Las Vegas-based GB Sciences (OTC: GBLX) announced July 16, 2018 it will partner with the Colorado Hemp Project (CHP) to produce hemp oil.
GB is working to cultivate and extract full spectrum hemp oil from proprietary hemp strains for their medical IP portfolio and to sell into the growing retail hemp market. The first six strains will be grown by CHP.
CBD is a primary ingredient in most of the medical formulations in GB’s patent portfolio. GB has created genetics and growing environments to yield good cannabis raw ingredients. However, CBD doesn’t appear in sufficient volume in cannabis to yield enough CBD oil to produce medical formulations at scale.
The Colorado Hemp Project develops hemp genetics and is a leader in the cultivation of hemp. It is developing proprietary hemp genetics to contain higher levels of CBD. CBD from hemp can be shipped across state lines because it does not contain psychoactive properties.
According to GB’s website, current industry production puts hemp flower yields at 1000 lbs. per acre (10 kgs per sf), with a retail value between $100- $500 per lb. This yields $100-500k per acre. GB claims it will manufacture full spectrum oil and CBD Isolate from their grows yielding $30K – $60K in revenue per acre. (This appears to be a mistake in its reporting.)
The initial CHP grow will be thirteen acres in Colorado to supply the base proprietary strains. These will serve as mother plants for larger cultivation in multiple locations.
GB Sciences’ CEO John Poss said, “Having access to CHP’s proprietary hemp genetics has supplied a critical missing element to the development of our medical IP portfolio and to our growing line of retail products.”
Source GW press release