Empower Clinics intends to open a fully functioning hemp-based CBD extraction facility in greater Portland, Oregonin Q2 2019 with the first extraction system expected to have the capacity to produce 6,000 kg of extracted product per year.
Empower has entered into a non-binding term sheet with Aibeida LifeTech Ltd., whereby Aibeida has agreed to: sell and license specialized extraction equipment to Empower; provide facility build-out and set-up services; complete licensing and permitting requirements; equipment set-up, testing and activation; and provide ongoing facility management and maintenance for the first Empower CBD extraction facility.
Aibeida’s director and Chief Scientist, Dr. Shuang Xie, PhD., in Canada will oversee and manage the Empower CBD extraction facility, which is expected to provide Empower with vertical integration into the CBD supply chain, producing isolates, distillates and crude oil that have shown successful third party test results in the initial test facility.
“Achieving vertical integration has been an objective of mine from the outset as we attempt to connect the science behind hemp-derived CBD based therapies and the efficacy of physician recommended treatment options made available through our clinic network, online or through retail partnerships,” stated Steven McAuley, CEO of Empower.
Aibeida’s extraction technology incorporates high performance liquid chromatography (“HPLC”) which is believed to have stronger separation capability, higher extraction efficiency, and lower processing costs when compared to traditional extraction techniques. HPLC has been successfully applied to the industrial production of numerous plant-based products.
“Aibeida’s technology has demonstrated the ability to produce full-spectrum hemp oil, 99% crystallized CBD isolates, and separation of individual cannabinoids from hemp”, stated Dr. Xie. “HPLC is widely used as an analytical tool to support results set out in Certificates of Analysis, which are documents issued by quality assurance departments or research labs that confirm a tested product meets certain specifications.”
The first Empower CBD extraction facility will be located in the foothills of Mt. Hood, Oregon, in close proximity to numerous hemp farms in a state that now has nearly 600 licensed hemp farms, second only to Colorado.
The leased facility is expected to be 5,000 sq. ft. to support the first extraction production lines with the potential to house up to four of the same production systems at industrial scale. The Company intends to allocate 1,000 sq. ft. for CBD product manufacturing for wholesale and to produce its own Sollievo product lines and that of Sun Valley Clinics, which the Company recently announced its intention to acquire.