CryoMass Technologies has secured an additional sales deal in Oklahoma for its CryoSift Separator™, a liquid nitrogen-based system designed specifically for the cannabis market.
The Denver-based company signed the deal with Tribe Collective, which will share the usage of the unit with fellow cannabis firm Choctaw Processing.
The agreement includes one-time revenue from the sale of the unit and recurring revenues from processing fees based on biomass volume throughout the patent licenses, which are at least five years.
CryoMass’ technology freezes and fractures biomass to efficiently isolate, collect, and preserve delicate resin glands (trichomes), which contain valuable cannabinoids and terpenes.
Christian Noël, CEO of CryoMass, said the transaction demonstrates how the technology can create value for multiple operators within the market.
“This shared-usage model could serve as a template for future deployments in other markets where operators seek to enhance their operational efficiency and market position.”
While specific terms remain confidential, recurring revenues to CryoMass from the transaction could exceed $1,000,000 per annum, depending on certain factors.
At the time of writing, cannabis is legalized for recreational use in 24 states and for medical use in 39 states. Five years ago, this number was considerably lower – 11 for recreational and 33 for medical – so the opportunity is certainly growing.
Market research further predicts that the US cannabis market is projected to reach $45.35bn in 2025, with a 2.24% CAGR driving revenue to $49.56bn by 2029, making it the highest-grossing national cannabis market globally.[1]
