April 5, 2016 – Vancouver, BC
New Age Farm Inc. (CSE:NF) (OTC:NWGFF) (FSE:ONF) (www.newagefarminc.com) (#NWGFF) (“New Age Farm” or the “Company”) wishes to provide an update regarding the acquisition of the Oroville Property in Washington State as announced on October 27, 2015. The Company is pleased to announce that it has completed the acquisition of the Oroville Property and that New Age Farm’s agricultural land bank now includes two US properties and one Canadian property, all capable of hosting tenant-growers using the Company’s planned turnkey agricultural facilities.
The Oroville Property is Washington State I-502 compliant and the Company is working to prepare it for tenant-grower occupancy. New Age Farm has erected security fencing around the perimeter of the property, and is in the process of installing watering lines and electrical facilities. In addition, storage and processing infrastructure buildings are under construction. These improvements will allow the property to accommodate up to four licensed tenant growers.
Carman Parente, president and CEO of New Age Farm commented that, “we are pleased that the acquisition of the Oroville Property has been completed and that we have been able to increase our land holdings increasing value for our stakeholders by creating additional potential revenue streams via our green campuses that will allow our tenant-growers and tenant-processors to cultivate and process high cash crops in our specialty built turnkey facilities.”
About New Age Farm
Through its wholly-owned subsidiary, NHS Industries Ltd. (“NHS”), New Age owns a five and a half acre greenhouse facility in the lower mainland of BC with a 48,000 square foot greenhouse facility, capable of growing 2.4 million 4” potted plants annually. NHS is in the process of formulating innovative proposals for small-scale agricultural facilities for exploring multiple avenues for cash flow processes. The facility is located minutes from three major Canada – USA border crossings and direct routes to the lower mainland west and to all points east and west along 16th Ave to Hwy 99 and to Hwy 1 make its location in South Langley an ideal hub. NHS intends to become a beta site for sustainable growing capabilities as well as minimizing all carbon footprints with regard to all its on-site operations. This facility will meet a growing demand in the Metro Vancouver and Fraser Valley areas to help smaller growers become more efficient, more productive, implement value-added product lines, and reduce waste.
Through its Washington State subsidiary, New Age Farm owns two additional properties, one located in Sumas, WA, and the other in Oroville, WA where it intends to offer fully built out turnkey service operations to licensed I-502 tenant-growers who will lease the facilities for production and processing. With two leases already in place, operations in Washington State are expected to begin as soon as the Company completes its first build out.
About the Washington I-502 Marijuana Market
In November 2012, the Washington State Liquor Control Board (“WSLCB”) passed Initiative 502 (“I- 502”) pursuant to a vote by the people of the State of Washington. I-502 authorized the WSLCB to regulate and tax recreational marijuana products for persons over twenty-one years of age and thereby created a new industry for the growing, processing and selling of Washington State-regulated recreational marijuana products. A recent WSLCB commissioned report by the Rand organization suggests that there are currently up to 650,000 recreational marijuana users in Washington State, worth approximately $1.25 – $1.5 Billion USD in annual sales.
For further information about New Age Farm, please consult the Company’s profile on SEDAR at www.sedar.com.
ON BEHALF OF THE BOARD OF DIRECTORS
President and Chief Executive Officer
The Canadian Securities Exchange has neither approved nor disapproved the contents of this news release and accepts no responsibility for the adequacy or accuracy hereof.
This news release contains forward-looking statements, which relate to future events or future performance and reflect management’s current expectations and assumptions. Such forward-looking statements reflect management’s current beliefs and are based on assumptions made by and information currently available to the Company. Readers are cautioned that these forward-looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected including, but not limited to completion of planned improvements at both the Canadian and US sites on schedule and on budget, the availability of financing needed to complete the Company’s planned improvements on commercially reasonable terms, planned occupancy by the tenant-growers, commencement of operations, the ability to mitigate the risk of loss through appropriate insurance policies, and the risks presented by federal statutes that may contradict local and state legislation respecting legalized marijuana. These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances save as required under applicable securities legislation. This news release does not constitute an offer to sell securities and the Company is not soliciting an offer to buy securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
This news release does not constitute an offer of securities for sale in the United States. These securities have not and will not be registered under United States Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States or to a U.S. Person unless so registered, or an exemption from registration is relied upon.