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cultivate those seeds. HJI activities did not result in any
patentable technology, nor was any patentable technology expected
to be developed from those activities. JDP had no right under
any of the various agreements entered into during 1981, or
amendments thereto, to share in any profits from Turtleback I
before January 1, 1987, following the formation of Turtleback
Jojoba Venture.
During 1988 through 1992, the Hyder Jojoba plantations
produced substantial amounts of jojoba seed. During 1987, HJI
harvested 76,848 pounds of jojoba seed from 942 acres of jojoba
plants. During 1988, it harvested 354,615 pounds of jojoba seed
from 1,162 acres.
As of the date of trial, however, a stable market for jojoba
seed or oil had not evolved and demand for the jojoba seed did
not expand to the extent expected. For some products, less
expensive synthetic substitutes for jojoba oil were developed
that adversely affected the demand for jojoba seeds.
Consequently, prices for jojoba seeds and oil have fallen. In
May or June 1993, Holdings cut off irrigation to the jojoba
plants because it had insufficient cash flow to continue
operations. As a result, as of the date of trial, the income
potential for Turtleback I was small.
None of the JDP limited partners ever have recovered their
initial investment in JDP. As of the date of trial, the limited
partners continued to hold their interests in Holdings.
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