ICC International Cannabis Corp (CSE:WRLD.U) (OTCMKTS:WLDCF) took a step closer to making its cannabis facility fully operational with the completion of a technical feasibility study, the company announced Tuesday.
The 150,000-square foot facility located in Møldrup, Denmark will be used for cannabis cultivation, processing and manufacturing.
Investors sent ICC's shares up 2.8% on Tuesday morning in Canada at US$0.18, and 8.4% higher on OTC markets to US$0.19.
The study revealed that, once fully operational, the facility will have the capacity to produce around 20 million grams of premium dried cannabis flower to sell to medicinal markets.
In a note to investors, Vancouver-based ICC said it is also planning on pursuing outdoor cultivation opportunities on the land package’s 45 acres, where preliminary soil sampling indicated ideal conditions for outdoor grow.
Once the outdoor agricultural program is implemented, ICC said it is forecasted to yield 81,000 kilograms of dried cannabis in the 2020 harvest season from its crops.
“Through highly coveted and stabilized genetics, state of the art building control systems to achieve pharmaceutical standardization of medical cannabis, and a proprietary quality management system, ICC’s Danish production facility will yield the finest cannabis products to meet the demands of educated, sophisticated and quality-driven consumers,” said David Shplit, CEO of ICC.
The facility will enable the distribution of high-margin products into high-value European patient populations with drastically shorter lead times, according to Shplit.
The building will be constructed in independent purpose-built blocks to support the expansion of capacity and new functions while maintaining full operational capabilities. In the cultivation block, the unit will include 56,250 square feet of net flower canopy capable of producing around 350 grams of dried cannabis from five annual harvests.
Another 55,000 square feet will be dedicated to post-harvest production, including over 20,000 square feet of processing infrastructure.
ICC is currently running capacity simulations scenarios to help refine cost estimations while maintaining optimal production.
Shplit said the company is looking for non-dilutive, project level debt financing for the new facility.
“We have worked tirelessly to provide potential institutional partners with de-risked opportunities, such as the Danish Facility to satisfy their requirements,” he said. “We are normalizing cannabis cultivation project financing by first demonstrating the depth and sophistication of our operational capabilities.”
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