Delta 9 Achieves Milestone in Agreement with Micro Cultivation Partner

Published: March 8, 2021

Delta 9 Achieves Milestone in Agreement with Micro Cultivation Partner

Delta 9 Cannabis has completed its final services milestone under an agreement with Alberta based Micro Cultivation partner, Fourth Generation Cannabis Ltd. (“4th Gen”). 4th Gen is an arm’s length third party in which the Company has no ownership control or interest.

As one of Delta 9’s Micro Cultivation partners, 4th Gen entered into a Strategic Cooperation Agreement (SCA) with the company whereby Delta 9 provides services relating to the cannabis production, development of standard operating procedures and sanitation programs, consulting on Health Canada licensing, marketing services to develop the 4th Gen brand and other services supporting the acquisition of the Health Canada license.

On February 26, 2021, 4th Gen confirmed it had reached its final milestone under the SCA and has been granted its cannabis micro cultivation licenses from Health Canada (the “Health Canada License”).

“We are delighted that Fourth Generation Cannabis has received a Health Canada License for twelve of our proprietary and turn-key Grow Pod systems and has future plans to apply for three more Health Canada licenses to expand their operations to include another thirty-six Grow Pods,” said John Arbuthnot, CEO of Delta 9. “Our turn key platform for Grow Pods and services continues to prove one of the best options for cannabis industry entrepreneurs seeking licensing and support services.”

The Company’s cannabis production methodology is based around a modular, scalable, and stackable production unit called a “Grow Pod”, which are based on retrofitted 40-foot shipping containers. The turn key smart growing platforms are developed using precision hardware and software grow applications for the indoor cannabis cultivation marketplace. Delta 9 offers vertical growing units, integrated grow racks, and LED grow lights; and non-proprietary products designed, engineered, and manufactured by third parties, such as air cleaning systems and automated fertigation and watering systems.

4th Gen’s facility has been designed using this turn key and state of the art Grow Pod system. Once cultivation is harvested, Delta 9 plans to purchase the premium quality cannabis products from 4th Gen for sale through the Company’s established wholesale distribution network across Canada and through Delta 9’s branded retail stores in Western Canada. Delta 9 has now successfully licensed over 100 Grow Pods in third party facilities across Canada.

“Fourth Generation Cannabis is a privately owned cannabis cultivator based in the Southern Region of Lethbridge, Alberta, where around 75% of Canada’s beef production originates from,” said Austen Murray, President of Fourth Generation Cannabis. “Our goal is to produce the finest quality cannabis product to compliment Delta 9’s portfolio of flower products being sold in their retail stores.”

The Fourth Generation Cannabis owners operate a 1,200-acre irrigated farm where they also manage 10,000 head of cattle. Brothers, Austen Broek and Reid Murray are experienced farmers who are excited to be a part of a new and growing industry. They became interested in growing cannabis to produce a premium cannabis crop year-round and provide additional jobs in southern Alberta.

The well-rounded 4th Gen Team has a strong industry background. The master grower has been growing high grade medical cannabis for over 15 years in BC and the office manager has over 30 years’ experience in the health care industry. The 4th Gen team is committed and passionate about growing premium craft cannabis and looks forward to rooting a leading craft cannabis company in Alberta.

Delta 9 Cannabis Inc. is a vertically integrated cannabis company focused on bringing the highest quality cannabis products to market. Delta 9’s wholly-owned subsidiary, Delta 9 Bio-Tech Inc., is a licensed producer of medical and recreational cannabis and operates an 80,000 square foot production facility in Winnipeg, Manitoba, Canada. Delta 9 owns and operates a chain of retail stores under the Delta 9 Cannabis Store brand. Delta 9’s shares trade on the Toronto Stock Exchange under the symbol “DN” and on the OTCQX under the symbol “VRNDF”. For more information, please visit www.delta9.ca.

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