Isracann Biosciences Inc (OTCMKTS:ISCNF) has entered an MOU with an Israel based late-stage farm to establish a JV. The JV will focus on completing the late build-out of the cannabis cultivation facility. Isracann will benefit from remaining construction at this site, subject to complying with local laws.
Be`er Sheva farm ready with licenses
Isracann will release the terms of the JV after conducting due diligence on Be`er Sheva Farm and on signing the definitive agreement. Matt Chatterton, Vice President (Operations) of Isracann, said the company has been exploring opportunities to speed up commercialization efforts. He is satisfied that Be`er Sheva farm can reduce the time to market. The farm has already constructed the basic infrastructure and obtained permits to expedite timing.
Two steel greenhouses
Two steel greenhouses are constructed with a footprint of 200,000 Sq. Ft. on agricultural land (880,000 Sq. Ft.) at Be`er Sheva Farm. On completing the full build-out, it will increase the production capacity besides the prevailing Nir Israel farm. The new production facility is compliant with cannabis manufacturing standards. Its team is experienced in cannabis operations, along with agronomic expertise.
After completing the due diligence, Isracann will advance the technical efforts such as building the greenhouse and finalizing the project characterization strategy from preparation to planting.
Darryl Jones, Chief Executive Officer of Isracann, said the company’s agronomic experts have impressed him about the economics of opportunity, and this helped to seal the deal with this enterprise quickly. The new facility helps the company to expand its existing footprint and reduce production times by several months.
According to the preliminary investigation by the agronomic experts, the new site achieves full-scale production in the spring season next year. The first-year yield from this site is expected to be on par with the projected output of Nir Israel farm.
According to Jones, the region is ideal and suitable for producing high-quality cannabis. It expects to achieve economic agricultural operations on a large scale. The company will also enjoy significant economic and corporate advantages. With an increased presence in Israel, the company expects to offer rich rewards to the shareholders and stakeholders going forward.