Embark Health licence approvals bode well for MMJ Group
MMJ Group Holdings Limited (ASX:MMJ;OTC:MMJJF), an Australian-listed company that specialises in managing a portfolio of investments along the cannabis value-chain, has provided an update on the operations of MMJ’s largest investee, privately-held Embark Health Inc.
Embark Health’s Delta, BC facility has now received all occupancy and business licences required from the city of Delta, BC, and will commence the extraction of cannabis in April 2020.
This step was foreshadowed in an MMJ announcement on 13 February 2020 following the receipt of the company’s Health Canada licence necessary to operate the facility.
Embark Health is an emerging leader in cannabis extraction, with a focus on realising the full potential of the cannabis plant through scientific approaches to extraction and the production of quality products to enhance everyday life.
It is Embark's mandate to pursue the best production processes throughout product innovation and development, manufacturing and ''take to market'' lifecycles, resulting in unparalleled commercial and consumer extraction products.
Largest cannabis extraction business in Canada
Embark Health is seeking to create the largest cannabis (THC and CBD) extraction business in Canada with facilities in British Columbia and Ontario.
The group will begin production of cannabis extracts at its Delta facility immediately and has entered into several letters of intent to secure 300,000 kilograms of biomass from highly-credentialed suppliers as feedstock for the next 2 years.
Initially, Embark intends to produce Bubble Hash, Dry Sift Kief and Rosin for commercial sale, in addition to providing tolling services to a wide range of customers.
Other extraction techniques will be added as more rooms in the facility are licensed.
MMJ’s management highlighted that the investment in Embark Health demonstrates its capacity to originate early-stage unlisted investments in the cannabis sector with the prospect of realising potential gains on listing the public markets.