Gold explorer finds new product Miner digs up deal on hemp

A MINING company with interests in developing a gold mine near Charters Towers has diversified into a business with a difference.

A subsidiary of Cannindah Resources Limited has signed an exclusive business and marketing partnership agreement with Annabis Hemp.

Annabis is a natural cosmetics company based in the Czech Republic — it deals with research, development, manufacture and production of high quality hemp products and food supplements.

Cannindah Bioceutical Distribution’s agreement gives them the exclusive Australian rights.

“The agreement is only subject to the packaging and products being compliant with Australian regulations, which is currently being worked on,” an ASX statement said.

“While products derived from hemp seed oil are not illegal in Australia, there are certain regulations.”

The ASX statement said Cannindah Resources – the parent company – would focus on delivering outcomes at its Piccadily gold project, near Charters Towers.

Executive chairman Tom Pickett said money made through diversifying into selling hemp products could be put into gold exploration.

“Hand on heart we can say we have a good potential gold project,” he said. “The next port of call is ground- based surveys at Piccadily next week.

“We are pretty excited about where things are heading.”

Mr Pickett said although a subsidiary of a mining company moving into selling something like hemp seemed a bit different, looking at investing in new products was not new for the company.

Previously he said Cannindah Bioceutical Distribution had looked at becoming involved in the baby formula industry in China but decided to back away because of regulatory issues.

“Since then we’ve had our eye open for new opportunities,” Mr Pickett said.