Delta 9 Achieves Milestone in Agreement with Micro Cultivation Partner


WINNIPEG, Manitoba, Oct. 13, 2020 (GLOBE NEWSWIRE) -- DELTA 9 CANNABIS INC. (TSX: DN) (OTCQX: VRNDF) ("Delta 9" or the "Company"), is pleased to announce that it has completed its final services milestone under an agreement with Saskatchewan based Micro Cultivation partner, VIGR Life Cannabis Inc. (“VIGR”). VIGR is an arm’s length third party in which the Company has no ownership control or interest.

As one of Delta 9’s Micro Cultivation partners, VIGR entered into a Strategic Cooperation Agreement (“SCA”) with the company whereby Delta 9 provides services relating to the cannabis production facility design and construction, development of standard operating procedures and sanitation programs, consulting on Health Canada licensing, marketing services to develop the VIGR brand and other services supporting the acquisition of the Health Canada license.

On October 2, 2020, VIGR confirmed it had reached its final milestone under the SCA and has been granted its cannabis micro cultivation licenses from Health Canada (the “Health Canada License”).

“We are delighted that VIGR has received a Health Canada Licence for twenty-four of our proprietary and turn key "Grow Pod" systems and will now begin cultivation of craft quality cannabis,” said John Arbuthnot, Founder and CEO of Delta 9. “Our turn key platform for Grow Pods and services continues to prove one of the best options for cannabis industry entrepreneurs seeking licensing and support services.”

The Company's cannabis production methodology is based around a modular, scalable, and stackable production unit called a "Grow Pod", which is based on retrofitted 40-foot shipping containers. VIGR’S facility has been designed and built using this turn key and state-of-the-art Grow Pod system. Once cultivation begins, Delta 9 plans to purchase premium quality cannabis products from VIGR for distribution through the Company's established distribution network, and through Delta 9's branded retail stores. Delta 9 has now successfully licensed over 60 Grow Pods in third party facilities across Canada.

“We are pleased to be receiving our Health Canada licences and expect to be growing unique strains of premium craft cannabis product by the end of October, 2020,” said Rick Turchet, President and CEO of VIGR. “The entire VIGR Team is extremely grateful for Delta 9's support and encouragement and I commend their attention to detail in helping us establish our first micro cultivation facility in record time. We look forward to bringing our premium craft cannabis flower to customers across the Delta 9 network of retail locations very soon.”

VIGR has developed a state-of-the-art micro cultivation facility, located in Regina, Saskatchewan. This new facility houses two adjacent micro cultivation licenses, including twenty-four new Grow Pod systems, and a proprietary craft growing approach developed by VIGR. VIGR expects this first facility to be the first step in a more significant growth plan, as it builds Saskatchewan’s leading craft cannabis company.

The well rounded VIGR Team has a strong entrepreneurial background, with an executive team that also has experience financing and growing start-up companies. With VIGR’s additional experience in natural health products it is well positioned to bring new innovations to the Canadian cannabis market. The VIGR Team is committed and passionate about growing premium craft cannabis and looks forward to sharing more details on what customers can expect from its new offerings.

For more information contact:

Investor & Media Contact:
Ian Chadsey VP Corporate Affairs
Mobile: 204-898-7722
E-mail: ian.chadsey@delta9.ca

About Delta 9 Cannabis Inc.

Delta 9 Cannabis Inc. is a vertically integrated cannabis company focused on bringing the highest quality cannabis products to market. Delta 9's wholly-owned subsidiary, Delta 9 Bio-Tech Inc., is a licensed producer of medical and recreational cannabis and operates an 80,000 square foot production facility in Winnipeg, Manitoba, Canada. Delta 9 owns and operates a chain of retail stores under the Delta 9 Cannabis Store brand. Delta 9's shares trade on the Toronto Stock Exchange under the symbol "DN" and on the OTCQX under the symbol "VRNDF". For more information, please visit www.delta9.ca.

Disclaimer for Forward-Looking Information

Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company's future business plans and other matters. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future.

Forward looking statements in this news release include statements relating to: (i) VIGR's proposed micro cultivation operations; (ii) Delta 9's intention to sell VIGR's premium cannabis products; and (iii) Delta 9's development of micro cultivation services. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including VIGR’s cannabis production not being as anticipated, as well as all risk factors set forth in the annual information form of Delta 9 dated March 19, 2020 which has been filed on SEDAR.

No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. Readers are urged to consider these factors carefully in evaluating the forward-looking statements contained in this news release and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by these cautionary statements. These forward-looking statements are made as of the date hereof and the Company disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws.