Kelowna, B.C. -- June 20, 2018 -- InvestorsHub NewsWire --
Valens GroWorks Corp. (CSE: VGW) (the “Company” or
“Valens”), a multi-licensed, vertically integrated
provider of cannabis products and services utilizing proprietary
extraction processes, is pleased to provide an update on subsidiary
Valens Farms’ state-of-the-art, purpose-built 400,000 sq ft,
expandable (to 800,000 sq ft) cannabis cultivation and production
facility, currently under development.
“I am extremely excited to confirm the following highlights and
key participants brought together to complete the Valens Farms
facility.” said Tyler Robson, Valens CEO. “The intent is to
build a facility nothing short of world-class as Valens continues
to evolve into a vertically-integrated provider of Valens-branded
cannabis consumer products with the ability to quality control
every batch of input.”
About Valens Farms - $75,000,000 joint venture
development of prime acreage with a purpose-built,
state-of-the-art, European GMP-certified cultivation center within
the municipality of the City of Armstrong.
- Phase 1 buildout to 400,000 sq ft (permitted for up to 800,000
sq ft);
- Zero cash outlay for Valens, with Kosha contributing 100% of
land, building and equipment costs;
- All hard assets will be split 50/50 between Kosha and Valens,
thereby providing $37.5 million of net assets to Valens’ balance
sheet with no cash outlay or liability incurred;
- Valens’ current Dealers License and GMP-certified facility in
Kelowna is leveraged through Valens Farms’ production, enhancing
opportunities to export cannabis products internationally;
- Initial crop planting at joint venture facility is expected in
Q4 2018, with Valens and Kosha to split profits on a 50/50 basis
following cost recovery by Kosha;
- Valens Farms is expecting Phase 1 production of up to 56,000 kg
per year of premium monocrop cannabis, primarily for extraction
purposes. Monocropping minimizes grow time, allows greater crop
turnover, and is expected to enhance profit margins;
- Subsidiary Valens Agritech will extract cannabis all produced
at Valens Farms for further processing into higher-margin
Valens-branded products for medical, as well as the expected
recreational cannabis markets in Canada and internationally.
Valens Farms has contracted a proven, professional team to help
reach its objective of capitalizing on a systematic and efficient
growing approach that enhances productivity and efficiency and
reduces waste and maintenance costs in comparison to a retrofitting
of existing buildings approach.
In addition to the specific contributions and skillsets of each of
the partners, the following are some of the key contributors to the
Valens Farms buildout:
- Nexus Greenhouse Systems is an industry leader
in greenhouse construction, with 50 years of in-house engineering
experience and the successful installation of many cannabis
greenhouse projects all over North America. Their System 420TM
hybrid greenhouses offer engineering excellence and high-quality
design. Greenhouse growing allows Valens Farms to maximize the use
of natural sunlight along with supplementary lighting to grow
vigorous, lush crops while reducing production utility bills by up
to 75%.
- DIRTT Environmental Solutions is designing and
constructing the headhouse. They are known for constructing quality
special-purpose interiors efficiently, which conforms to our
aggressive build-out strategy and GMP certification process. The
headhouse will be fully integrated with our automated intelligence
systems, providing the ability to maintain perfect environmental
control within dedicated drying/curing and product storage
rooms.
- Argus Controls is providing an advanced
environmental control system customized to our requirements, and
adaptable to changing needs, enabling our team to set and maintain
optimal conditions to efficiently and consistently grow cannabis of
the highest quality.
- Dramm Corporation is providing fully automated
irrigation systems with the ability to precisely fertigate our
plants multiple times a day, substantially reducing the cost of
labor. Utilizing Dramm's option for water reclamation, we will
minimize costs as well as our environmental footprint.
- PIPP Horticulture has been contracted to
provide solutions that maximize our grow space by taking advantage
of generally unused vertical square footage, particularly in our
mother and vegetative grow rooms.
- Hove’s Canna Gutter Bench is providing
additional solutions to help maximize grow space and work
efficiency through the aid of rolling benches, taking usable grow
space from 60% to as much as 90% while significantly aiding
workers’ flow and ergonomics.
About Valens GroWorks
Valens GroWorks Corp. is a vertically integrated provider of
Canadian cannabis products developed from our proprietary
extraction techniques, with three wholly-owned subsidiaries located
in and around Kelowna, BC. Subsidiary Valens Agritech has initiated
cannabis production, processing and sales under a Health Canada
Dealer’s Licence, which includes a supply agreement with Canopy
Growth Corporation under their extensive CraftGrow distribution
network. Subsidiary Supra THC Services is a Health Canada licensed
ISO 17025 accredited cannabis testing lab providing sector-leading
analytical services and has partnered with Thermo Fisher Scientific
to develop a Centre of Excellence in Plant Based Medicine
Analytics. Subsidiary Valens Farms is in the process of becoming a
purpose-built facility in compliance with European Union (EU) Good
Manufacturing Practices (GMP) standards, ensuring the product from
this facility can be exported anywhere in the world where Cannabis
is nationally legal for medical or adult usage purposes. For more
information, please visit http://valensgroworks.com, http://www.valensagritech.com and http://www.suprathc.ca.
About Kosha Projects
Kosha’s principal, Ashley McGrath, has been involved in real estate
development for 14 years as the president and owner of Glencoe
Developments Inc. He has overseen all facets of the development
business from land acquisition, planning, construction, finance and
sales for over 850,000 square feet of development space. He owns
and oversees the management of a $22.5 million rental portfolio of
residential and commercial real estate. Mr. McGrath is also a
shareholder in agribusiness operating over 400,000 square feet of
indoor livestock production as well as a 23,000-acre grain
farm.
For further information, please contact:
Scott Young
Telephone: +1.705.888.2756
Notice regarding Forward Looking Statements
This news release contains certain "forward-looking statements"
within the meaning of such statements under applicable securities
law. Forward-looking statements are frequently characterized by
words such as “anticipates”, "plan", "continue", "expect",
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"will" occur. These statements are only predictions. Various
assumptions were used in drawing the conclusions or making the
projections contained in the forward-looking statements throughout
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opinions and estimates of management at the date the statements are
made and are subject to a variety of risks and uncertainties and
other factors that could cause actual events or results to differ
materially from those projected in the forward-looking statements.
The Corporation is under no obligation, and expressly disclaims any
intention or obligation, to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as expressly required by applicable law.
The CSE or other regulatory authority has not reviewed, approved or
disapproved the contents of this press release. We seek Safe
Harbour. |