TORONTO, June 10, 2019 /CNW/ - 48North Cannabis Corp. ("48North" or the "Company") (TSXV:NRTH) announced today that it has signed a supply agreement with the Ontario Cannabis Store ("OCS"), Ontario's sole wholesaler and online retailer for recreational cannabis.
Under the supply agreement, 48North will supply the OCS with 1,200 kilograms of dried cannabis from its outdoor farm in Brant County, Ont., ("Good Farm") and other cannabis products such as pre-rolls from its indoor facilities in Brantford, Ont., ("Good House") and Kirkland Lake, Ont. ("DelShen Therapeutics").
48North's Good Farm is expected to produce an estimated 40,000 kilograms of organic, sun-grown cannabis from more than 3.7 million square feet of outdoor cultivation space. At Good Farm, 48North expects to harvest cannabis at what is expected to be one of the lowest cost per gram in the country.
This supply agreement marks the Company's third outdoor supply agreement with a provincial wholesaler for outdoor-grown cannabis. Previously, 48North signed agreements with the Société québécoise du cannabis (SQDC) for 1,200 kilograms of dried cannabis, and Alberta Gaming, Liquor & Cannabis (AGLC) for 2,460 kilograms of dried cannabis. To that end, 48North has committed nearly 5,000 kilograms of dried cannabis from its Good Farm in 2019 to the Canadian recreational cannabis flower market.
"48North is looking forward to delivering high-quality, sun-grown, low-cost and organic cannabis to some of the largest cannabis markets in the country. Through a series of historic supply agreements, 48North has solidified its place as part of the solution in addressing the significant supply shortages facing the Canadian recreational cannabis market," said Alison Gordon, co-CEO of 48North.
48North's supply agreement with the OCS was signed on June 7, 2019, and pertains to calendar year 2019.
48North Cannabis Corp. (TSXV: NRTH) is a vertically integrated cannabis company focused on the health and wellness market through cultivation and extraction, as well as the creation of innovative, authentic brands for next-generation cannabis products. 48North is developing formulations and manufacturing capabilities for its own proprietary products, as well as positioning itself to contract manufacture similar products for third parties. 48North operates Good Farm, a 100-acre organic cannabis farm that is expected to produce more than 40,000 kilograms of organic, sun-grown cannabis securing a significant first-mover advantage in the production of low-cost, next-generation, extract-based cannabis products. In addition, 48North operates two indoor-licensed cannabis production sites in Ontario with more than 86,000 square feet of production capacity. 48North cultivates unique genetics at its wholly owned subsidiaries, DelShen Therapeutics Corp. ("DelShen") and 2599760 Ontario Corp. dba Good & Green ("Good & Green"), both Licensed Producers under the Cannabis Act. 48North has a growing portfolio of brands that include Latitude, a women's cannabis platform (explorelatitude.com); Mother & Clone, a rapid-acting sublingual cannabis nanospray (momandclone.com); and Avitas, a single strain vaporizer cartridge (avitasgrown.com).
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Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words "could," "intend," "expect," "believe," "will," "projected," "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the parties' current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. Forward-looking statements in this news release include statements relating to the business plan and future operations of the Company. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the forward-looking statements, including the possibility that the business plan described herein will not be completed, that 48North may not derive the expected benefits from such business plans, or that applicable regulatory approvals will be obtained to carry out the activities contemplated herein. The business of the Company is subject to a number of material risks and uncertainties. Please refer to the Company's SEDAR filings for further details. Various assumptions or factors are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking information. Those assumptions and factors are based on information currently available to the parties. The material factors and assumptions include the Company being able to obtain the necessary corporate, regulatory and other third-party approvals, and licensing and other risks associated with the Cannabis Act. The forward-looking information contained in this release is made as of the date hereof and the parties are not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein.
SOURCE 48North Cannabis Corp.
For further information: Alison Gordon, co-Chief Executive Officer, (email@example.com); Connor Whitworth, Director of Corporate Affairs, (firstname.lastname@example.org)