Very Insightful regarding the MMJ and Bayhorse not wanting to be a grower. Read below:
At the same time as Bayhorse is working on its potential silver mine, another business opportunity arose: medical marijuana. April 4, 2014, Bayhorse announced that it had retained the service of two consultants who provide services to the medical and recreational marijuana business in Colorado and Washington.
“We don’t want to get into the grow business.” explained O’Neill, “We want to explore the business opportunities which surround the business. We think there is the opportunity to be to the marijuana industry what the sutlers were to the Gold Rushes.” (Sutlers supplied the gold miners food and clothing and other supplies – the most famous sutler was Levi Strauss who invented blue jeans for the 49ers.)
“The marijuana business is heavily regulated. In Washington every five pounds of marijuana has to be tested. As a mineral exploration company we are used to operating in a highly regulated environment. We deal with labs and permits.”
For Bayhorse the marijuana business is all about buildings, grow systems, dealing with regulations, testing and, in some cases, sourcing the “seed” capital required to get the businesses going.
O’Neill himself brings a wealth of experience to the business, “I was actually a municipal inspector in North Vancouver in the 90's. I saw a lot of grow ops and the associated problems. For growing, marijuana is finicky. What a grower wants to do is turn a crop around every six weeks. We hope to provide the expertise and support to make that happen.”
While many juniors have been criticized for diving into the marijuana business without really having anything to actually contribute, O’Neill sees Bayhorse’s participation as a logical extension of its skill set.
“We’re not desperate. We’ve created two spinoff companies over the last few years for our shareholders and we’re looking forward to potential profits from the Barite Mine before the end of 2014. Legal marijuana is a brand new, highly regulated, business opportunity with a brand new business model.”
At time of writing Bayhorse traded at $0.135 with 19.3 million shares outstanding and a market cap of $2.6 million.
