Business
Village Farms International Begins Conversion of Half of 1.3 Million Square Foot Permian Basin GATES® Facility for Hemp Cultivation and Extraction Following Passage of Texas Hemp Law
VANCOUVER, May 23, 2019 /PRNewswire/ - Village Farms International, Inc. ("Village Farms" or the "Company") (TSX: VFF) (NASDAQ: VFF) today announced that
About this update from Village Farms International, Inc.
[{"type":"text","content":"VANCOUVER, May 23, 2019 /PRNewswire/ - Village Farms International, Inc. (\"Village Farms\" or the \"Company\") (TSX: VFF) (NASDAQ: VFF) today announced that following the House of Representatives concurring with the Senate amendments, House Bill 1325 will become law in Texas (the \"Texas Hemp Legislation\"), subject to the June 16, 2019 deadline for the Governor to veto bills – a highly unlikely proposition for a bill that passed both the House of Representatives and Senate unanimously. As a result of this legislative change, Village Farms has begun conversion of half of its 1.3 million square foot, ultra-high-tech Permian Basin greenhouse (which utilizes the Company's proprietary GATES® technology) for both cultivation of high-cannabidiol (CBD) hemp and CBD extraction. The Texas Hemp Legislation will require licenses for both the cultivation and processing of hemp. Village Farms plans to apply for the requisite licenses as soon as it is permitted to do under the new legislation. No time frame has yet been provided by the State of Texas for the licensing process.\nVillage Farms has commenced conversion of the approximately 635,000 square feet of growing area at the Permian Basin facility for hemp production, with the tomato crop having already been removed and the construction team on site. Conversion will incorporate all of the systems necessary for year-round hemp cultivation, however, the Company could, with existing systems and at this time of year, immediately begin cultivating hemp if it was licensed to do so. Village Farms expects the Permian Basin facility to be ready for year-round production in the third quarter of 2019, with extraction operations also to be added in the existing facility in 2019. Following passage of the federal 2018 Farm Bill in December 2018, Village Farms began design and development of the site-specific growing and technical systems to be prepared for conversion upon passage of a hemp bill in Texas. \n\"With the potential for a hemp bill to be passed in Texas, we took the calculated risk of readying a portion of our Permian Basin facility, and, as a result, we will be a first mover in the Texas hemp industry,\" said Michael DeGiglio, CEO, Village Farms International. \"Village Farms applauds the Texas legislature and all of the supporters of HB 1325 on passing this landmark bill, in particular Se...