MGC Pharmaceuticals (ASX:MXC) has announced the results of its 2018 growing season to investors today and it’s 30 percent better than the previous years’ harvest. The company says it will yield 700 kilograms of cannabis crops to utilise in its products compared to the prior years’ 400kg.
The crops were grown in MXC’s glasshouse facility in the Czech Republic and will soon be transported to its Slovenian extraction facility – that recently received approval for a full API (active pharmaceutical ingredients) extraction permit.
At the extraction facility the APIs will be processed and used to manufacture MXC’s products, including CannEpilTM.
CannEpil is progressively entering the Australian market, having recently been authorised for sale under the Authorised Prescriber Scheme as an Investigational Medicinal Product (IMP).
Leveraging its cultivation techniques, data and know-how, MXC is currently in the process of building a larger cultivation facility in Malta to be able to handle increasing demand for medical cannabis products.
MXC’s proprietary cannabis strain, dubbed MXC-10, contains 35 percent in THC (Tetrahydrocannabinol) – the highest potency of any MXC product to date and this strain will be also be cultivated in Malta.
MXC Managing Director, Roby Zomer, hailed the figures, declaring they vindicate MXC’s unique techniques.
‘Successfully developing a proprietary, high THC strain over 35 percent THC, allows the company to produce high yield of API per kg of raw material to create the most cost effective and affordable phytomedicines’, he said.
The higher THC yield also therefore improves the ability to produce cost effective and affordable phytomedicines.
THC and CBD are two of the most prominent chemical compounds (there are around 400) found in cannabis. Developing a strain that includes one of the compounds in such a high ratio is highly valuable IP.
By cultivating its own strain of medical cannabis and processing it at its extraction facility in Slovenia forms part of MXC’s seed-to-pharma strategy.
The API’s will be used to formulate MXC’s unique medical cannabis formulations and products, that include CannEpilTM and CogniCannTM.
This year, MXC will launch its phase 2B clinical trial of CogniCannTM – its medical cannabis pharmaceutical product specifically formulated to treat Dementia symptoms and enhance cognitive functions. The trial will be undertaken with the University of Notre Dame.
The production announcement caps off a particularly momentous opening few weeks of 2019 for MXC. In January, it completed the sale of MGC Derma (its previously owned cosmetics brand) and was granted government approval for its API extraction permit in Slovenia.
READ MORE: MXC hits the road running in 2019
The government approval allows MXC to both process and also produce its products at its Slovenian facility. Slovenia will serve as its sole production base until the Maltese facility is completed.
This content is produced by Star Investing in commercial partnership with MGC Pharmaceuticals. This content does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
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