Integrated medicinal cannabis developer THC Global (ASX: THC) is gearing up to launch its own Australian produced medicinal cannabis products for Australian patients, with the company targeting more than 100,000 patients nation-wide in addition to its global export plans.
Under the company’s newly unveiled timeline, it plans to have generated its first full spectrum cannabis oil by December this year, with sales to begin early next year in Australia.
THC then plans to begin exporting the oil by the September quarter 2020.
“THC will be producing medicinal cannabis at the highest quality standards, offering bulk API for the global wholesale market as well as finished formulated medicines for patients as soon as early 2020,” THC chief executive officer Ken Charteris said.
Mr Charteris pointed out the company’s commercial scale Australian medicinal cannabis production would be a first for the country.
To manufacture the cannabis, THC owns the largest pharma-grade bio-extraction facility in the Southern Hemisphere, which the Company is expecting to be pharma-grade GMP certified in November 2019. The Southport Facility has a replacement value of over $35 million.
Initially, the facility is expected to process 120,000kg of cannabis, which will be sourced from the company’s own cultivated cannabis.
In aggregate, THC has more than 60,000 square metres of operational greenhouses across two sites, with over 250,000sq m of agricultural land available for further greenhouse development or potential open-field cultivation.
THC’s low cost, scalable production will enable THC to sell Australian medicinal cannabis products to Australian patients at half the cost of the current imported products available to Australian patients whilst still being profitable.
The first range of medicinal cannabis products will be branded Canndeo and will be purely a full spectrum CBD oil.
This is due for launch in early 2020, while Canndeo-branded full spectrum THC oils are due to be available by mid-2020, along with a Canndeo full spectrum THC and CBD combined oil.
THC then plans to expand its Canndeo-branded range to include dried flower cannabis, phytocannabinoid gel capsules, CBD cream and gel tabs.
These expanded products ranges will be made available throughout 2020 and 2021 and will be sold throughout Australia and the world.
By midday, shares in THC had lifted 1.16% to trade at $0.435 to give the company a market capitalisation of $59.3 million.