Auxly’s Joint Venture Partner, Sunens Farms, Receives Cultivation Licence at Large-Scale Facility
Auxly Cannabis Group Inc. (TSX.V – XLY) is a consumer packaged goods company in the cannabis products market. The company announces that its joint venture partner, Sunens Farms Inc., has secured a standard cultivation licence from Health Canada for the first phase of its fully automated, purpose-built, 1.1 million sq. ft. greenhouse facility in Leamington, Ontario.
Auxly is an international cannabis company dedicated to bringing innovative, effective, and high-quality cannabis products to the medical, wellness and adult-use markets. Auxly’s experienced team of industry first-movers and enterprising visionaries have secured a diversified supply of raw cannabis, strong clinical, scientific and operating capabilities and leading research and development infrastructure in order to create trusted products and brands in an expanding global market.
The Sunens facility is operational and the team will immediately begin cultivating high-quality organic cannabis within the licensed area. This standard cultivation licence allows Sunens to commence bulk sales of cannabis following harvest without additional regulatory approvals. Sunens has secured a large and diverse genetic library consisting of over 200 unique strains. Cannabis harvested from the Sunens facility will support the production of Auxly’s branded derivative cannabis products manufactured at the Company’s Dosecann facility in Prince Edward Island.
This first phase of the licensed area includes approximately 360,000 sq. ft. of cultivation, processing, and storage space. The Company anticipates that the additional licence amendments for the remaining phases will be submitted throughout the course of 2020, and upon receipt of such amendments, the entire cultivation footprint for the project will be licensed.
“After spending several years researching cannabis facility design and optimal growing environments and having more than 25 years of experience building thousands of acres of high-tech, world-class greenhouses across North America, we have built what we believe to be the ultimate cannabis growing facility. We have also worked hard to assemble a very experienced team, from cultivation, operations and compliance, to enable Sunens to be a leader in the industry. Our objective is to produce the highest quality organic cannabis at the lowest cost possible,” said Peter Quiring, CEO of Sunens.
Hugo Alves, CEO of Auxly, added: “The receipt of this cultivation licence for the first phase of the Sunens project marks another key milestone for Auxly. The speed with which the joint venture project has been developed, constructed and licensed relative to its peers is a testament to the hard work and dedication of a very focused and capable team. Sunens will provide Auxly with a consistent, high-quality and cost-effective source of organic cannabis, giving us greater traceability and flexibility in the development and manufacturing of our branded products. We are focused on executing against our business plan and Sunens is an important piece of our strategy. This is a very happy day for everyone at Auxly.”