Sugarmade, Inc. announced its first transaction relative to its collaborative cannabis cultivation strategy via a definitive and executed contract with Cannabis Global, Inc. Under the terms of the agreement, Sugarmade, via partner licensed and permitted Lake County, California, cannabis cultivators, will produce approximately 25,000 pounds of “Fresh Frozen” cannabis, which Cannabis Global, Inc. will use in its product lines and will distribute to the California marketplace. Fresh Frozen cannabis is cultivated to be immediately flash frozen upon harvest instead of the traditional treatment of drying and curing after harvest. The companies have signed a pre-booked, fixed-price contract in the amount of $700,000, which will include cash payments from Cannabis Global to Sugarmade of $300,000 and notes for the balance of $400,000.

Planting of the cultivators is expected to begin in mid-May and continue into early June. The cannabis strains for Cannabis Global's cultivation will be specifically selected for attributes conducive to producing ultra-premium solventless extracts and products based on live rosin and hash concentrates. Upon harvest, all cannabis plants will be trimmed with the best flowers immediately flash-frozen to preserve the delicate oil-containing trichomes.

This Fresh Frozen cannabis will then be stored at ultra-low temperatures until processed via 100% solventless extraction technologies. The trend toward Fresh Frozen cannabis is being driven by consumer demand. Many educated cannabis consumers are looking beyond ordinary high THC products and seeking naturally produced cannabis products full of natural plant terpenes and flavors.

Not only is the market for Fresh Frozen cannabis flower growing, but so is the category of products based on the extracts produced from this form of cannabis biomass. In many ways, the advent of fresh Frozen-oriented cannabis cultivation has turned the cannabis cultivation model on its head. Where cultivators traditionally harvested cannabis plants and then spent weeks or months drying, curing and processing plant materials, all the while battling heat, humidity, molds and other factors that could affect the product, Fresh Frozen oriented cultivation allows growers to ditch the traditional model by cutting down the plants at the peak of freshness, stripping the large leaves, branches and stems and then bagging the remaining materials bound for storage in industrial freezers at temperatures well below -5 F. With the rapid harvesting process, airtight storage and near cryogenic storage temperatures, almost all of the natural cannabis plant essence is preserved.