Made-in-Olds cannabis will be available to retail outlets for sale across the province as well as online.
Alberta Gaming and Liquor Commission (AGLC) recently finalized a contract with Sundial Growers Inc., adding it to its list of approved cannabis suppliers.
“Sundial has enjoyed a very positive working relationship with AGLC and we commend them for the work they have done to get Alberta ready for adult-use cannabis legalization by October 17," said Andrew Stordeur, Sundial's chief commercial officer.
Sundial anticipates having its flagship cannabis production facility in Olds’ Southeast Industrial Park operational by the fourth quarter of 2018. It currently operates a licensed facility in Rocky View County.
AGLC is responsible for regulating private retail cannabis licensing in Alberta as well as the distribution of cannabis and operation of the online cannabis store on behalf of the Alberta government.
AGLC will buy product from federally licensed producers and distribute it to licensed private retailers and to the public through an online store.
Thirty-one proponents responded to the AGLC Expression of Interest to become a supplier for the Alberta market.
With last week’s announcement that Sundial is now a supplier, there are 14 licensed cannabis producers that will be supplying the Alberta market.
AGLC communications manager Heather Holman said the provincial agency will not make certain details of the contracts public such as exactly how much cannabis the agency is securing.
“We’re feeling confident though that we’re ready to go for October 17,” she said.
Several of the companies selected as suppliers have made details of their contracts public.
Canopy Growth officials said the company will supply Alberta with over 15,000 kilograms (kg) of cannabis products to support the first six months of the province’s adult use recreational cannabis market. Products will include whole-flower, oil and softgel capsules.
Aurora Cannabis officials said they will allocate up to 25,000 kg of product for the first six months of sales to the market.
Under the terms of the agreement with Aphria Inc., the AGLC has placed an opening order of 870 kg, according to the company. The supply will include dried flower, pre-rolls and cannabis oils.
Once additional product categories, such as vapes and edibles are authorized under the Cannabis Act, Aphria anticipates that they will also be made for sale throughout the province, further enhancing the company’s assortment of offerings.
Sundial officials did not disclose how much cannabis the company will supply the AGLC but did say the contract is a one-year agreement which contains provisions for two additional one-year extensions.
The company currently operates a 31,000-square-foot facility in Rocky View County and has completed the first phase of its flagship facility in Olds, adding an additional 30,000 square feet of capacity. The second phase of the Olds expansion will add another 210,000 square feet of production capacity.
Once Sundial's production facilities are fully constructed later this year, the company says it will have the capacity to grow 120 million grams of dry cannabis and the ability to process over 30 million grams of cannabis extracts.
"Sundial has been transparent and open with AGLC about its capacity and desire to become a trusted supplier of cannabis for Albertans," said Niaz Nejad, AGLC's chief operating officer when announcing Sundial as a supplier last week. "We look forward to working with Sundial and other suppliers to make legal cannabis available to Albertans."
Between Calgary, Rocky View County and Olds, Sundial currently employs over 100 people with plans to employ over 500 people by 2020.
