Heritage Cannabis Holdings’ (CANN.C) subsidiary, PhyeinMed, received the necessary licenses from Health Canada to commence extraction.
With both standard processing and medical sales licenses now in hand, PhyeinMed will immediately initiate the process of receiving over 50,000 kg of hemp feed stock.
The incoming stock will be processed by two Vitalis Q90 extraction systems at the company’s facility in Falkland, British Columbia.
An expert extraction team from Purefarma Solutions, another Heritage subsidiary, will process the hemp stock utilizing proprietary methods expected to produce top quality oils on a consistent basis.
Additionally, the processing license will enable PhyeinMed to engage with LPs under toll processing agreements for both white label and branded extracted products.
PhyeinMed’s medical sales license will allow it to provide medical education services and sell directly to patients who have been prescribed medical marijuana by their physician.
PhyeinMed is currently working with BriteLife Sciences, another Heritage subsidiary, to create proprietary formulations under the supervision of Dr. Chris Spooner, chief science officer at BriteLife.
Once the oil has been produced it will be inspected by Health Canada a final time before it’s sold.
Both licenses are a ticket to an exciting year for the company as well as its shareholders.
“We are extremely pleased to see PhyeinMed awarded these two very important licenses. This allows our company to stay on track with our plans for extraction, but also accelerates our plans for our medical cannabis sales,” said Clint Sharples, CEO of Heritage.
Regulation blunders and research monopolies
Even with the mounting evidence, research in the U.S. on the medical effectiveness of both THC and CBD has been in and of itself, less than effective.
The Nixon administration made marijuana a Schedule I drug back in 1970 on the advice of Roger O. Egeberg, assistant secretary of health, and seriously restricted any clinical testing of cannabis.
The National Institute on Drug Abuse’s (NIDA) monopoly on the growth and study of research-grade cannabis further compounds this problem by growing substandard product and severely constraining medical studies to fit within the department’s narrow agenda or denying them outright.
The DEA announced it would issue additional licenses in August 2016 for the cultivation of research-grade cannabis, but those wheels grind slowly and as of March 2018, none of the 25 applications submitted to the DEA have been approved.
This is why countries like Canada and Colombia and economic regions such as the EU are well ahead of America when it comes to harnessing the full power of cannabis’ medical benefits in pharmaceutical forms.
Privately-funded cultivation and research firms like PhyeinMed are leading the way into a new century of holistic treatments utilizing natural and effective medicines from a plant which found therapeutic use in China as early as 4,000 BC.
The year ahead
Heritage’s vertically integrated juggernaut-in-the-making has a nine-month window to establish its market footprint as the research end of cannabis gathers speed.
If the company is able to keep up with the studies that are on-going in countries like Israel, it could become a recognized brand in a global medical marijuana market expected to hit USD$37 billion by 2023.
Shares popped CAD$0.04 on high volume to rest at $0.52 per share by end of trading.
Currently the company has 408,915,484 issued and outstanding shares with a market cap of $212.6 million.
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