Shares in junior mineral exploration company Queensland Bauxite surged after its announced progress in an investment in Medical Cannabis Limited.
A short time ago, the shares were up 86% to $0.028.
Shares in companies associated with medical cannabis have been soaring. Earlier this week, shares in Stemcell United jumped 3000% to 40 cents.
The miner earlier this month acquired 55% of the unlisted public company Medical Cannabis Limited formed by Andrew Kavasilas who has been involved in NSW hemp farming since 1999.
This company has been given approval by the NSW Department of Primary Industries to grow a selection of its plant varieties indoors and has been granted a licence to cultivate and supply low-THC Cannabis for commercial production.
“The timing is perfect for our company to take advantage of the Australian government’s new medical Cannabis regime,” says Kavasilas.
MCL is now preparing an additional application for a cultivation licence through the Office of Drug Control to obtain the right to lawfully cultivate cannabis for medicinal exploration.
Queensland Bauxite has the South Johnstone Bauxite Deposit in northern Queensland which it plans to develop.