Mr. Rob Hill reports

EMERALD HEALTH THERAPEUTICS NEW ORGANIC CANNABIS OPERATION RECEIVES CULTIVATION LICENSE FOR OUTDOOR GROW AREA

Emerald Health Therapeutics Inc. has received its cultivation licence from Health Canada for the 12-acre outdoor grow area at its new organic cannabis operation in Metro Vancouver, B.C. The outdoor grow area is expected to be capable of producing approximately 10,000 kilograms of cannabis annually, with multiple crops during a full growing season. With this licence effective as of July 12, 2019, Emerald is positioned to deliver one harvest and a portion of the expected full production volume this year.

The 12 acres (approximately 500,000 square feet) of outdoor cultivation are part of an overall 20-acre site that includes 156,000 square feet in two greenhouses. This operation was purposefully designed for organic cultivation, with the goal of exceeding 20,000 kilograms of annual production. There is also the prospect of securing and licensing an additional adjacent 12 acres of outdoor grow area, with potential for an additional approximately 10,000 kilograms of annual production.

"As one of the few licensed producers licensed for outdoor growing, receiving this cultivation licence highlights our planning and execution to achieve potentially very low-cost organic cannabis. We have been working for months on ground and seed preparation and are now preparing for planting," said Dr. Avtar Dhillon, executive chairman and president of Emerald. "With our team's extensive organic farming experience and expertise, we look forward to assessing multiple cannabis strains and refining cultivation practices for scalable outdoor growing."

With the organic operation's first greenhouse ready for cultivation and the second greenhouse near completion, Emerald will continue to apply for licence amendments to expand its licensed cultivation areas. Emerald is also working to complete the requirements for municipal permitting.

Separately, Health Canada also approved Emerald's amendment application to increase its processing footprint at one of its two Victoria, B.C., facilities, allowing Emerald to expand processing and storage capabilities.

About Emerald Health Therapeutics Inc.

Emerald Health is a Canadian licensed producer of cannabis products, with strategic initiatives focused on differentiated, value-added product development for medical and adult-use customers, supported by novel intellectual property, large-scale cultivation, extraction and softgel encapsulation, as well as unique marketing and distribution channels. Its 50-per-cent-owned Pure Sunfarms operation in British Columbia has reached its full run-rate annual production of approximately 75,000 kilograms in its first 1.1-million-square-foot greenhouse Delta 3 operation; a second 1.1-million-square-foot greenhouse is planned to be in full production by the end of 2020.

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