$CBGL The Company launched Project Varin last year to develop innovative infusion and delivery technologies for rare cannabinoids, such as cannabinol (CBN) and tetrahydrocannabivarin (THC-V). The Company's researchers quickly developed infusion technologies to reduce the infusion and delivery costs of these exotic cannabinoids, which are often in excess of $50,000 per kilo. As a result, Company now estimates a fivefold increase in THC psychoactive effect when its Project Varin technology is utilized. The Company believes this will allow product formulators to significantly reduce costs and/or to produce products with significantly improved psychoactive effect utilizing similar dosage levels.

Mr. Tabatabaei continued, "We have designed these technologies with food and beverage formulation in mind. While the legacy technologies rely on harsh chemical solvents for initial processing and surfactants to maintain stability, we have been able to utilize food-grade ingredients in our Project Varin technologies. We believe the use of food-grade inputs, along with the superior bioavailability and meaningful reductions in onset times make these new technologies unique to the marketplace. We plan to expand our Project Varin program going forward with a new laboratory program already being kicked off this week, to produce additional samples, which will be formulated into new products. We also plan additional non-provisional patent filings as Project Varin technologies move out of the laboratory and into product formulation stages."

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