Creso Pharma’s soon-to-be subsidiary Halucenex executes deal to generate psychedelic extracts in-house

Creso Pharma’s (ASX: CPH) soon to be subsidiary Halucenex Life Sciences will have access to high quality psychedelic extracts for its proposed research via an agreement with medical and recreational extraction specialists Advanced Extraction Systems Inc.

The agreement paves the way for Halucenex to purchase a custom-made carbon dioxide Supercritical Extraction System for $70,000, which will generate consistent, high quality psychedelic extracts from psilocybin mushrooms.

Creso says the extraction system will take up to eight weeks to design and install at Halucenex’s onsite laboratory.

Halucenex is awaiting a Dealer’s Licence from Health Canada, which is anticipated imminently.

Once this has been received, it will apply for an amendment to allow the production of psychedelic extracts from psilocybin mushrooms.

This permit will enable Halucenex to generate the extracts for future research and development of a range of delivery methods including tinctures, lozenges, nasal sprays and capsules.

Creso noted the licence amendment permit is expected within 45 days of the Dealer’s Licence being granted.

In-house psychedelic extract capability is major development

Commenting on the agreement with Advanced Extraction Systems, Halucenex founder and chief executive officer Bill Fleming said it was a major development for the company.

He said the ability to extract psychedelic compound concentrates will allow Halucenex to develop several delivery methods which would result in a higher standard of treatment.

“Additionally, the extracted product will allow us to analyse, characterise and compare the major components in various psilocybe mushroom strains through our established laboratory setting, leading to initial research and the potential entourage effects of psychedelic compounds.”

“Further, we anticipate that considerable future research will be undertaken between synthetic and botanical psilocybin to fully understand the benefits it can offer.”

“Having the extraction system in place and the ability to produce solvent-free distillate in-house will be key for future comparative bioactivity studies,” Mr Fleming added.

Halucenex acquisition

Creso moved to acquire Halucenex earlier this month in an attempt to secure a first mover foothold in the psychedelic medicines space.

Halucenex is readying for a phase II clinical trial where it plans to evaluate the efficacy of psilocybin in veterans and first responders with treatment-resistant post traumatic stress disorder.

As part of this, Halucenex has appointed True North Clinical Research as the principal investigator for the study which is scheduled to begin in June.

Halucenex has also established an agreement with a Canadian manufacturing partner for synthetic psilocybin for use in the trial.