CROP's Nevada Hemp Farm Adds 750 Acres of Production Land for 2019 Season
VANCOUVER, British Columbia, August 22, 2018
VANCOUVER, British Columbia, August 22, 2018 /PRNewswire/ --
CROP Infrastructure Corp. (CSE: CROP) (OTC: CRXPF) ("CROP" or the "Company") announced today its Nevada subsidiary has leased an additional 750 acres of contiguous agricultural farmland bringing the total Nevada acreage to 1,065 acres with 240 acres under pivot.
The lease also provides access to over 300 acres of additional water rights. The additional 750 acres of pivot development potential will substantially increase production for the 2019 season.
The newly-leased acreage comes with four housing units and a building to be converted into an extraction facility to process hemp biomass for CBD isolate on site. The two-year lease will annually cost $566 USD per acre and the company intends to use a portion of the revenue from its first crop to pay for the lease.
The previously announced 240 acres of CBD Hemp was planted and is currently 1.5 feet tall and growing under pivot. All harvesting equipment has been secured for the resulting hemp biomass. It is estimated that the 240 acre pivots will yield 240,000 pounds of hemp flower. The cost of production is not expected to exceed $700,000 USD with many of the costs already incurred. The first harvest is expected in early Q4 this year.
CROP Infrastructure Director and CEO, Michael Yorke stated: "As previously announced in July, our Nevada Hemp farm and licensed tenant became the largest hemp farmer in Nevada in 2018. We are confident with over 1,000 acres that our tenant will remain the largest hemp farm in Nevada. The next phase of development will be a state-of-the-art extraction facility to make high-value CBD isolate."
Crop Infrastructure Corp. is publicly listed on the Canadian Securities Exchange and trades under the symbol "CROP" and in the US under the symbol "CRXPF". CROP is primarily engaged in the business of investing, constructing, owning and leasing greenhouse projects as part of the provision of turnkey real estate solutions for lease-to-licensed cannabis producers and processors offering best-in-class operations. The Company's portfolio of projects includes cultivation properties in California and Washington State, Nevada, Italy, Jamaica and a joint venture on West Hollywood and San Bernardino dispensary applications. CROP has developed a portfolio of 16 Cannabis brands and has US and Italian distribution rights to a line of over 55 cannabis topical products from The Yield Growth Corp.
Disclaimer for Forward-Looking Information
Certain statements in this press release related to the Offering, the securities issuable thereunder and the Transaction are forward-looking statements and are prospective in nature. 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 yield from The Nye Property; the technological effects of The Nye Property on production; 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.
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Michael Yorke - CEO & Director
SOURCE CROP Infrastructure Corp.