorporates automation technology in its cultivation process – and has
been seeking partner companies with which conduct franchise businesses together
while planning to construct more farms in Japan and overseas.
The parties of this business reached to the agreement about their roles asbelow. The joint venture company J Leaf Corporation which was established by JX
ANCI and Nissin Shoji will be in charge of construction of its farm which will takeplace within the site of the JX ANCI Narita factory, as well as the production ofvegetables and management of the farm. Spread will offer its knowhow of indoor
vertical farming and will be in charge of logistics and sales. Groundbreaking andshipment from the new farm are scheduled for 2020.
To achieve a sustainable model for agriculture, Spread will continue pursuingfurther technological innovation by deepening its partnerships in various fields.

News Release◆Overview of planned project
Location

Chiba, Japan, JX ANCI Narita Factory Site

Facility Type

Indoor Vertical Farm

ProductLettuce, other leafy greens

Production Capability

30,000 heads/day

Groundbreaking

Spring, 2020 (planned)◆JXTG Nippon Oil & Energy Corporation
President and Representative Director: Tsutomu Sugimori
Established: May, 1888

Capital: 30 billion YenHeadquarter: 1-1-2, Otemmachi Chiyoda-ku Tokyo, Japan

Business Activities: Manufacture and marketing of petroleum products(gasoline, kerosene, lubricants, etc.)
Manufacture and marketing of petrochemical products
Import and marketing of gas (LPG and LNG) and coal
Electric power sales◆JX Nippon ANCI Corporation
President: Jun Shonaka

Established: April, 1977

Capital: 200 million yen
100% investment of JXTG Nippon Oil & Energy Corporation

Headquarter: 2700-72, Koike Shibayama-cho Yamatake-gun Chiba, Japan

Business Activities: Manufacture and sales of nonwoven fabric, and sheet
pallet and other materials◆Nissin Shoji Co., Ltd.
Representative Director : Hiroaki Tsutsui
Established: Feb, 1950

Capital: 3.62 billion yen

Headquarter: 1-12-3, Shibaura Minato-ku Tokyo, Japan

Business Activities: Sales of petroleum products and by-products
Sales and operation of renewable energy facilities and materials
Sales of materials for dining establishments and agricultureNews Release◆Joint Venture CompanyCompany Name

: J Leaf Corporation

Established: July, 2018 (planned)

Capital: 80 million yen

Location: 2700-72, Koike Shibayama-cho Yamatake-gun Chiba,Japan (site of JX ANCI Narita factory)

Business Activities: Production and sale of indoor vertically farmed products◆Techno Farm™

Techno Farm™ is a next generation food production system created by Spread basedon their 10 years of operating experience and technological innovation in verticalfarming. Joint development with Japanese technology companies for innovations
such as automated cultivation, and environmental control technologies, specialized
LED lighting, and IoT / AI will reduce environmental burden and operational costs.
URL : www.technofarm.com/en【Contact Information】
Okai (Mr.) / Ando(Ms.)
Public Relations Department, Spread Co., Ltd.
E-mail : info@spread.co.jp
TEL: +81-50-3852-0561（Public Relations） +81-75-326-3850（Head Office)URL: www.spread.co.jp/en