Christina Lake Cannabis Corp. (the “Company” or “CLC” or
“Christina Lake Cannabis”) (CSE:CLC) (FRANKFURT: CLB) is
pleased to announce that one of its cannabis distillate oils has
been certified to have a tetrahydrocannabinol (“THC”) concentration
of 90.3% based on a certificate of analysis dated January 15, 2021
from a testing laboratory accredited by Health Canada. The Company
recently announced its intent to primarily focus on producing
cannabis distillate oils by extracting from its 2020 harvest of
32,500 kg / 71,650 lb of biomass grown under natural sunlight.
Based on market demand for distillate oils, which typically contain
THC concentrations in excess of 90%, the Company believes it is
uniquely positioned in the cannabis marketplace to be a competitive
supplier of distillate oils. Additionally, the Company is planning
to blend cannabis-derived terpenes with its distillate oils, a
combination which has only recently been requested in the Canadian
cannabis industry despite being relatively common in other markets.
As a fully integrated producer of cannabis oils, the Company is
favourably situated in the Canadian cannabis industry on account of
its control over and visibility into the production chain. CLC has
a genetic databank consisting of over 100 proprietary cannabis
strains and a total inventory of over 600,000 seeds, which it began
cultivating outdoors last spring at its facility in Christina Lake,
British Columbia with over 950,000 square feet / 88,258 square
metres of outdoor grow space. After harvesting and processing the
crop, the Company then extracts oils from its dried biomass using
its Vitalis R-200 CO2 extraction machine. This year, the Company
has been successful in producing commercial quantities of
market-ready winterized cannabis oil with distinct terpene
profiles, which are sought-after for use in recreational products
under Cannabis 2.0 for adult consumers (e.g., vapes, edibles,
topicals) as well as in medicinal products.
A photo accompanying this announcement is available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/e25f8258-6e5b-449f-b15c-b7114897f4cf
Readers using news aggregation services
may be unable to view the media above. Please access SEDAR or
the Investor Relations section of
the Company’s website for a version of this press release
containing all published media.
In CLC’s January 13, 2021 press release, it was announced that
the Company was beginning to produce ultra-high potency cannabis
distillate oils, samples of which are presently undergoing
independent third-party assessment of THC levels and other metrics.
Distillate oils are not commonly used as a standalone product, but
rather as an ingredient in products which could be enhanced through
the addition of concentrated THC (e.g., food and beverage, personal
care, cosmetics). Although the ability to produce cannabis
distillate oils is not unique in and of itself, the Company
benefits from several advantages it has as a fully integrated
producer which can allow for lower risk, above-average profit
margins, and greater supervision.
Cost of Raw
Materials: Cultivating cannabis outdoors naturally using
sunlight allows for substantially lower costs compared to growing
in greenhouses or indoors. Given the ratio of dried biomass needed
for each millilitre of cannabis oil, even small differences in the
cost of biomass can have a significant effect on the profitability
of a producer of cannabis extracts.
Robust Supply:
Because the exact yield rate of distillate oil from dried biomass
is not always known, producers of cannabis extracts often risk
depleting their supply in the event that yields are lower than
expected. As the Company’s inaugural harvest garnered 32,500 kg /
71,650 lb of biomass, CLC possesses a sufficient supply of raw
material to handle this risk without a significant effect on
profitability.
Extraction Costs:
Extraction is a function that is typically outsourced by cannabis
producers, which tends to be more costly than extracting in-house.
The Company owns its Vitalis R-200 CO2 extraction machine and all
ancillary equipment, and has extraction personnel on staff. As
such, the Company’s relatively low costs of extraction could prove
advantageous in reducing CLC’s net cost of producing cannabis
distillate oils.
In-House Visibility:
Another disadvantage of outsourcing cannabis extraction to a third
party is a lack of ongoing visibility into the processes.
Observations made during each step of the way from initial
extraction to final distillation are crucial to ensuring a
consistent and high-quality finished product, especially when
controlling for operational variables and unique properties of
specific strains. CLC’s extraction workflows are designed to gather
insights in great depth, which can be analyzed collaboratively to
make cultivation and business decisions based on observations from
empirical data collected during extraction.
Joel Dumaresq, Chief Executive Officer and a director of the
Company commented, “Part of our vision with Christina Lake Cannabis
was not just to maximize the advantages that come from growing
outdoors, but also integrating as much as we can into our in-house
operations so that we can do things other licensed producers cannot
necessarily do. There are many moving parts to any agricultural
product ranging from the seed, to the setting in which it is grown,
to techniques for cultivation, to harvesting, to post-harvest
activities such as extraction. We have sought to bring all of this
in house which can enable us not only to reduce costs, but also to
oversee each and every step to ensure consistent quality. As we
work towards making our first sales of cannabis extracts, it is
becoming clear that we have done many things right, and we are
confident that market reception could reflect this and give us the
opportunity to further optimize our strategies for our second year
of growing and beyond.”
About Christina Lake Cannabis Corp.
Christina Lake Cannabis Corp. is a licensed producer of cannabis
under the Cannabis Act. It has secured a standard cultivation
licence and corresponding processing/sales amendment from Health
Canada (March 2020 and August 2020, respectively) as well as a
research and development licence (early 2020). CLC’s facility
consists of a 32-acre property, which includes over 950,000 square
feet of outdoor grow space, offices, propagation and drying rooms,
research facilities, and a facility dedicated to processing and
extraction. CLC also owns a 99-acre plot of land adjoining its
principal 32-acre site, which enables the Company to grow at a much
larger scale. CLC cultivates cannabis using strains specifically
developed for outdoor cultivation and in its inaugural harvest year
produced 32,500 kg (71,650 lb) on its existing facility before
developing an adjacent 99-acre expansion property. Such an
expansion will ultimately bring CLC’s annual cultivation footprint
to over 4.35 million square feet, which could enable at least
150,000 kg (330,693 lb) of low-cost, high-quality, sun-grown
cannabis to be produced annually by the Company.
On behalf of Christina Lake Cannabis Corp.:
“Joel Dumaresq”
Joel Dumaresq, CEO and Director
For more information about CLC, please visit:
www.christinalakecannabis.com
Jamie FrawleyInvestor Relations and Media
Inquiriesjamie@clcannabis.com 416-268-9432
THE CANADIAN SECURITIES EXCHANGE (“CSE”) HAS NOT REVIEWED AND
DOES NOT ACCEPT RESPONSIBILITY FOR THE ACCURACY OR ADEQUACY OF THIS
RELEASE, NOR HAS OR DOES THE CSE’S REGULATION SERVICES
PROVIDER.
Forward-Looking Information: This news release includes certain
statements that may be deemed “forward-looking statements.” The use
of any of the words “anticipate,” “continue,” “estimate,” “expect,”
“may,” “will,” “would,” “project,” “should,” “believe” and similar
expressions are intended to identify forward-looking statements.
Although the Company believes that the expectations and assumptions
on which the forward-looking statements are based are reasonable,
undue reliance should not be placed on the forward-looking
statements because the Company can give no assurance that they will
prove to be correct. Since forward-looking statements address
future events and conditions, by their very nature they involve
inherent risks and uncertainties. These statements speak only as of
the date of this News Release. Actual results could differ
materially from those currently anticipated due to a number of
factors and risks including various risk factors discussed in the
Company’s disclosure documents which can be found under the
Company’s profile on http://www.sedar.com.
Statement Regarding Third-Party Investor Relations
Firms
Disclosures relating to investor relations firms retained by
Christina Lake Cannabis Corp. can be found under the Company's
profile on http://sedar.com.
Core Laboratories (NYSE:CLB)
Historical Stock Chart
From Jun 2024 to Jul 2024
Core Laboratories (NYSE:CLB)
Historical Stock Chart
From Jul 2023 to Jul 2024