CAN (MB): Delta 9 achieves agreement with micro cultivation partner

Delta 9 Cannabis has completed its final services milestone under an agreement with Ahahswinis Green Investments which is 100% owned by Hupacasath First Nation. Ahahswinis is an arms length third party in which Delta 9 has no ownership control or interest.

As one of Delta 9’s micro cultivation partners, Ahahswinis entered into a Strategic Cooperation Agreement with the company whereby Delta 9 provides services relating to the cannabis production facility design and construction, development of standard operating procedures and sanitation programs, consulting on Health Canada licensing, and other services supporting the acquisition of the Health Canada license. On November 13, 2020, Ahahswinis confirmed it has reached its final milestone under the SCA and has been granted a cannabis micro cultivation license from Health Canada (the “Health Canada License”).

“We are pleased with having achieved this major milestone in our agreement with Ahahswinis and thrilled that they are the first Delta 9 micro cultivators in Canada to be 100% wholly owned by a First Nation and receive a Health Canada Licence for our proprietary and turn-key 'Grow Pod' systems”, said John Arbuthnot, Founder and CEO of Delta 9. “We are continuing to work with First Nations in Canada to develop our micro cultivation services so that our platform can be the "go to" platform for cannabis entrepreneurs looking to produce premium quality cannabis products.”

The Company's cannabis production methodology is based around a modular, scalable, and stackable production unit called a "Grow Pod", which are retrofitted standard 40-foot shipping containers. Ahahswinis’s facility has been designed and built using this turn key and state of the art Grow Pod system. Once cultivation begins, Delta 9 plans to purchase premium quality cannabis products from Ahahswinis for distribution through the Company's established distribution network, and through Delta 9's branded retail stores.

“I would like to thank Delta 9 for providing us with a turn-key platform to grow cannabis and for their continued support as we begin production in December 2020," said James Tatoosh, President. "Their proven grow pod design made it easier to receive a Health Canada license and apply and receive funding from the Nuu Chah Nulth Economic Development Corp. (NEDC). We look forward to being a part of this new industry producing small batch, premium grown, craft cannabis.”

The Hupacasath First Nation has owned and occupied their traditional territory in Central Vancouver Island for thousands of years. Their goal is to enhance the quality of life for their people by providing jobs and economic development opportunities so families can support themselves. They have invested $1.9 million in the 4,560 square foot micro cultivation operation with 12 Delta 9 Grow Pods, located outside of Port Alberni Vancouver Island, British Columbia.