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New Brunswick inks deal with company to provide marijuana for recreational users

The New Brunswick government says it has inked a new deal to supply cannabis for recreational marijuana users.

The province signed a memorandum of understanding with Zenabis to provide four million grams of cannabis and derivative products with a retail value of about $40 million.

READ MORE: New Brunswickers will have to keep marijuana locked up under proposed legislation

The arrangement is expected to create about 450 jobs over the next two years in the village of Atholville.

New Brunswick officials says the Zenabis deal and earlier agreements with Organigram and Canopy Growth Corp. make it the first province to secure a supply for all of its cannabis consumers.

WATCH: New Brunswick proposes cannabis legislation to protect youth





The province announced in August 2016 that it would provide a $4-million loan to Zenabis to build its New Brunswick facility.

Zenabis has a 393,000 square foot facility in Atholville for the production and distribution of pharmaceutical-grade medical marijuana, and holds a second production licence in Delta, B.C.

© 2017 Global News, a division of Corus Entertainment Inc.



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