TORONTO, May 23, 2017 /CNW/ - Cronos Group Inc. (TSXV:MJN)
("Cronos" or the "Company") is pleased to announce the Company's
wholly-owned licensed producer ("LP"), the Peace Naturals Project
Inc. ("Peace"), breaks ground today on a 315,000 sq. ft.
expansion. The expansion includes a state-of-the-art 286,000
sq. ft. production facility (the "New Facility"), a 28,000 sq. ft.
greenhouse (the "Greenhouse"), and an additional 1,200 sq. ft.
extraction laboratory (the "Extraction Lab"). Upon
completion, the New Facility is expected to be the largest
purpose-built indoor cannabis production facility in the world.
This expansion will establish the Peace production campus as
Cronos' global center of excellence. The New Facility is
designed to Good Manufacturing Practice ("GMP") certification
standards and will include:
- Designated area for proprietary genetic breeding
- Pharmaceutical laboratory for cannabinoid and terpene
extraction, identification, and formulation
- R&D space for analyzing metabolite enhancement and new
lighting technologies
- Tissue culture laboratory
- Industrial-grade kitchen
- Processing infrastructure capable of supporting production
output from other Cronos facilities
The superstructure is expected to be complete by November 2017, with the New Facility fully
operational by summer 2018. This expansion will bring Peace's
total estimated production capacity to 40,000 KG on an annualized
basis.
"Over the past six months, we've compiled research on numerous
methodologies, ultimately culminating in a state-of-the-art
facility that integrates lean manufacturing, production
efficiencies, and commercial agricultural best practices. As
an organization, we take a relentless approach to operational
optimization," said David Hsu.
The Company also breaks ground today on a 28,000 sq. ft.
Greenhouse that will provide low-cost flower for extraction.
The Greenhouse will be used to collect data and implement advanced
cultivation techniques that can be replicated across Peace, ITZ and
future international production campuses.
A 1,200 sq. ft. pharmaceutical-grade Extraction Lab will be
connected to the Greenhouse, expanding Peace's current extraction
capacity. The Extraction Lab will augment capabilities in both
purification and recombination of cannabinoid compounds to create
innovative formulated products. Completion of both the
Greenhouse and Extraction Lab are expected by the end of summer
2017.
"The New Facility will serve as Cronos' center of excellence,
providing a platform for top plant scientists, chemists and
pharmacologists to advance the science of cannabis. With the
ability to build approximately 5,000,000 sq. ft. of facilities
across our licensed domestic platforms, this is only the first
phase of our expansion. We will continue to be aggressive,
but disciplined, constantly evaluating new technologies and
exploring international low-cost production sites before each phase
of expansion. We're excited to bring Peace to the world," said
Mike Gorenstein, CEO of Cronos.
About Cronos Group
Cronos Group, is a geographically diversified and vertically
integrated cannabis company that operates two wholly-owned Licensed
Producers ("LPs") regulated within Health Canada's Access to
Cannabis for Medical Purposes Regulations (the "ACMPR") and holds a
portfolio of minority investments in other Licensed Producers. The
Company's flagship LPs, Peace Naturals Project Inc. (Ontario), and In The Zone Produce Ltd.
(British Columbia) are
collectively situated on over 125 acres of agricultural land and
are currently licensed to produce 2,600 kg of cannabis on an annual
basis. Cronos Group is focused on building an international
iconic brand portfolio, providing patients with compassionate and
personalized care, and creating value for our shareholders.
Forward-looking statements
This news release may contain "forward-looking information" and
"forward-looking statements" within the meaning of applicable
Canadian securities legislation. All information contained herein
that is not clearly historical in nature may constitute
forward-looking information. Forward-looking statements are
necessarily based upon a number of estimates and assumptions that,
while considered reasonable by management, are inherently subject
to significant business, economic and competitive risks,
uncertainties and contingencies that may cause actual financial
results, performance or achievements to be materially different
from the estimated future results, performance or achievements
expressed or implied by those forward-looking statements and the
forward-looking statements are not guarantees of future
performance. Except as required by law, Cronos Group disclaims any
obligation to update or revise any forward-looking statements.
Readers are cautioned not to put undue reliance on these
forward-looking statements. This news release contains information
obtained by Cronos Group from third parties. Cronos Group believes
such information to be accurate but has not independently verified
such information.
Neither the 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.
For more information, please visit www.thecronosgroup.com.
SOURCE Cronos Group Inc.