Halo Labs Provides Oregon Business Update - Seite 2

Additionally, Halo is working with other Oregon farms to harvest material for FSHTE (full spectrum high terpene extract) production, using fresh frozen technology. FSHTE is a more refined version of “live resin” that the Company started producing in 2020 as an R&D project. Andreas Met confirms, “Last year, we got on the map in Oregon as a supplier of high-quality Live Resin, selling $1,800,000 of live resin products from November 2019 thru August 2020. This year, we are doubling down on that product, making a significant impact with even higher quality FSHTE. We’ve completely retooled our operation and processes to make quality products the likes of which Oregon has not seen at a commercial scale.”

Halo is in the process of expanding its flower processing and pre-roll production space from 1,000 sq. ft. to 5,000 sq. ft.. In prior years, the Company commenced production of flower in November. This year, production will start as soon as the product is dried, as early as later this month. This change is expected to improve sales rates, because Halo will be one of the first Oregon cultivators to start selling flower from the Fall 2020 harvest. Halo is targeting to process at least 900 pounds of flower per month by the middle of November. Andreas Met remarked, “Last year, we enjoyed tremendous success selling our flower products. This year, we expect to be ‘out of the gates’ faster, with an even greater focus and intention. We have already partnered with other farms to process their flower as well. Our goal is to be the largest flower and pre-roll operation in Oregon this season.”

Finally, Halo expects to finish the second green house at East Evans Creek by the end of this month. Once completed, this 3,000 sq. ft. structure will house the Company’s genetic bank, serve as an incubator for next season’s plants, and provide a staging ground for the Company’s clone sales program. This year, the Company sold over 6,000 clones as a pilot program. Andreas Met stated, “We started a clone operation from scratch. The reception exceeded our expectations. Next year, we intend to sell even more clones as these sales have favorable profit margins and complement our other farm activity. We aim to sell 100,000 clones at an average wholesale price of $10 in the first two quarters of 2021, during the Oregon planting season.