Green Mountain Granted Industrial Hemp Production License
Penticton, BC, May 02, 2019 (GLOBE NEWSWIRE) -- Green Mountain Health Alliance Ltd. (the "Company" or "Green Mountain"), is pleased to announce that Health Canada has approved the Company's application for an industrial hemp license. Green Mountain intends to cultivate hemp for the extraction of cannabidiol (CBD) and conduct research on high CBD hemp varietals, complementing the Company's original business plans to grow large-scale, low-cost, wholesale cannabis; sell nursery stock; harvest and sell dried cannabis; and process and sell cannabis derivatives.
Green Mountain has secured three properties in the Okanagan Valley in BC ? an owned 16-acre ALR parcel in Kaleden, a leased commercial greenhouse in the White Lake area of Kaleden, and a 98-acre parcel of Indigenous agricultural land in Marron Valley (with an Intent to Lease). Green Mountain intends to use two of the three properties for hemp cultivation; growing outdoor hemp on the Marron Valley property and utilizing the White Lake greenhouse as a nursery for hemp cultivation and research and development on a high CBD hemp strain.
The Company is awaiting approval of a cannabis production license for its 16-acre Agricultural Land Reserve (ALR) property, following the progression to the review stage of Health Canada's newly created Cannabis Tracking and Licensing System (CTLS) and identification as an Indigenous Associated Applicant. The Regional District of Okanagan-Similkameen (RDOS) recently granted a greenhouse building permit for the site.
Cultivation of industrial hemp is currently regulated by Health Canada under the Cannabis Act, which allows licensed producers to grow hemp for a variety of purposes, including extracting CBD. CBD is in high demand across the globe for its health benefits. The oil often retails for over $90/fl. oz. and it's estimated that CBD consumer sales in the US will total approximately $1.15 billion by 2020, making this a potentially profitable venture for Green Mountain. Hemp grows very quickly and can be selectively grown for CBD, and has almost no THC at less than 0.3%. CBD does not produce the psychoactive ?high' caused by THC.
"The Canadian cannabis market is continually developing, and with the ?second wave' of legalization coming around edibles, beverages, etc. in October of this year, we anticipate the demand for CBD will increase significantly," said Green Mountain President, Wade Attwood. "We want to ensure Green Mountain can respond to evolving legislation and maintain market adaptability to maximize revenue. We applied for the hemp license to complement our core business model of producing cannabis and as we are still awaiting our cannabis license, we believe cultivating hemp will enable us to get to the market and be revenue positive faster than by growing cannabis alone."
Green Mountain is committed to sustainable outdoor and greenhouse growing practices which it believes will reduce environmental impacts and utilize natural elements to ensure the highest quality product. Outdoor hemp cultivation is low-cost versus capital-intensive indoor cultivation facilities, and hemp naturally requires minimal pest control and is well-adapted to the outdoor Okanagan environment.
Mr. Attwood also stated, "Currently, industrial hemp licenses only allow for cultivation of hemp strains included on the Industrial Hemp Approved Cultivars List, which are relatively low in CBD. Green Mountain intends to work on researching and developing a high CBD hemp cultivar; far higher than what is on the market now. If we complete the process to have this strain approved, this means greater yield of CBD and incrementally higher ROI per acre than the strains that are currently available, which is great for Green Mountain's bottom line."
About Green Mountain
Located in the Okanagan Valley, believed to be BC's best cannabis growing area, Green Mountain aspires to become one of Canada's leading, socially responsible, low-cost, large-scale wholesale cannabis and hemp producers. Our team of employees, industry experts, and Indigenous partners are working towards providing safe, sun-grown, high-quality cannabis and hemp using environmentally sustainable cultivation methods and greenhouse technology.
As a wholesale, high-volume, low-cost producer, we believe Green Mountain will be ideally positioned to fill a market gap; providing the expanding Canadian medical and recreational cannabis industry with consistently high-quality product utilizing select genetics. The company has secured over 100 acres with the potential for over 1,000,000 square feet of greenhouse growing space. For more information, visit www.gmtn.ca.
The information contained herein contains "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements relate to information that is based on assumptions of management, forecasts of future results, and estimates of amounts not yet determinable. Any statements that express predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may be "forward-looking statements." Forward-looking statements are subject to a variety of risks and uncertainties that could cause actual events or results to differ from those reflected in the forward-looking statements. Investors are cautioned against attributing undue certainty to forward-looking statements. These forward-looking statements are made as of the date hereof, and the Company does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the Company's expectations or projections.
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