Monday, May 20, 2019 9:18:58 AM
14 May 2019 – Cann Group Limited (ASX: CAN) is pleased to announce that the Victorian
Government has taken delivery of the first Australian sourced and commercially grown cannabis
resin for use by Australian patients.
Cann Group entered into a supply contract last October with the Victorian Department of Health
and Human Services (DHHS), through its Office of Medicinal Cannabis (OMC), for the supply of
cannabis plant extract (resin).
This delivery represents the first supply to Australian patients of medicinal cannabis resin
commercially grown and produced in Australia.
The cannabis resin has been extracted from dry cannabis flower produced at the Cann Group’s
undisclosed Southern Facility in Melbourne. The company has an agreement with Agriculture
Victoria to undertake the resin extraction process using a supercritical CO2 extraction method to
produce a whole plant extract. The resin subsequently undergoes further development into a
product formulation suitable for patient use.
Cann Group CEO Peter Crock said: “Our facility uses specifically designed grow rooms where
variables such as temperature, light and moisture are closely controlled. The company has
successfully completed 39 harvests at this facility, which continues to operate at full capacity.”
Work is about to start on Cann Group’s new large-scale state of the art cultivation facility near
Mildura which, when commissioned in 2020, will have the capacity to produce up to 50,000
kilograms of dry flower per year.
Mr Crock said Cann Group is pleased to be associated with the Victorian Government’s
compassionate access scheme, which aims to improve the quality of life for young epilepsy
patients and their carers.
“Our resin delivery, and the revenue generated from it, represents a key milestone for the
company, the commercial terms of which have not been disclosed. We will also broaden our
distribution and sales activity through other Australian channels and look forward to export sales
when the Mildura facility is commissioned in the third quarter of 2020.”
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