Creso Pharma Canadian subsidiary ramps up cannabis production ahead of premium retail product launchMernova Medicinal Inc is scaling up cannabis production towards maximum capacity to meet growing demand from medical and recreational markets in Canada.
Mernova’s Lemon Haze product utilising the new post-harvest processes
Creso Pharma Limited’s (
ASX:CPH) (FRA:1X8) Canadian subsidiary Mernova Medicinal Inc is ramping up cannabis production towards maximum capacity ahead of the launch of its premium retail products.
Mernova, a licensed producer in Nova Scotia, Canada, has been focusing on streamlining its operations to meet growing demand from medical and recreational markets in Canada after it received its sales licence from Health Canada in May.
These optimisation changes have streamlined production and delivered tangible improvements to cannabis quality, with increased yields expected over the coming months.
Initial offeringsMernova’s high-quality initial offerings will be dried flower in its natural form, with other new premium products such as extracts and pre-rolled joints soon to follow.
Mernova has also initiated several proprietary processes to enhance product quality to meet growing demand for small-batch, artisanal cannabis products in Canada.
The improvements have recently been made to Mernova’s post-harvest processes and are already having positive effects on the aroma, appearance, feel and overall quality of the cannabis.
In talks with several partiesCreso said it was in discussions with several parties in North America over the sale of its high-quality dried flower and cannabis 2.0 products and will update on further progress when possible.
Creso Pharma chief executive officer and co-founder Dr Miri Halperin Wernli said: “Mernova has been busy setting the stage for its retail product launch and we are delighted with the level of activity achieved over the past few months, even amidst the backdrop of challenging global conditions.
“Alongside the streamlining of operations, discussions are also underway with a number of potential customers in the Canadian market and we look forward to updating shareholders on developments when appropriate.”
Seeking high-quality productMernova managing director Jack Yu said: “Early in our planning, we identified that the premium market is looking for high-quality cannabis, specifically indoor grown, small-batch, artisanal product that isn’t grown under the same ‘factory’ processes used by a number of the large-scale cannabis producers.
“We saw this as a massive near-term opportunity for Mernova and we believe we are now well placed to fill this gap in the market.
“Following the implementation of several proprietary processes, we are confident that we are now producing some of the best legal cannabis in Canada, which sets us apart from many of our peers, and we look forward to reporting on sales and supply agreements when we are able.”
Nova Scotia production facilityMernova’s Windsor state-of-the-art, Good Manufacturing Practice-ready indoor facility was completed towards the end of 2018.
Covering 24,000 square feet there is an option to expand an additional 200,000 square feet and has the potential capacity to produce up to 3,500 kilograms of cannabis annually and expansion capability of up to 10 times this amount.
The Windsor facility received its licence to cultivate from Health Canada in February 2019.
