A Queensland mining company has high expectations after branching out in a completely new direction.
Gold miner, Cannindah Resources, announced on Thursday that its wholly owned subsidiary, Cannindah Bioceutical Distribution, had reached agreement with Annabis Hemp for the exclusive right to sell and market its hemp products in Australia.
In a statement to the ASX, Cannindah said the agreement was subject to the packaging and products complying with Australian regulations.
“While products derived from hemp seed oil are not illegal in Australia, there are certain regulations that still need to be complied with,” executive chairman Tom Pickett said.
“The company will initially be managed by existing executive staff, with additional sales staff added as required.”
Based in the Czech Republic, Annabis Hemp deals with research, development, manufacture and production of high-quality hemp products and food supplements.
“Their customers use hemp products for a wide range of needs, with outstanding results,” Mr Pickett said.
“Once we have satisfied Australian compliance requirements, we will focus on growing the Annabis brand within Australia.”
Cannindah is following in the footsteps of Queensland Bauxite, which has a 55 per cent stake in Medical Cannabis, which distributes the Vitahemp brand.
Cannindah Resources holds the Mount Cannindah copper-gold project, 100km south of Gladstone, and has been mining gold at its Piccadilly lease, 60km north of Charters Towers.