Supreme Pharmaceuticals (TSXV:FIRE) announced its subsidiary 7 Acres received an update from Health Canada regarding a cultivation license in accordance with theAccess to Cannabis for Medical Purposes Regulations.
As quoted in the press release:
Update on Sales Approval
Management understands that Health Canada is in the process of testing dried cannabis samples provided by 7ACRES in relation to its application to add the activity of sales to the License. As noted in the Company’s press release dated May 8, 2017, random samples of cannabis plant leaves produced by 7ACRES were tested and show “no signs of contamination.” Supreme believes that an update regarding its application for the sales activity will be provided in the coming weeks. Furthermore, Health Canada has informed Supreme that the License will be amended in the near term in order to permit 7ACRES to sell cannabis seeds and clones to other licensed producers.
License Capacity and Term
Health Canada has removed the previous production and storage capacity of the License. Supreme is now permitted to store up to $150,000,000 worth of cannabis at any given time. In addition, the License term has been extended for an additional two years and the License is now valid until March 11, 2020.
John Fowler, President and CEO, stated: “We are pleased to be making progress with Health Canada. The forthcoming approval to sell cannabis genetics is one leg of our B2B sales model, allowing us to monetize our genetic inventory. As we await an update on the sales approval, we continue to cultivate and build our inventory in advance of sales-approval.”