TORONTO and MEDELLÍN, Colombia, Jan. 27, 2017 /CNW/ - In a significant initiative intended to support the transition of the regional Colombian economy following the peace agreement with FARC, PharmaCielo Colombia Holdings S.A.S. CEO Federico Cock-Correa is pleased to announce that the Company has signed an exclusive agreement with Cooperativa Caucannabis to jointly develop cannabis cultivation in the historic cannabis producing region of northeastern Cauca, Colombia.
Formed in mid-2016, Cooperativa Caucannabis is a cooperative comprised of 53 regional farmers in the northeastern Cauca department from five communities: Corinto, Toribío, Miranda, Caloto and Jambaló. The mayors of these five communities, together with the full support of the Government of Colombia, encouraged the creation of this innovative initiative to eliminate illegal cannabis production and unite the region's cultivators in an association that could apply for legal cultivation licensure under the terms of recently announced Colombian legislation.
"Regional partnership with Cooperativa Caucannabis is a reflection of our commitment to leading Colombia's newly-formed cannabis industry in a way that should benefit all of Colombia," said Federico Cock-Correa. "As fellow Colombians, we believe that supporting small producers is essential to the economic health of local communities, the national economy and PharmaCielo alike."
Under the terms of the agreement, PharmaCielo and Cooperativa Caucannabis will jointly apply for cannabis cultivation licensing from the Government of Colombia. The agreement positions Cooperativa Caucannabis and its members to participate in Colombia's legal cannabis industry by working together with PharmaCielo to cultivate cannabis that will be harvested for the purposes of producing standardized, medicinal-grade oil extracts and related products.
The harvest gathered from the Cooperativa Caucannabis members will be in addition to existing contract grower relationships that PharmaCielo holds in the Rionegro region, and will significantly increase PharmaCielo's overall cultivation and harvest volume.
As part of the agreement, PharmaCielo will purchase land in the region to construct a fully secure, scalable cultivation facility that will house open-air greenhouses similar to those currently operating at its nursery and propagation centre in Rionegro. The contract grower arrangement with Cooperativa Caucannabis will also enable PharmaCielo to access and propagate indigenous Colombian strains in their natural environment where they have become acclimatized over decades, and even centuries.
"PharmaCielo is proud to have the opportunity to work together with Cooperativa Caucannabis to develop sustainable, legal production in the northeastern Cauca region of Colombia. We took part, together with the farmers and governmental representatives, in several town hall meetings to ensure that all stakeholders' interests were taken into consideration in this process. A former FARC stronghold ravaged by decades of conflict, the small cannabis farmers living in the war-torn towns and villages throughout this historic cannabis producing area of Colombia deserve to participate in Colombia's newly legalized cannabis industry," said Cock-Correa. "We look forward to developing additional strategic partnerships with regional associations of small producers throughout the country in the future and supporting the country's post-conflict rebuilding efforts."
About PharmaCielo Ltd.
PharmaCielo Ltd. is a global company privately held and headquartered in Canada, with a focus on processing and supplying all natural, medicinal-grade cannabis oil extracts and related products to large channel distributors. PharmaCielo's principal (and wholly-owned) subsidiary is PharmaCielo Colombia Holdings S.A.S., headquartered at its nursery and propagation centre located in Rionegro, Colombia.
The boards of directors and executive teams of both PharmaCielo and PharmaCielo Colombia Holdings are comprised of a diversely talented group of international business executives and specialists with relevant and varied expertise. PharmaCielo recognized the significant role that Colombia's ideal location will play in building a sustainable business in the medical cannabis industry, and the company, together with its directors and executives, has built a compelling business plan focused on supplying the international marketplace.
This press release may contain forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "estimates", "intends", "anticipates" or "does not anticipate", or "believes", or "recurring" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors, such as demand for the Company's products, currency exchange changes and risks, internal funding and the financial condition of the Company, product roll-out, competition, technological changes, and other commercial matters involving the Company, its products, and the markets in which the Company operates, as well as general economic conditions, which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this press release. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
Except as required by law, we undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise. However, any further disclosures made on related subjects in subsequent reports should be consulted.
To view this news release in HTML formatting, please use the following URL: http://www.newswire.ca/en/releases/archive/January2017/27/c8724.html
For further information: www.PharmaCielo.com; Media Relations: David Gordon, Tel: +1 647 259 3258, [email protected]; (Colombia) Juan Manuel Cuellar, Tel: +57 310 3298776, [email protected]; Investor Inquiries: Tel: +1 647 560 4640, Toll Free 888 968 8279, [email protected]