Radient Technologies Inc. Reports Record Revenue and Record Gross Profit for the Third Quarter of Fiscal 2020 - Seite 3

• In response to the increasing market demand for products such as resins and distillates, Radient is adding additional equipment to complement current extraction and processing operations at its Edmonton I facility. This additional equipment will increase evaporation capacity, facilitating the production of such products and increasing Radient’s product pipeline.

Flexible Capacity - Edmonton II Facility:

• Radient’s Edmonton II Facility, which the Company has been retrofitting to accommodate the extraction and downstream processing of CBD from hemp, is still awaiting a license amendment from Health Canada and is now expected to begin commercial operations in the second half of calendar 2020. In the interim, the Company has the ability to process hemp through the Edmonton I facility and is able to take advantage of any commercial opportunities using the existing extraction line. The Edmonton II facility has the flexibility to utilize hemp or cannabis as an input material. Radient will leverage the flexibility of its extraction platform to allocate production runs to the most economic production of high quality cannabinoid extracts. 

Expanded Product Pipeline and Manufacturing Capabilities:  - Edmonton III Facility:

• Radient’s Edmonton III facility, currently under construction, is expected to begin operations in the second half of calendar 2020. The Edmonton III facility will be approximately 89,000 square feet of purpose built space dedicated to cannabinoid extraction, purification, isolation, and product manufacturing. The facility is adjacent to the existing Edmonton production facilities and has been designed with a flexible footprint, allowing Radient to scale its extraction capabilities along with housing multiple production lines for white label production of formulated products.  Edmonton III will combine Radient’s large-scale proprietary extraction platform with scientifically derived product development and extensive manufacturing capabilities.

Expansion into Germany:

• Radient’s Germany facility has been designed with the same flexibility and potential scale as its Edmonton III facility. Development work is being done in phases to align with market demand and the regulatory framework in Germany and the rest of Europe. This measured development will reduce the capital expenditures needed in the near term, while maintaining Radient’s strategic advantage of building an EU GMP compliant extraction facility inside of Europe’s largest legal medical cannabis market. The Company now expects initial commissioning of its Germany facility to occur in the first half of calendar 2021.

Shares for Services During Fiscal Q3 2020: