Newfoundland and Labrador has its third cannabis production and supply agreement.

Auxly Cannabis, based in Toronto, will enter the market through a connected company, Atlantic Cultivation. The local company is owned by three entrepreneurs.

Minister Christopher Mitchelmore says the project will result in nearly 120 jobs once the facility is up and running. The 110,000 square-foot building will be constructed at Kenmount Crossing, the new industrial park.

Output will be up to 16,000 kg per year, about one-third larger than Canopy Grow in the east end of St. John’s. The other grow and supply agreement with government is with Biome on the west coast.

Atlantic (Auxly) will also open up to five retail outlets in the province.

The total potential manufacturing output in NL will eventually be at 44,000 kg per year.