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Village Farms Announces Approval From Health Canada to Operate the Final Components of its Cannabis Processing Center
Village Farms International, Inc. ("Village Farms" or the "Company") (TSX:VFF, NASDAQ:VFF) today announced its majority-owned joint venture for large-scale, low-cost, high-quality cannabis production, Pure Sunfarms, has received approval from Health Canada to operate the final components of its 65,000 square foot, state-of-the-art processing center located within the 1.1 million square foot Delta 3 greenhouse facility. The significantly expanded processing area will enable Pure Sunfarms to generate additional production cost efficiencies, further elevate the quality of its products, expand its product offerings and increase its processing throughput.
Health Canada's approval of the additional processing area permits Pure Sunfarms to begin operation of:
- 11 additional drying rooms utilizing advanced drying technology and processes to further enhance the quality of Pure Sunfarms product;
- 5 additional packaging rooms;
- 2 additional testing areas;
- 6 additional storage areas; and,
- 7 extraction rooms with equipment capable of processing 35,000 kilograms of biomass annually.
The expanded processing center has been designed to satisfy full European Union GMP compliance and certification requirements, which Pure Sunfarms is currently pursuing. The 65,000 square foot processing centre has capacity to serve both the Delta 3 and Delta 2 greenhouse facilities, with a combined production area of 2.2 million square feet, at full production.
"The approval of this additional processing space enables Pure Sunfarms to enhance our operations and quality processes to further support our commitment to providing our customers with high-quality products at a great price," said Mandesh Dosanjh, President and CEO, Pure Sunfarms. "Pure Sunfarms expects to begin to realize the benefits of this new space in the coming quarter, allowing us to build on our strong performance in the Canadian markets we serve."
"Pure Sunfarms' success is directly attributable to the decades of large-scale growing and operational experience contributed by Village Farms, low-cost production, efficient capital investment, disciplined cost management and the installation of a smart, highly talented and experienced leadership team," said Michael DeGiglio, CEO, Village Farms. "It is a business model that positions Pure Sunfarms to continue to be a leader in the Canadian cannabis sector for years to come. The expansion of this processing area significantly strengthens Pure Sunfarms' capabilities to produce high-quality products, supports its ongoing pursuit of even greater production efficiencies and sets the stage for the introduction of new product formats to build on its leading sales performance in dried cannabis products."
