Auxly Cannabis Group Inc., together with its wholly owned subsidiary Robinsons Cannabis Inc., announced Robinsons Outdoor Grow, a large scale, outdoor cultivation project located in the heart of Nova Scotia’s wine region of Annapolis Valley.
Robinsons OG is located in a region that is ideal for outdoor cannabis cultivation given its diverse soil types and microclimates; the same soil on which the Acadians grew hemp over 250 years ago. Located within 25 kilometers of Robinsons’ 27,700 square foot indoor facility, Robinsons OG is comprised of over 158 acres of land in Hortonville, Nova Scotia and offers road frontage and highway access, allowing for the potential future development of tourism and point of sale opportunities.
Under the leadership of cannabis industry veteran Andrew Robinson, Robinsons OG will use a range of proprietary genetics with a track record of success in this climate and apply several outdoor growing techniques commonly used in the fruit crop production and wine industries.
The Robinsons OG project is of significant strategic value to Auxly, as it provides access to high-quality, sun grown cannabis flower for environmentally conscious consumers and a large amount of organic biomass at lower capital and operational costs and a lower carbon footprint relative to conventional indoor or greenhouse cultivation. The long-term, stable supply of outdoor cannabis produced on site at Robinsons OG will help support the product development initiatives at Dosecann Inc., the Company’s wholly owned 52,000 square foot facility located in nearby Charlottetown, Prince Edward Island. A substantial portion of the cannabis produced at Robinsons OG will be used to create Robinsons-branded derivative cannabis products.
Robinsons OG expects to submit its application and evidence of readiness to obtain a cultivation licence under the Cannabis Act from Health Canada in Q1 2020. The Company expects the capital expenditure for the buildout of Robinsons OG to be up to approximately $15 million (of which approximately $6 million has already been funded, with the remainder expected to be contributed through the first half of 2020), with expected yield of approximately 200 kilograms per acre. Robinsons OG expects to plant approximately 20 acres in the 2020 season and responsibly scale operations in the following years.
Auxly