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Crop to Enter Oklahoma Medical Cannabis Market
VANCOUVER, British Columbia, April 17, 2019 /PRNewswire/ -- Crop Infrastructure Corp. (CSE: CROP) (OTC: CRXPF) (Frankfurt: 2FR) announced today that it has identified multiple Tenants for a roll out strategy to enter Oklahoma to target the Medical Cannabis market focusing on Cultivation, Extraction and Retail infrastructure. CROP will own 49% of the newly incorporated company.
The focus of the Oklahoma partnership will be to set up 20 acres of cultivation for medical cannabis and establish up to three retail locations. The 20 acres of medical Cannabis, once tenants are cultivating, is estimated to yield 30,000 lbs of dried flower per year. CROP has agreed to fund up to $500,000 USD for the initial start-up capital for the cultivation and retail locations.
In November 2018, an effort to place recreational cannabis on Oklahoma's ballot fell short by 20,000 signatures. The Secretary of State's office determined supporters of the initiative gathered only about 103,000 signatures for State Question 797. The required 123,000 signatures was not met to qualify for a public vote.
After three to five years, according to the Marijuana Business Factbook 2018, annual dispensary sales in Oklahoma are expected to generate up to $250 million from medical cannabis.
The global medical cannabis market value is expected to reach a value of US$ 45.4 Billion by 2024, exhibiting a CAGR of 22.9% during 2019-2024, according to IMARC research. The firm's estimate for last year was that it would to reach US$ 13.4 Billion.
CROP CEO, Michael Yorke, stated: "This is the 4th state where the company and its brands now have a presence. Medical cannabis is the sweet spot in this business with, potentially, very high returns on investment, so we see this as another very significant step forward in CROP's US-focused roll-out strategy."
Crop is publicly listed company trading under symbol CROP.CSE. The company is focused on cannabis branding and real estate assets. CROP's portfolio of projects includes cultivation properties in California, two in Washington State, a 1,000-acre Nevada cannabis farm, 2,115 acres of Hemp CBD farms, and a growing portfolio of common share equity in upcoming listings within the cannabis space.
CROP has developed a portfolio of assets including Canna Drink, a cannabis infused functional beverage line and 16 Cannabis brands.
Disclaimer for Forward-Looking Information
Certain statements in this press release are forward-looking statements are not based on historical facts, but rather on current expectations and projections about future events and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. In addition, marijuana remains a Schedule I drug under the United States Controlled Substances Act of 1970. Although Congress has prohibited the US Justice Department from spending federal funds to interfere with the implementation of state medical marijuana laws, this prohibition must be renewed each year to remain in effect. These statements generally can be identified by the use of forward-looking words such as "may", "should", "could", "intend", "estimate", "plan", "anticipate", "expect", "believe" or "continue", or the negative thereof or similar variations. Forward-looking statements in this news release include statements regarding the expected returns from the Oklahoma Project; the technological effects of Oklahoma Project; the intention to expand its portfolio; and execute on its business plan. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding the regulatory and legal framework regarding the cannabis industry in general among all levels of government and zoning; risks associated with applicable securities laws and stock exchange rules relating to the cannabis industry; risks associated with maintaining its interests in its various assets; the ability of the Company to finance operations and execute its business plan and other factors beyond the control of the Company. Such forward-looking statements should therefore be construed in light of such factors, and the Company is not under any obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.
The CSE has not reviewed, approved or disapproved the content of this press release.
SOURCE Crop Infrastructure Corp.