Worth Repeating?PART of the last financial outlook news release --- Cultivation Facility Expansion
The Company is also pleased to announce that its subsidiary, Alternative Medicine Association (AMA), has commenced the expansion of a new grow zone at its indoor cultivation facility in Las Vegas, Nevada.
Proceeds of the capital raise during the reporting quarter were earmarked for the expansion of the Company's cultivation and extraction operations. Phase I of its cultivation facility expansion has been completed with the addition of a new grow zone, and the installation of 45 new grow lights. The new zone is already in use and contains 270 plants in an area that is 1,938 square feet in size with 1,035 square feet of table area, which can hold up to 405 plants.
Phase II encompasses an additional new grow zone, the installation of 120 additional lights (or their LED equivalent), and a customized climate control system separate from the rest of the facility, to create a stand-alone, specialized growing environment for the Company's top tier cannabis strains.
The goal of the specialized zone is to achieve an optimal balance of light, nutrients, and air quality in order to produce better crop yields and stronger plants. Phase II measures 3,600 square feet and 2,400 of table square footage which can hold up to 1,080 plants. The expansion aims to maximize the efficiency of the facility, increase total output, and cultivate higher quality cannabis for the competitive Las Vegas market. It is anticipated that Phase II will be completed during fiscal Q1 2022 (August-October 2021).
The Company is optimistic that the product expansion and innovation, coupled with returning tourism to the state will increase sales along with continued increases in net income from operations. As of June 1, 2021, Nevada lifted all COVID-19 restrictions, and as a result, tourism in Las Vegas has returned to pre-pandemic levels.
Please note the next financial release date in accordance with the continuous disclosure schedule set out by the British Columbia Securities Commission:
Q4/YE 2021 (November 29, 2021)