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Aphria begins major expansion projects

January 19, 2017  By Dave Harrison


Jan. 29, 2017, Leamington, Ont. – Aphria Inc. is proceeding with a $137 million capital project, known internally as Part Four expansion.

The project will increase Aphria’s capacity under the Access to Cannabis for Medical Purposes Regulations from 300,000 square feet to one million square feet. As well, the company’s infrastructure will grow to over 250,000 square feet, which will be necessary to eventually service the expected 70,000 kilograms of annualized harvests.

The project includes 700,000 square feet of Leamington standard, Dutch-style greenhouses, 230,000 square feet of infrastructure, including new Level 9 vaults, automation for all of the greenhouses, processing areas, warehouse facilities, a 15 MW power and heat co-generation facility and security consistent with ACMPR standards.

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Aphria anticipates completion of Part Four within 12 months, Health Canada approvals within four months of completing the expansion, and first harvest within four months after Health Canada approval.

Aphria is in the midst of completing its previously disclosed 57,000-square-foot Part Two expansion and its 200,000-square-foot Part Three expansion.

Part Two expansion has reached the point that the company has requested that Health Canada perform its inspection of the expansion.

Aphria anticipates increasing production capacity from 2,800 kgs annually to 7,500 kgs annually and is on target for full crop rotation by June 2017, once Part Two expansion is approved by Health Canada.

Part Three expansion remains on schedule and on budget, with expected completion in late October 2017, Health Canada approval in January 2018 and reaching full crop rotation by the end of April 2018.

The Company anticipates increasing production capacity from 7,500 kgs to 21,000 kgs once Part Three expansion is approved by Health Canada.

“Demand for medical cannabis remains strong,” said CEO Vic Neufeld. “Additional future medical cannabis distribution channels will only add to that demand. With over 260 acres of assembled land, Aphria has positioned itself to grow as the market for cannabis grows.”

ABOUT APHRIA

Aphria Inc., one of Canada’s lowest cost producers, produces, supplies and sells medical cannabis. It is located in Leamington, Ontario, the greenhouse capital of Canada.


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