Pennsylvania Project

PENNSYLVANIA PROJECT

Global Resource Operations, LLC (GRO), with its sister company, Medganics, LLC, is a vertically–integrated medical marijuana project that uses clean energy and organic agricultural methods to cultivate profit in an emerging market.  Employing green technology, GRO will cultivate, extract, and dispense the highest quality cannabis-infused products to patients in Pennsylvania. GRO is ready to develop and launch the most technologically advanced cannabis cultivation and extraction facility to manufacture and then dispense in our Medganics dispensaries as well as wholesale to other dispensaries.

News: September 2016

GRO partners with Sunnyside Energy Park in Jefferson County

GRO has created a strategic partnership with a clean energy park.  Located in Jefferson County, Pennsylvania in the foothills of the Allegheny Mountains, GRO’s cultivation site will be located at Sunnyside Energy Park using its clean energy including natural gas, electricity, purified water, sewage treatment and heat. The added benefit of incorporating green energy allows unique cost-containment. Receiving discounted rates gives GRO a profitability advantage over competitors. GRO has assembled and is ready to deploy an industry-leading team to develop a turn-key model that is fully compliant with state and local law.

 

GRO’s chosen location for its grower-processor facility at the end of a road, nestled against a hill, in a secluded, gated energy park, with limited ingress and egress, far from neighbors, schools or churches, naturally fulfills critical elements of GRO’s operations.

Medganics’ chosen locations for its three dispensaries include Cambria, Butler and Allegheny Counties.  Medganics has a clear company plan to serve veterans, as well as non-veterans in need, in rural communities where the opioid and heroin problems are devastating communities.  Under the current regulations limiting the primary location, Medganics location in Johnstown (Cambria), is critically important for both Medgaincs business plan, and the Commonwealth, to implement the statute’s intent. With high addiction issues in Cambria and surrounding counties, as well as its high population reach (4th largest in state within a 30 mile circumference), Johnstown desperately needs to have a dispensary location.  Medganics will fill that need while serving Allegheny and Butler Counties’ populations as well.

 

GRO and Medganics have all of the staff, partners, suppliers, financial backers and knowledge to fully execute this multi-million dollar revenue opportunity. GRO will build a state of the art, high-output set of companies that will become a model showcase for the cannabis industry with the ability to increase the size of operations as demand increases. GRO has preemptively designed its business plan and project infrastructure to comply with all recently released regulations. Acting in this preemptive fashion, GRO will ensure the highest likelihood of being awarded the appropriate licenses.

 

Global Resource Operations, LLC (GRO) and Medganics, LLC are currently awaiting grant of their applications from the Department of Health for permits to operate its Pennsylvania grower-processor location at Sunnyside Energy Park, as well as their dispensaries in the counties noted above.  By having a clear vision of how to enter this new market and by anticipating market maturity year after year, GRO/Medganics will scale to become Pennsylvania’s premier cannabis cultivator and extractor, and dispenser. Leveraging its strategic partnership with Sunnyside, along with its strong financial backing, GRO’s grower-processor business model and marketing plan minimize risk and maximize the likelihood of long-term success, growth and profitability.  Medgaincs’ experienced team of medical staff will guide it to become the most patient-focused dispensary in the state, with a particular concern for its rural citizens and its veterans.

Merging green energy and organic farming methodology

GRO’s model at Sunnyside is a cultivation and extraction company.  Cultivation is the best place to enter the market, which enables GRO to own the means of production and extraction and then ensure that the highest quality product reaches the needs of the patients.  As a result, our companies are aggressively seeking vertical licensing, so that GRO’s brand will have the certainty of dispensing quality products with planned follow-up and consistency for its patients.

Sustainability

Electricity is a huge portion of the cost of cultivating marijuana in indoor warehouse facilities. Because of this cost, and also due to these facilities’ high-energy usage, there is often a severe drain on local electric grids. Oftentimes, electric companies put surcharges on excess usage, which results in higher costs passed on to the patients.  An Oregon Department of Energy calculator provides an estimate that a grower with 5,000 square feet of total indoor grow area with “high energy usage” may use approximately 1,000,000 kw-hrs./yr. At GRO, the energy use for the same square footage of grow area with “low energy usage” is reduced by 70-80% resulting in only 200 to 300,000 kw-hrs./yr. for the same 5,000 sq. ft. area, most of which will be derived from the CNG available from Sunnyside, creating virtually no impact on local power grids.

 

GRO is committed to leaving the lowest carbon footprint possible, by partnering with clean energy distributers, using sustainable, local materials and implementing sustainable practices throughout its facilities. Further, to minimize environmental impact, GRO is planning the first LEED certified growing operation in the Pennsylvania cannabis industry.

News: February 2017

 GRO contracts for purchase of State-of-the-Art Grow Facilities

Indoor versus Greenhouse

GRO has contracted for purchase of a hybrid structure, a Nexus enclosed greenhouse, for its Sunnyside location.  The hybrid structure will provide abundant natural light and utilize supplemental lighting, which will, in turn, reduce energy use by nearly 70%-80% compared to traditional warehouses. The ability to control and offset energy usage is the future of commercial cannabis cultivation. The Nexus structure will have the lowest energy cost with the highest quality product yields in the industry.  Coupled with GRO’s lower energy costs at Sunnyside, GRO will be even more efficient than identical greenhouse operations elsewhere. GRO will cultivate plants in enclosed facilities that adhere to all state regulations. This model incorporates the best of indoor growing and greenhouse methods to fully capitalize on agricultural seasons with planned, structured development.

Expansion

In a new medical marijuana market, the ability to grow and expand the cultivation area is a huge asset.  GRO’s entire operation was designed to have easy expansion by merely adding bays.  These bays limit operational expenses to only those needed at that time. GRO is starting with one acre of greenhouse growing area, with availability to increase up to approximately 18 acres with our existing lease. Warehouse expansion, on the other hand, is difficult, if not impossible.  GRO has built expansion into its master plan and therefore growth will flow seamlessly with the original layout.

Strategic Partner: Sunnyside Energy Park

Robert “Bob” Beatty, operator of Sunnyside Energy Park, has agreed to help guide GRO’s green energy use and efficiency through its participation in Sunnyside’s Co-Op.  He will be sharing his industrial engineering talents as GRO creates a successful MMJ cultivation program in Sunnyside.  The unique clean energy park is the perfect compliment to GRO. Beatty is an avid compressed natural gas (CNG/LNG) advocate, and serves on several industry-related committees providing direction on regulatory and safety concerns for CNG solutions (Pittsburgh Region Clean Cities Board; Carnegie Mellon University Fuel Freedom Foundation; Chairman of the PA Independent Oil and Gas Association’s Alternative Fuels Committee; Chairman of the Heartland Energy Foundation). Beatty has over 30 years’ experience in the natural gas and compression industries.  A staunch patriot, he is passionate about changing the landscape of the energy sector by increasing the use of natural gas to provide a cleaner, more affordable, domestic fuel source for Americans.  GRO could not have found a strategic partner more committed to GRO’s philosophy on green energy than Beatty and Sunnyside Energy Park.

 

Key Elements for Success:  Sunnyside is strategically located in close proximity to both the raw materials needed for the core businesses (natural gas, brine water, fresh water, land, etc.) as well as the key markets and transportation infrastructure (rail and highways) needed for success.  In particular, the vast, sustainable, and affordable supply of natural gas will provide ample resources necessary for the utility company to provide both power and heat to the other tenants, as well as the raw material for the CNG, LNG, GTL’s, and H2O businesses.  In addition, the rural location of the park minimizes regulatory hurdles and, further, the State and local regulatory agencies are aware and supportive of the park.

 

The Sunnyside owners each have proven track records of success in their respective industries and also key relationships with national and regional industry partners with diverse expertise.  The park will provide opportunities for a diverse portfolio of other businesses to operate at Sunnyside to include energy, services, agriculture, and others, bringing much needed economic opportunities to the area.  Finally, the first core businesses, as well as additional future businesses, have symbiotic relationships that utilize waste products from one as raw materials for another to help eliminate waste and create a green, efficient energy-focused industrial park.