Nextleaf Solutions (OILS.C) subsidiary, Nextleaf Labs, inked a hemp processing agreement with BC-based CBD products producer, Green Light Solutions, according to a press release.
The processing agreement, more specifically, is through Green Light Solutions subsidiary, Joe’s Hemp Shack, which provides biomass to be processed into CBD refined oil or distillate at the Nextleaf’s processing facility. The pricing and value of the agreement is based on the volume of distillate produced from by Nextleaf from Joe’s biomass, and the extraction services are paid in cash.
“Adding a high quality hemp partner to our Commercial Partners Program has been a top priority for our Company. JOE’S ideology around their CBD products aligns perfectly with OILS vision. Nextleaf will supply high purity CBD refined oil and distillate to help power JOE’S CBD product strategy. The first order should be completed in Q1 of 2021 to service JOE’S distribution needs to select provinces,” said Charles Ackerman, Nextleaf CFO.
OILS is a Canadian extractor whose claim to fame is that they own the second most U.S. patents among all cannabis companies. Altogether, they have 12 issued U.S. patents and 70 issued patents globally, for the extraction, purification and delivery of cannabinoids. They wholesale also THC and CBD oil while providing private labelling, and extractions through their subsidiary Nextleaf Labs. They operate an automated closed-loop extraction plant in Metro Vancouver with the ability to process 600 kilos of dried cannabis biomass into distilled oil per day.
Now trading at $0.26, OILS is down 2% today continuing a multiple week slump from its early January high of $0.38.