Aurora Cannabis (NYSE: ACB) (TSX: ACB) (Frankfurt: 21P) has announced that it has taken delivery of the first commercial batch of finished cannabis derivatives from Radient Technologies (TSX Venture: RTI) (OTCQX: RDDTF).
Radient is now producing cannabinoid derivatives at commercial scale and plans to scale up production further at its cannabis facility in Edmonton, reaching an expected eventual annual throughput of about 300,000 kg of cannabis biomass.
Radient and Aurora formed a partnership in 2017 after the completion of a research joint venture. Per Aurora, its relationship with Radient is an important part of its derivative product strategy, providing a greater return on the biomass allocated for extraction, favorable cost advantages, and significantly increased extraction capacity.
Radient’s Technology Platform
In Radient’s deliveries to Aurora, commercial scale batches of dried cannabis biomass were fully processed and refined within a 24-hour period, Aurora said in a statement.
Radient’s technology platform is designed for high extraction efficiencies and high-volume throughput of cannabinoids available in the plant biomass. This, according to Aurora, would provide the company with cost and volume advantages in delivering a broad suite of derivative products.
Radient’s hemp facility in Edmonton will have an annual throughput of approximately 3,200,000 kg of hemp biomass. Phase one is expected to be completed in the third quarter of 2019.
Management Commentary
Terry Booth, the CEO of Aurora, stated that they recognized early that “high-throughput, high-quality extraction technologies would be a competitive advantage in a rapidly developing cannabis industry.”
He believes that Radient’s technology will the help Aurora produce high-quality cannabis products.
“Our investment will begin to pay dividends with Radient achieving fully licensed, commercial status. Once scaled up, the addition of Radient’s technology will significantly increase our ability to deliver high-value cannabis products at scale, complementing our existing internal extraction capabilities, which will support a full suite of derivative products,” Booth noted.
