LANGLEY, BC / ACCESSWIRE / February 11, 2020 / Adastra Labs Holdings Ltd. (CSE:XTRX) ("Adastra") is pleased to announce that it has entered into an agreement with Sugarbud Craft Growers Corp. (TSXV: SUGR, SUGR.WT) ("Sugarbud") to supply cannabis contract (toll) processing services.
Under the terms of the agreement, Adastra will supply Sugarbud with standard processing services for a minimum of 1,200,000 grams of premium dried cannabis flower and trim over a period of 12 months beginning June 1st, 2020, subject to licensing and regulatory approvals.
Andy Hale, CEO of Adastra stated, "This latest agreement further develops our growing partnership with Sugarbud who will provide high-quality cannabis that will be used to create premium extract products. We look forward to our continuing collaboration with the team at Sugarbud."
Adastra submitted its Site-Evidence Package which was received by Health Canada on December 4th, 2019 and is in the final stages of licensing as standard processor. The issuance of a Standard Processing Licence from Health Canada would add to its already licensed analytical testing lab and permit Adastra to execute its plan to produce cannabis extract products and formulations. Adastra plans to create high-value cannabis extracts by supercritical CO2 extraction and secondary distillation. These extracts can be incorporated into a variety of value-added products such as, edibles, beverages, topicals, tinctures and vape cartridges to serve the rapidly growing Canadian market once Adastra has received its license.
"We are pleased to be expanding our relationship with Adastra and look forward to collaborating with their entire team to develop novel value-added inhaled extract formulations and formats to complement our premium dried cannabis products," stated John Kondrosky, CEO of Sugarbud.
About Adastra Labs Holdings Ltd.
In Canada, Adastra is a British Columbia-based publicly traded cannabis company and, through its wholly owned subsidiaries, Adastra Labs Inc. and Chemia Analytics Inc., is in the application process to become a Standard Processor and is licensed as an Analytical Testing Laboratory under the Cannabis Act administered by Health Canada, with licences to produce cannabis extracts and provide third party analytical testing services. These licences will further enable Adastra and its subsidiaries to produce, package, sell (wholesale), and export medically focused and recreational cannabis extract and concentrate products in Canada to other licensed entities and internationally in jurisdictions where medical cannabis extraction products are legal.
Sugarbud is a federally licensed Alberta based craft cannabis company, focused on the cultivation and production of genetically diverse, high quality, select-batch, ultra-premium cannabis products.
Address: 5451 275th Street, Langley, BC V4W 3X8
CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION: This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements relate, among other things, to: Adastra's expectations concerning an increase in its production capacity. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to general business, economic, competitive, political and social uncertainties. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, Adastra assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
SOURCE: Adastra Labs Holdings Ltd.