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Tilray Announces Second Facility to Meet Rapidly Growing Global Demand for Medical Cannabis

The expanded production capacity will accelerate international distribution with total output to increase to 51 metric tons annually by the end of 2018.


NANAIMO, British Columbia--(BUSINESS WIRE)--Tilray Canada Ltd., a Good Manufacturing Practice (GMP)-certified global leader in medical cannabis research and production, announced today that it will invest, through an affiliated entity, up to $30 million in a second cultivation and processing facility located in Enniskillen, Ontario. The two facilities will generate a combined production capacity of up to 51 metric tonnes per year, which will position Tilray to respond to significant projected growth in demand for its medical cannabis products in Canada as well as the European Union, Australia, New Zealand and Latin America, according to a press release.

“This is another strategic milestone for Tilray as we aim to build the world’s most trusted and admired medical cannabis brand,” said Brendan Kennedy, Chief Executive Officer of Tilray. “As governments around the world increase access to medical cannabis, and as Canada prepares to legalize and regulate cannabis for responsible adult consumption, this investment will enable us to serve the rapidly expanding global market for quality-controlled, rigorously tested medical cannabis products.”

Expanded Capacity to Accelerate Tilray’s Global Expansion Plans

 Tilray was the first licensed producer to legally export medical cannabis products from North America to the European Union, Australia, New Zealand and South America. Currently, Tilray products – including pharmaceutical-grade whole flower, oils, and capsules – are available in 6 countries spanning 4 continents. The company is aggressively expanding international distribution of its products with plans to export to 5 additional countries by the end of 2017.

In 2016, Tilray also became the first medical cannabis licensed producer in North America to be GMP-certified in accordance with the European Medicines Agency’s (EMA) Good Manufacturing Practice (GMP) standards. GMP certification is the most rigorous standard that manufacturers of medical products must meet in their production processes, and it provides regulators and health care providers in countries new to medical cannabis with certainty that Tilray products are a safe and smart choice.

Tilray’s Best-in-Class Production Facilities

 Tilray currently owns and operates one of the world’s most sophisticated, federally-licensed medical cannabis cultivation and processing facilities, located in Nanaimo, British Columbia. The flagship $30 million facility, which opened in 2014 and achieved EU GMP certification in 2016, has the capacity to produce 8 metric tonnes of medical cannabis per year. It also houses a state-of-the-art extraction and R&D centre focused on processing raw flower into pharmaceutical-grade products like oils and capsules, in addition to developing new methods of delivery that provide alternatives to smoking.

The company’s second facility being announced today is located in Enniskillen, Ontario on a 100-acre property with 13 acres of existing greenhouse space. The property is currently producing peppers for the Enniskillen Pepper Company. Tilray has submitted an application to Health Canada to receive a federal license to produce medical cannabis on the Enniskillen site. In the first phase of the project, the property will house a 10-acre cannabis greenhouse facility and approximately 40,000 square feet of processing space. The facility marks a total capital investment of up to $30 million and, together with Tilray’s Nanaimo facility, is expected to generate a combined production capacity of as much as 51 metric tonnes by the end of 2018. In future phases to be completed over the next several years, the first 10 acres of Tilray’s new greenhouse in Enniskillen will be expanded up to 30 acres.

Tilray chose Enniskillen because the township is strategically located and has a strong workforce of qualified, skilled agricultural professionals. The Enniskillen facility is expected to hire approximately 50 people to work in operations, production, cultivation and facilities through the end of 2018. Over the next five years, the project is expected to create 200 to 250 full-time jobs in the region.

“Tilray’s decision to invest in a cultivation and production facility in Enniskillen is truly exciting, bringing quality jobs to the Sarnia-Lambton region in a rapidly expanding sector," said  Brad Duguid, Ontario Minister of Economic Growth and Development. "It’s no surprise that Tilray chose Ontario, as our province has one of the most competitive corporate tax rates in North America, an abundance of highly-skilled workers, and an incredibly robust agricultural sector. The new production facility in Enniskillen shows that Ontario is competitive in this growing new sector. The Government of Ontario’s new Ontario Investment Office worked tirelessly with Tilray to secure this important project. We’re very pleased to welcome Tilray to our province, and look forward to continuing to work with them as their expansion moves forward.”

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