CannabCo Colombia signs exclusive agreement with Colombia Regional Government for development of thousands of hectares of cannabis production

BOGOTA, Colombia, July 16, 2019 /CNW/ - CannabCo Pharmaceutical Corp. Colombia S.A.S. (CannabCo Colombia), a Colombia based cannabis cultivator and manufacturer of medical cannabis products, is pleased to announce that it has completed a definitive agreement with Invest In Orinoquia for the development of thousands of hectares of Cannabis and hemp production in the Los Llanos (pronounced "Los Janos") region of Colombia.  The joint venture will proceed with the deployment of "purpose-built" cannabis greenhouses for the cultivation of cannabis under the medical production laws of Colombia in the Los Llanos (Prairies) region of the country near Villavicencio.  The project has been funded for an initial 5 hectare (538,000 sq/ft) build-out with potential expansion to 240 Hectares of Cannabis cultivation over the next 5 years.   

"We are thrilled to be working with CannabCo on a project of this magnitude." said Didier Valek, the Executive Director of Invest in Orinoquia.  "It was important for us to find the right company for the development of cannabis within the region and we were impressed with CannabCo's vast knowledge base, professionalism, and existing footprint in Colombia making them the perfect choice for a project of this size." 

After the initial build-out, CannabCo is looking to expand rapidly on the footprint with a virtually unlimited amount of land available to the company and the project.  The Los Llanos region features the perfect environment for growing Cannabis, with an ample amount of sunlight, water availability, and a stable annual temperature perfect for cultivation.  CannabCo estimates at least 4 crop rotations per annum yielding an abundance of high quality product slated for extraction to Cannabis oil.  The project will be ICA certified (Colombia's "Agriculture Institute") and follows GACP and GPP practices for the cultivation of a food-grade / medical crop.

Already projected to be one of the largest cannabis producers globally, this latest initiative secures CannabCo as a primary source for medical Cannabis extracts and products for both domestic supply and export markets.  In addition to the Los Llanos project, the company recently completed an agreement for the conversion of approximately 1 Million Sq/ft of greenhouse production in the Cundinamarca region for cannabis cultivation.  "As an addition to our current operations, this latest agreement fits perfectly with the company's goals to be the world leader in cannabis production.  We have established the perfect relationship with Invest in Orinoquia to assist Colombia in becoming the primary source for medical cannabis globally", said Joseph Palumbo, CannabCo's General Manager for Colombia, "Our goal is to increase our cultivation footprint, product manufacturing, and supply infrastructure to become the largest quality supplier of medical cannabis in the world", said Joseph.

Cannabco will be providing genetics for cultivation specific to the Los Llanos region to maximize productivity, yields, and resistance to local pathogens.  Through the use of targeted genetics, and purpose-built cannabis greenhouses, management intends for Cannabco's operations to be the most advanced and productive cultivation operation in South America. 

The project is fully funded and is slated to begin in 2019.  Once completed, the project will begin grow operations and aggressive expansion efforts with the construction of additional purpose built greenhouses under the CannabCo License.  Parties will further be investigating use of the massive amount of available land for industrial hemp production.  "While our primary focus is on medical Cannabis, we will be pursuing parallel initiatives such as hemp production and hemp derived CBD to meet market demand and requests for product from our supply channel." said Joseph.

All product will be shipped to and processed at CannabCo's state of the art extraction facility currently being constructed to EUGMP standards and located 30 minutes outside of the country's capital city of Bogota.

About CannabCo Pharmaceutical Corp. Colombia S.A.S.

CannabCo Colombia is a Colombia based full service cannabis company with cultivation projects in multiple regions across the country. The company's primary extraction plant is located 30 minutes outside the capital city of Bogota. The company will process both psychoactive and non-psychoactive cannabis and Hemp flower for the production of THC and CBD oil for the medical cannabis market.  The Company's state of the art production facilities will have the capability of producing a wide range of end products to meet emerging market supply requirements for Colombia's evolving cannabis industry, as well as global export. The facility is pursuing EU GMP status allowing access to the underserviced global pharmaceutical market. The company currently has multiple social projects as part of its ethical standards and is committed to the highest quality production of medical grade cannabis products in the industry. The company is vertically integrated controlling all aspects of cultivation, extraction, product manufacturing, and distribution of its medical products allowing it full control over the high quality of its end products. The company intends to be the largest producer and manufacturer of THC/CBD based products on a global scale utilizing Colombia as its operating base.

About Invest in Orinoquia**

Invest in Orinoquia is the Investment Promotion Agency for the Orinoquia Region of Colombia with the aim of promoting investment in the Orinoquia region through high impact projects that contribute to improving competitiveness, productivity, and territorial sustainable development.  The organization was established as a public-private initiative between the Chamber of Commerce-Regional Llanos Orientales and the Mayor's Office of Villavicencio, in order to seek, attract and retain national and international investment for the purpose of initiating high-value projects within the Orinoquia region.  The organization is tasked with the purpose of developing projects within the region that contribute to the sustainable development, competitiveness, and quality of life of the population.  Initiatives are focused on the formation of jobs, social programs, and community enhancement through the development and introduction of new corporate initiatives within the region.  **(Translated from the Invest in Orinoquia web site)

Forward Looking Statements

This press release may contain certain "forward-looking information" and "forward-looking statements" within the meaning of applicable securities legislation. All information contained herein that is not historical in nature may constitute forward-looking information. Forward-looking statements may be identified by  statements containing the words "believes", "anticipates", "plans", "intends", "will", "should", "expects", "continue", "estimate", "forecasts" and other similar expressions. Actual results and developments may differ materially from those contemplated by these statements. Although CannabCo Colombia believes that the expectations reflected in forward-looking statements in this press release are reasonable, there can be no assurance that such statements will prove to be accurate. Future events and results could differ materially from those set forth in, contemplated by, or underlying the forward-looking statements in this press release.

SOURCE CannabCo Pharmaceutical Corp. Colombia S.A.S

For further information: Investor Relations: Joseph Palumbo, General Manager LATAM, CannabCo Pharmaceutical Corp. Colombia S.A.S, Phone +57 315 333 2673, jpalumbo@cannabco.co, www.cannabco.co