HempAmericana Inc (OTCMKTS:HMPQ) has provided updates on the progress the cannabis firm has made on the construction of facilities meant for the extraction of oil in cannabinoids. In a fortnight HempAmericana will receive equipment at the location of the facility in Augusta, Maine.
The cannabis firm will be partnering with a New England engineering company, A.E. Hodsdon Engineers, as well as an innovator and expert in matters regarding cannabinoids oil extraction machinery, James Black. Final stamped drawings containing details will be prepared by AE Hodsdon Engineers in the coming weeks before the commencement of work at the site. Initially the team will start with a laboratory area which consists of a Duraclad-sheathed and isolated chamber that is noise-insulated and has ceilings reaching 10 feet high.
The main equipment used for extraction at the plant will be a 10-liter machine and another 200-liter one which offers more capacity. In total the company will have a combined extracting capacity of 210 liters. The 200-liter extraction machine was manufactured by Vancouver, British Columbia-based Vitalis Extraction. Full scale production of cannabinoid oil is expected to begin next month.
According to research the cannabinoids oil products market is poised to register a growth rate of up to 700% in the coming two years. The management of HempAmericana is confident that the plant in Augusta will come online in time to take advantage of the growth opportunities presenting themselves in the market and maximize return on investment.
In a recent interview the chief executive officer of HempAmericana, Salvador Rosillo, also revealed that the cannabis firm is in the process of buying a decorticating machine to be used to process raw hemp. HempAmericana is also acquiring a farm where greenhouses will be established for the purposes of cultivating seeds that are rich in cannabinoids.
Rosillo also revealed in the interview that shares of the company had been flagged by OTC Markets Group. He had also notified shareholders of this in a recent letter.
“We understand that this is a safety measure taken by the OTC designed as a reaction to specific markers,” wrote Rosillo in a shareholder letter after the OTC action.
On Thursday shares of HempAmericana Inc fell by 21.87% to close the day at $0.020 per share.