Botanical Holdings Plc said its medicinal cannabis-focused subsidiary EuroCan has completed the purchase of land in Portugal where it will start its European growing operations.
The 23-hectare site is in the municipality of Mação, a proven agricultural area around two hours north-east of Lisbon.
“Completion of this land purchase represents a significant step forwards for our operations in Portugal,” said chief executive Carl Esprey in a statement.
The company said local engineering firm TechnoEdif Engenharia has been hired to carry out pre-construction architectural, engineering and procurement work to prepare for construction, which is targeted by the end of the year.
Botanical Holdings added that it is now “moving swiftly” towards the start of phase-one construction of greenhouse and processing facilities.
The completed operation will conform to the good agricultural practice and good manufacturing practice standards required to take the finished medicinal product to international markets, the group said.
In May, the company, which also has an operation in Lesotho, was granted a pre-licence, which allows it to begin growing Portugal.
“We are now moving full steam ahead with all pre-construction workstreams and expect to break ground before the end of the year,” said Esprey.
Botanical Holdings, which is planning to list on the Aquis Stock Exchange later this year, is now well on its way to having an all-year-round operation (remember Lesotho is in the southern hemisphere) capable of delivering four crops per annum.
Offtake arrangements have been agreed in principle with an unnamed, licensed German buyer which means Botanical Holdings has a route to market for its product.