Isracann Biosciences (IPOT.C) got the regulatory nod from the Israeli Land Authority for their land use and facility design, but before they can get started with construction of their phase 1 build-out, they’re going to need permits from the Israeli Settlement Commissioner and the Israeli Ministry of Health, both of which are pending.
The first phase of their buildout involves the construction of two facilities, the combined total of which will be 115,000 square feet. Each of these greenhouses is based on a 57,500 square foot floorplan and will offer an annual production capacity of 5,750 kilograms of dried cannabis flower. The facilities will be constructed with Israeli Medical Cannabis Agricultural Practices and Good Security Practices compliance in mind.
“This is a milestone for the venture and validates the groundwork, including technical and administrative efforts we have undertaken in recent months to ensure we continue to meet our regulatory targets on schedule. With this approval in place we have met the initial hurdles regarding land use. Now, we can get started with the next step of getting shovels in the ground and begin the business of building our business,” said Darryl Jones, CEO of Isracann.
In a lot of ways, the cannabis industry in Israel isn’t that much different from ours here in Canada. Each facility requires the regulatory nod, with set specifics governing size, environmental factors and other considerations. In Canada, most of these regulations come off as excessive, (such as our prohibitions of branding) but some are absolutely necessary. You don’t want your customers injesting the smoke from cannabis that’s been irrigated with bacteria-laden water. In this case, it’s one of those circumstances where the Israeli (and Canadian) government works together with producers to ensure that the best interests of the public are served.
Also like Canada, there’s the various tiers of government, and the ministries that go along with such, to be appeased before the company can even think about starting moving plants inside.
For example: Each facility comes custom designed with an eye towards the environmental needs of the region, and includes highly ventilation framework with curtains on all four sides of the a vaulted roof configuration. Isracann intends on constructing a greenhouse in Nir, Israel and has finalized the engineering drawings from architectural firm, AgroPlan, towards that end.
The scope of the project includes a roof using polyethylene sheets specifically installed for cannabis cultivation to maximize the amount of sunlight exposure offered by Israel. The cooling and ventilation system utilize three types of fans that help control temperature, humidity and radiation throughout the entire facility. The packing facility includes offices with a built-in kitchen for employees, and a post-harvest area totaling 6,500 square feet featuring dedicated drying, curing and trimming rooms.
The structural designs are in keeping with Israeli standards as it pertains to the use of steel and load standards, and the design was approved by the Israeli Ministry of Agriculture and Rural Development.
Each phase 1 greenhouse will have an eight-foot-tall fence surrounding the facilities with an electronic gate for vehicle access, and a CCTV installed to comply with Israeli Medical Cannabis Agency regulations.
This company is only two months out of their RTO with Atlas Blockchain, and there’s a solid chance that’s the reason why they’ve managed the downhill slide common to most cannabis companies after the bubble burst. But there’s also the distinct possibility that Isracann’s distribution chain, which includes access to the rest of the European market, may be the ace up their sleeve that’s kept them from suffering the slings and arrows of outrageous fortune common to most other companies in the space.
Either way, this company is one to watch.
Full Disclosure: Isracann Biosciences is an equity.guru marketing client.