CAN (ON): Kitchener based facility receives Health Canada approval to double production capacity

James E. Wagner Cultivation has received an additional licence amendment from Health Canada approving the production of cannabis in four new flowering rooms at its flagship facility located at 530 Manitou Drive in Kitchener, Ontario (“JWC2”).

"Once fully operational, the new flowering rooms will double the current licensed production capacity of JWC2 from 22,000 square feet, to approximately 44,500 square feet. JWC has designated the additional spaces as “E pod” and “H pod”," the team with the company explains. "Each pod consists of two flowering rooms, with each room containing approximately 5,500 square feet of cultivation space. It is anticipated that each new pod will yield approximately 2,000 kg of dried cannabis on an annualized basis from the time cultivation activities commence."

“This approval represents an important milestone for JWC, as the Corporation continues to scale toward full production capacity,” said Nathan Woodworth, President and CEO of JWC. “We have initiated the process of populating the four newly licenced flowering rooms as quickly as possible. Given the additional capacity, we continue to expect revenue growth to accelerate over the next several quarters with only modest increases in expenses, leading to higher margins and greater profitability.”

"The additional flowering rooms are part of an ongoing program to expand the Corporation’s production capacity at JWC2. At full-scale, the JWC2 facility will measure 345,000 square feet and is expected to be fully equipped with JWC’s proprietary GrowthSTORM™ Dual Droplet™ System. This licence amendment comes just 106 days after Health Canada granted the Corporation an earlier approval on June 27, 2019, to increase its operational footprint at JWC2 from 11,000 square feet to 22,000 square feet."

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