SpeakEasy Cannabis Club Ltd. (CSE: EASY) (Frankfurt: 39H) (the “Company” or “SpeakEasy“), a holder of a federal licence to cultivate, process and sell cannabis under the Cannabis Act, is pleased to announce that it has signed a non-binding letter of intent (the “LOI“) with Christina Lake Cannabis Corp. (“CLC“).
The LOI contemplates that CLC will contract SpeakEasy to process and sell cannabis biomass and cannabis flower produced at their CLC production facility and SpeakEasy intends to provide, upon receipt of the appropriate licences, processing of biomass and flower, sales and distribution of the flowers and work jointly with CLC to develop and produce white label, value added products made from CLC input material.
Contract processing for CLC will make use of SpeakEasy’s process facility to become an additional revenue stream. The additional material is expected to aid in SpeakEasy’s ability to keep up to expected domestic and international markets.
Climatic region, genetics and growing techniques of CLC, being similar to SpeakEasy’s methods, allows for easy cooperation and sharing of supplies, equipment and technology between the two companies. Growers on both farms have vast experience, therefore it is expected that the finished product will be comparable and will market well together. Founder Marc Geen states, “I’m thrilled to be working with the team from Christina Lake Cannabis, we’ve known each other for years and I couldn’t be happier to have our two families cooperating together.”
SpeakEasy anticipates that it will have a strong effect on the market with the cost of its flower produced outdoors being comparatively lower than the industry average. Having additional supply of extremely competitively priced material will allow us to enter more supply agreements with Province’s across Canada.
SpeakEasy is working with and supporting local growers and producers both large and small here in BC with a goal of promoting “BC Bud” as a globally recognized brand. Founder, Marc Geen states, “Working with other like-minded growers towards a common goal is extremely exciting, it happens in all other forms of farming for very good reason. We have so many advantages growing in BC, working with fellow farmers can compound those advantages.”
