VANCOUVER, BC / ACCESSWIRE / August 23, 2019 / Stillcanna Inc. (OTC PINK:SCNNF)(CSE:STIL)(FSE:A2PEWA) ("STIL" or the "Company") is excited to announce a completed and signed definitive agreement to supply Sequoya Cannabis with hemp biomass from its Polish farms. Under the terms of the agreement Stillcanna will provide dried flowers from the tops of the hemp plant, with humidity not to exceed 10%, and a Cannabinoid content of 5% or above. The biomass will be 3rd party tested and free of pesticides, heavy metals, toxins and microbials. Sequoya will be responsible for shipping the biomass from Stillcanna’s facility to their own.
This agreement, which is worth approximately C$850,000 represents about 3.5% of Stillcanna’s forecasted biomass from its 2019 harvest, based on the Company’s previously released estimated harvest numbers of 350 kilos of flower per hectare.
“Stillcanna has always been focused on being a large scale manufacturer and supplier to the global CBD industry,” stated Jason Dussault CEO of Stillcanna. “Whether the opportunity is isolate, distillate or biomass, we want to be the industry’s bulk supplier. This initial biomass agreement is inline with the Company’s sales strategy. The more we speak with the principals of Sequoya the more we learn about the synergy of our Companies and the many ways we can work together beyond this initial agreement. From cooperative marketing, research, and product development we feel there are multiple benefits for our firms to work together in the European market.”
So now we knom that Stil will be using "3rd party testing" as done by any serious player in the sector.
We know the valuation of the general crop before Distillation and Extraction to be a value of about 25 million$.
We can asume Stil has a higher interest in their final main product, Isolate' rather than Extract as Sequoya is more dependant on a Co2 extract system that has Flavanoids remaining in final products in large amounts and a lesser potential for Isolate production.. perhaps Stil can produce at a better price for Sequoya, Isolate, being Stil will have the best cost to create.
We know that Stil must engage thier Drying processes, I still would like to hear of the manufacturer of that/those devices- for volumes capability confirmations.
All in all good developements, first contract to fill... might we hear of first 'dollars' banked in 30+ days?
Also should be mentioned Sequoya has made serious inroads with the Polish FMCG markets, I mention because it is a modeling('FMCG') rather unique to the E.U. way of doing buisness..
for example a brief look here might explain.. some of the participators which will undoubtaly want to engage vesting in CBD infused added products when the status is adapted for inclusion of said CBD additive...
www.foodfrompoland.pl/article/art_id,24710-170/polish-fmcg-market-u-2018-summary/
