CBD Acres currently is working with 4,500 acres of hemp farmland in Canada, including 1,000 acres of organic grow, which it expects to produce volumes that are equivalent to a 196 million plus square foot indoor cannabis production facility under the Canadian Cannabis Act.
Biome Grow Inc (CNSX:BIO) (OTCMKTS:BIOIF) (FRA:6OTA) CEO Khurram Malik discusses the company’s recent deal to acquire up to 20,000 kilograms annually of high-quality CBD concentrate from CBD Acres. Malik indicates this deal provides Biome with the lowest cost CBD concentrate in the world because the product is hemp-based.
The cost is also lower because CBD Acres uses proprietary strains with 15 to 20 percent CBD concentration instead of conventional strains with only 2 to 3 percent concentration. Malik believes the 20,000 kilograms of CBD concentrate represents over $250 million of potential revenue for Biome without having to build a large and expensive cultivation facility.
Biome approaches international expansion differently than most cannabis companies. Malik explains that Biome’s preference is to enter new markets first and help create regulation to usher new jurisdictions from medical to recreational legalization.
Originally aired late Feb of 2019.