VANCOUVER, British Columbia, Dec. 5, 2019 /CNW/ -- Core One Labs Inc. (CSE: COOL), (OTCQX: CLABF), (Frankfurt: LD6, WKN: A14XHT) ("COOL" or the "Company") announces that it has signed a letter of intent (the "LOI") to grow cannabis for a well-known California brand, Golden State Banana ("GSB"), with a set price for premium bud, bud, trim and processing.
The alliance between COOL and Golden State Banana will ensure that COOL has an outlet for a portion of the material grown indoor to a brand that has a demand for more product to sell in the California market. The LOI states that GSB will purchase the grade "A" dried bud for a price of $1,500 per pound, the dried small bud at $600 per pound and the trim from the indoor crop at $300 per pound. The Company is drafting a definitive agreement to finalize the terms.
Core One Labs Inc. President, Casey Fenwick, stated, "With such a volatile cannabis market, the fact that we know the selling price in advance will help the Company streamline its budgeting process and develop attainable revenue projections. Working with GSB is a great way to ensure the indoor product we grow has an immediate outlet to a brand with a heavy footprint in California. We also will be manufacturing some of their trim into concentrates that could potentially work to the benefit of both companies outside of it basic monetary value. GSB, as a brand, is massive, and I can see us working out a collaboration between their brand and our CannaStripsTM and Rêveur brands to help both companies gain additional market share."
About Core One Labs Inc.
Core One Labs Inc. is a technology company that licenses its technology to a state-of-the-art production and packaging facility located in Southern California. The Company's technology produces infused strips (similar to breath strips) that are not only a safer, healthier option to other forms of delivery but also provide superior bioavailability of cannabis constituents. Some strips will also include supplemental co-active ingredients such as nutraceuticals, vitamins and peptides. The technology provides a new way to accurately meter the dosage and assure the purity of selected product. From start to finish, the production process, based on the Company's technology, tests for quality and composition of all the ingredients used in each and every strip which results in a delivery system that is safe, consistent and effective. In addition, through its efforts to develop a better CannaStripsTM product, the Company has developed considerable expertise in cannabis extraction and nursery activities. The operational expertise developed by the Company as a result of these efforts has created new market opportunities for the Company in white label sales.
Core One Labs Inc. Brad Eckenweiler CEO & Director
The Canadian Securities Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. The Company cautions that all forward looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Such factors include, among other things: risks and uncertainties relating to the Company's limited operating history and the need to comply with environmental and governmental regulations. In addition, marijuana remains a Schedule I drug under the United States Controlled Substances Act of 1970. Although Congress has prohibited the US Justice Department from spending federal funds to interfere with the implementation of state medical marijuana laws, this prohibition must be renewed each year to remain in effect. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward looking information. Except as required under applicable securities legislation, The Company undertakes no obligation to publicly update or revise forward-looking information.