Cannabis Production Summary
In
The amount harvested at Zenabis Atholville for the three months ending
Revised Design Capacity | Jan 2019 | Feb | Mar | Apr 2019 | May 2019 | June 2019 | July 2019 | Aug | Sept 2019 | Oct 2019 | Nov 2019 | Total |
Actual Harvest Weight (kg) | 474 | 480 | 518 | 809 | 908 | 756 | 1,238 | 1,912 | 2,089 | 3,586 | 2,810 | 15,580 |
Revised Design Capacity | 467 | 643 | 539 | 796 | 895 | 716 | 1,097 | 1,357 | 1,715 | 3,601 | 2,940 | 15,015 |
Difference (kg) | 7 | (163) | (21) | 13 | 13 | 40 | 141 | 555 | 374 | (15) | (130) | 564 |
Difference (%) – Revised | 1.5% | (25.3%) | (3.9%) | 1.6% | 1.5% | 5.6% | 12.9% | 40.9% | 21.8% | (0.4)% | (4.4)% | 3.8% |
1 The Revised Design Capacity Harvest Weight was derived by converting the actual square footage of flower room space and the forecast canopy for each |
Zenabis Langley's initial harvest produced 342 kg of dried cannabis, which is approximately 20% of its design capacity. Zenabis has identified a variety of ramp-up challenges, which have generally been addressed, with the exception of lighting. Zenabis is in the process of installing additional lighting improvements, in order to improve yield in the fall and winter seasons. While the yield from Zenabis Langley's initial harvest was lower than the initial forecast, the quality of cannabis produced was high based on the cannabinoid yield of the cultivars harvested. The first harvest from Zenabis Langley recorded the Company's second highest ever THC result for Ultra Sour with 26.5% total THC, and three of the cultivars harvested (Ultra Sour, Wappa and MK Ultra) achieved above the company's expected total THC yield. Please refer to the table below for a summary of the total THC yield by cultivar from Zenabis Langley's first harvest.
Cultivar | Realized Total | Max. Expected |
Citrique | 17.5% | 19.0% |
MK Ultra | 22.8% | 19.0% |
15.5% | 16.0% | |
Ultra Sour | 26.5% | 21.0% |
Wappa | 19.7% | 18.0% |
2 Total THC levels on any finished goods sold may differ from the Realized Total THC. Realized Total THC was derived by analytical testing performed by |
In
Harvest Forecast – Zenabis Atholville, Zenabis Stellarton and Zenabis Langley Site A – Part 1
For its existing licensed facilities of Zenabis Atholville, Zenabis Stellarton and Zenabis Langley Site A – Part 1, Zenabis expects to produce approximately 7,7763 kg of dried cannabis from
July 2019 | Aug 2019 | Sept 2019 | Oct 2019 | Nov 2019 | Dec 2019 | Jan 2020 | Total | |
Forecast (kg)3 | 1,212 | 1,579 | 1,731 | 3,758 | 3,881 | 4,200 | 3,576 | 23,943 |
Actual (kg) | 1,238 | 1,996 | 2,089 | 3,586 | 3,332 | 12,241 |
3 This forward-looking estimate of future harvest results is based on the following material assumptions: (1) Zenabis Stellarton operates at the published |
Zenabis intends to provide monthly cultivation results for Zenabis Langley upon receipt of all cultivation license amendments for these phases and once this facility is operating at a stable state. Once Zenabis completes the construction and licensing of its facilities and enters into steady state production, harvest forecasts will no longer be provided and instead actual production achieved will be disclosed in our quarterly MD&A.
Construction and Facility Update
Zenabis Langley
Zenabis Langley Part 1 and Part 2A are licensed and operational. Zenabis has reached substantial completion on Part 2B. Zenabis has submitted a cultivation license amendment for Part 2B in
A summary of construction status by phase is provided below:
Phase | Design Capacity | Description |
Part 1 | 9,900 kg | • Licensed and operational |
Part 2A | 39,400 kg | • Licensed and operational |
Part 2B | 14,800 kg | • Consists of 38,000 sq. ft. of flower room space (one flower room) • Substantially complete • Licensed amendment submitted in |
Part 2C | 32,000 kg | • Consists of 82,200 sq. ft. of flower room space (two flower rooms) and • HVAC, flooring and shade screen installation is ongoing • Security equipment and lighting installation is substantially complete |
Zenabis Stellarton
Zenabis has submitted a sales license application for Zenabis Stellarton and expects to use this site as a fulfilment centre and packaging/processing facility upon receipt of this license.
As the Company continues to focus on becoming cash flow positive, the further conversion of
Licensing Update
Zenabis is currently in the process of various licensing applications for
License Submission | Submission Month | Annual Design Capacity |
N/A | ||
Zen Craft Grow – Grower 1 | 350 kg | |
Zenabis Stellarton – Sales License | N/A | |
Zenabis Langley Site A – Part 2B | 14,800 kg | |
Zenabis Langley Site A – Part 2C | TBD4 | 32,000 kg |
4 Expected submission timeline subject to receipt of prior license or license amendment for each facility |
Sales and Marketing Update
Zenabis recently received its first purchase order of medical cannabis for the
Medical cannabis patients can soon purchase Zenabis' premium dried flower, light softgels, and cannabis oil from Shoppers' online platform, which recently announced the completion of its national roll-out.
Zenabis recently completed its first shipment to
As operations ramp-up in multiple locations resulting in a significantly greater number of harvests per month, more time will be required to consolidate data and release publicly as part of our regular Operational Updates. Consequently, the Company expects to release its Operational Updates for a given month within 6 weeks following the end of such month.
Please view the following link for Zenabis operational update presentation:
https://www.zenabis.com/docs/zenabis-operations.pdf
About Zenabis
Zenabis is a significant Canadian licensed cultivator of medical and recreational cannabis, and a propagator and cultivator of floral and vegetable products. Zenabis employs staff coast-to-coast, across facilities in
Zenabis expects its Zenabis Atholville, Zenabis Stellarton and Zenabis Langley facilities to have a licensed annual production capacity of 143,200 kg of dried cannabis by the end of 2020. The Zenabis brand name is used in the cannabis medical market, the Namaste, Blazery, and Re-Up brand names are used in the cannabis adult-use recreational market, and the True Büch brand name is used for Zenabis' kombucha products.
_______________________________ | |||||
5 https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=1310038301 |
Forward Looking Information
This news release contains statements that may constitute "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information may include, among others, statements regarding the future plans, costs, objectives or performance of Zenabis, or the assumptions underlying any of the foregoing. In this news release, words such as "may", "would", "could", "will", "likely", "believe", "expect", "anticipate", "intend", "plan", "estimate" and similar words and the negative form thereof are used to identify forward-looking statements. In this news release, forward-looking statements relate, among other things, to: the projected kilogram yield of licensed facility space and facility space in the process of, or scheduled for, construction and/or licensing; our expectations for future harvests, including the THC yield of those harvests; the expected timing and completion of current and planned conversion, expansion and optimization of our facilities, including Zenabis Langley; our plans for
For more information, visit: https://www.zenabis.com.
SOURCE
© Canada Newswire, source