Australian medical hashish firm Cann Group (ASX:CAN) has been awarded a grant beneath the Victorian Government’s Regional Jobs Fund.
Cann Group is establishing a large-scale medical hashish cultivation and manufacturing facility in Mildura with the potential to create 150 new everlasting jobs. The firm was final week awarded a grant for as much as $1.975 million in reference to the undertaking, with the funding to help in electrical energy upgrades on the website.
“Our plans to develop commercial scale production capacity at Mildura are central to the Company’s strategy of being a fully integrated medicinal cannabis company that can service both Australian domestic patients and access valuable overseas markets,” said Cann Group CEO Peter Crock. “This grant is a tangible demonstration of support from the Victorian Government in terms of our objectives.”
Minister for Agriculture and Regional Development Jaclyn Symes stated the undertaking aligns instantly with the Victorian Government’s Medical Cannabis Industry Development Strategy, which has set the lofty objective of supplying half of Australia’s medicinal hashish by 2028.
“This is a hugely promising sector, and backing projects like this put Victoria at the forefront of medicine and the creation of a new local industry,” said Minister Symes on Friday.
The undertaking has already supported jobs for 133 locals throughout building and is predicted to create $191 million for the Mildura area when completed. The facility was initially to have the ability to produce 70,000kg of dry flower each year from the get-go, however Cann Group then determined to construct in levels. The first stage will have the ability to produce 12,500kg yearly, following by a second stage of the identical functionality – with the power to scale as much as the 70,000 kilogram manufacturing capability if situations are appropriate.
Mildura is a area well-known for agriculture and was chosen by Cann Group due to this and given its sunshine and excessive gentle depth, that are conducive to cultivating hashish crops.
In November final yr, Cann Group stated the primary stage commissioning goal was to be late 2020 topic to funding and regulatory approvals, licences and permits being issued. A problem to come up since then is COVID-19 and in April the corporate indicated this may increasingly impression commissioning date.
Established in 2014, Cann Group was the primary firm to be issued a Cannabis Research Licence by the Australian Government’s Office of Drug Control (ODC), which occurred in February 2017. By the end of July last year, it held all medical hashish cultivation, manufacturing and manufacturing licences obligatory beneath the Australia’s Narcotics Drugs Act.