Emerald Health Therapeutics (TSXV:EMH) has provided a corporate update on its recently closed and oversubscribed bought deal financing, together with a vision for growth in 2017.
As quoted in the press release:
“Following our successful financing with Dundee Capital Partners, Emerald is well capitalized and prepared for an exciting year of growth. Led by one of the industry’s most experienced scientific development teams, our focus has remained on downstream product development. From day one, Emerald has operated with the mandate of “enhancing health through cannabis science” and it’s these principles that will guide us as we forge ahead with our exciting and aggressive growth initiatives,” says Avtar Dhillon, MD, Executive Chairman of Emerald.
Significant expansion planned on 32-acre site in Metro Vancouver
As Emerald has been planning expansion, much of its research and development focus has involved increasing plant diversity and product offerings, as well as improving on its cultivation, manufacturing, and standardization processes in anticipation of a significant scale up. As the fifth applicant and eighth Licensed Producer in Canada, from the beginning Emerald has focused on quality of cultivation over quantity backed by strong research and development.
Phase 1 Expansion:
- Plans are well underway to break ground in Q1 2017 to add 50,000 sq. ft. of cultivation space
- This will be a state-of-the-art purpose built facility with anticipated capacity in excess of 5,000 kg per annum
- Emerald’s first harvest is anticipated in early 2018 and will be ready for sale upon licensing
Phase 2 Expansion:
- Emerald plans to scale-up in a modular fashion, with 50,000 sq. ft. additions to minimize the risk of product quality issues
- Construction on Phase 2 to add an additional 50,000 sq. ft. of production area is anticipated to begin shortly after the commencement of Phase 1 and will be ready for production in 2018
The Company has the capacity to build out an aggregate of 1 million sq. ft. of total production space on its 32-acre Metro Vancouver property.