Toronto,
Canada -- ALGAE DYNAMICS CORP (OTCQB: ADYNF) (the "Company"),
a development stage company focused on the development of unique
health products and pharmaceuticals utilizing cannabis and algae
oils, today announced a research and product development agreement
with Western University to perform research on cannabis oil and its
constituents in the context of depression, post-traumatic stress
disorder, anxiety and schizophrenia. This is the second of the
recently announced research agreements with Canadian universities
involving cannabis oil research. This announcement brings Algae
Dynamics total university research contributions to $1.6 million for
both programs.
This
announcement follows the Company's previously announced new strategic
initiative to explore the extraction of oils from other botanicals,
most notably cannabis, and to seek product development and
formulation opportunities that combine the benefits of algae and
cannabis oils. This research agreement will directly support this
initiative and will "focus on translational pharmaceutical
research, with a specific focus on identifying how specific
phytochemical compounds found in cannabis, including
delta-9-tetrahydrocannbinol (THC), cannabidiol (CBD),
cannabinoid-derived terpenoids and other potential phytochemical
derivatives of cannabis may serve as novel pharmacological treatments
for symptoms associated with depression, post-traumatic stress
disorder, anxiety and schizophrenia."
Paul
Ramsay, Chairman and President of the Company said, "With this
research agreement, we are building upon the previously announced
strategic initiative into the use of extracts from cannabis oil, in
conjunction with algae oil, to develop unique health products and
formulations. In our previous press release, we outlined a three-part
approach, the first being Research and Development work with Canadian
universities. This is the second of such research agreements relating
to the use of botanical extracts including cannabinoids that we
expect to employ".
The
investigator leading the research is Dr. Steven Laviolette, a
Professor and Neuroscientist in the Schulich School of Medicine &
Dentistry at Western University. Dr. Laviolette is a leader in the
study of cannabinoids in mental health. Dr. Laviolette's research
team has previously made numerous fundamental discoveries related to
how cannabinoids impact and may serve as treatments for mental health
disorders including schizophrenia, depression, post-traumatic stress
disorder and anxiety. Dr. Laviolette's primary research focus is in
characterizing how specific phytochemical derivatives of cannabis may
interact with specific brain pathways and molecular mechanisms
whereby they may improve symptoms associated with various mental
health disorders. Research from Dr. Laviolette's team has been
published in the top neuroscience and psychiatry journals in the
world. His full profile may be seen on the Western University,
website http://www.uwo.ca:
The
Company's contribution to the four-year Sponsored Research Agreement,
which commences April 1, 2017 and terminates March 30, 2021, is
C$250,000 per year. The Company believes, from past experience, that
it will be able to leverage the research expenditures with matching
scientific grants pursuant to programs of various branches of
government. The Company will be responsible for the filing of patents
relating to this research and will own such patents if and when
issued. The Company has agreed to make payments to the University
upon filing of each patent, when each patent is issued, after first
commercial sale and when gross sales reach C$1,000,000. There are no
ongoing royalty payments, relating to the use of the patents. The
workplan may be extended and modified to achieve best outcomes which
may include 1) delegating specific research areas of research work
that require additional technologies to appropriate providers; and 2)
engaging research collaborators to extend the research into
additional areas of benefit to the Company.
The
Company's core product development strategy has been the production
of high volume specific algae species and extraction of Essential
Fatty Acids (EFAs) which is the foundation of the endocannabinoid
system (ECS). The ECS is a group of endogenous cannabinoid receptors
located in the mammalian brain and throughout the central and
peripheral nervous systems, consisting of neuromodulatory lipids and
their receptors. The extracted algae Omega 3 oil with high
concentrations of DHA is used as a health supplement product. In
light of the potential synergies, the Company has developed its
strategy which is aimed at developing new products and formulations
that combine the health benefits of algae and cannabis oils.
As
reported earlier, the Company is continuing to seek opportunities to
partner with or take ownership in existing Access to Cannabis for
Medical Purposes Regulations (ACMPR) licensed producers to allow for
access to the marketplace.
About
Algae Dynamics Corp
ADC
is currently engaged in the development of unique health products and
pharmaceuticals that utilize hemp, cannabis and algae oils. This is
an extension of our plan to commercialize our proprietary BioSilo®
algae cultivation system for the high volume, low cost production of
pure contaminant-free algae biomass which is high in Omega-3 fatty
acids. We have engaged two Canadian universities to provide research
into the use of extracts from cannabis oil, which we plan to use to
develop products that combine the significant health benefits of
Omega-3s derived from algae oil and extracts from cannabis oil. Our
research is focusing on the use of cannabis oil in the context of
cancer, and the use of cannabis derivatives for the development of
novel pharmacotherapies for mental health.
NOTE
REGARDING FORWARD-LOOKING STATEMENTS
This
news release contains "forward-looking statements" as that
term is defined in Section 27A of the Securities Act and Section 21E
of the Securities Exchange Act of 1934, as amended. Statements in
this press release which are not purely historical are
forward-looking statements and include any statements regarding
beliefs, plans, expectations or intentions regarding the future. Such
forward-looking statements include, among other things, use of
proceeds and the development, costs and results of current or future
actions and opportunities in the sector. Actual results could differ
from those projected in any forward-looking statements due to
numerous factors. Such factors include, among others, the inherent
uncertainties associated with new projects and development stage
companies, our ability to raise the additional funding we will need
to continue to pursue our exploration and development program, and
our ability to retain important members of our management team and
attract other qualified personnel. These forward-looking statements
are made as of the date of this news release, and we assume no
obligation to update the forward-looking statements, or to update the
reasons why actual results could differ from those projected in the
forward-looking statements. Although we believe that any beliefs,
plans, expectations and intentions contained in this press release
are reasonable, there can be no assurance that any such beliefs,
plans, expectations or intentions will prove to be accurate.
Investors should consult all of the information set forth herein and
should also refer to the risk factors disclosure outlined in our
annual report on Form 10-K for the most recent fiscal year, our
quarterly reports on Form 10-Q and other periodic reports filed from
time-to-time with the Securities and Exchange Commission.
FOR
MORE INFORMATION, PLEASE CONTACT:
Paul
Ramsay
Phone:
289-997-6740
Email:
ramsay(at)algaedynamics.com
