Cannabix Technologies Inc (BLOZF)

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Quiet Here — BAC Company push for THC Breathalyzer

In August 2016 we entered into an exclusive patent license agreement with Sandia Corporation pursuant to which we acquired the exclusive rights to develop, manufacture and market Sandia's patented SpinDx™ technology for the detection of drugs of abuse. SpinDx uses a centrifugal disk with micro fluidic flow paths allowing multiple tests to be carried out on a single small sample. We intend to use this technology, sometimes referred to as "Lab on a Disk", to develop devices and tests that could be used at roadside, emergency rooms and in workplace testing to get a rapid and quantitative measure for a panel of drugs of abuse. SpinDx has demonstrated the ability to detect levels of THC down to 1 nanogram per milliliter under laboratory conditions. This includes resolving the psychoactive delta-9-THC from its inactive metabolites. Resolving the psychoactive levels from metabolites is an important step in establishing impairment. We believe this license agreement signifies the beginning of a relationship that will become material to the Company in the future. A prototype was built by Sandia under our Cooperative Research and Development Agreement and received in 2017, after which we commenced work on commercializing the device. We plan to continue and intensify these efforts in 2018.