New Colombia Resources Inc (OTCMKTS:NEWC) Making Advances In The Cannabis Industry

In our last review of New Colombia Resources Inc (OTCMKTS:NEWC), we noted that the company is primarily a mining company, and has ventured into the cannabis industry as a secondary business.New Colombia Resources, Inc is focused on the acquisition and development of high-quality metallurgical coal properties and other available resources in the Republic of Colombia. The Company expects to have several revenue producing businesses including; metallurgical coal mining and rock quarry aggregates for domestic Colombian highway and railroad building projects. The Company owns 100% of La Tabaquera metallurgical coal mine in Colombia with an estimated 15- 17 million tonnes of reserves. The Company has another pending acquisition for 390 ha, and a solicitation contract for 184 ha metallurgical coal concession. New Colombia Resources also holds a significant position in Sannabis SAS which legally produces medical marijuana products in the Republic of Colombia.For the purposes of this article, we will mainly focus on the medical marijuana side of the business. For starters, in Colombia, a law legalizing medical marijuana was passed in May 2016, but the regulations for possession of seeds, cultivation, transformation, and exportation have not been ratified. A Resolution regulating medical marijuana is expected at any time in accordance to Article 18 of Law 1787 of 2016 and Decree 613 of 2017. Like many other companies around the world, New Colombia Resources, Inc recognizes the potential opportunities in the emerging medical marijuana industry. Consequently, the Company is taking steps to capitalize on the increasing demand for quality medical marijuana.On 06/27/17, New Colombia Resources Inc announced that Sannabis, their joint venture in Colombia, received a "Registro Sanitario" from Colombia's Ministry of Health's INVIMA (National Institute for Food and Drug Monitoring). The registry is for 10 brands, but only four were registered; Sannaxhol (pain relief, anti-inflammatory), Sannaderm (for skin abrasion and post tattoo care), Sannalip (lip balm), and a product soon to be announced. The Company plans to register an additional six products possibly through joint ventures for worldwide distribution. These products are manufactured by an INVIMA certified manufacturing facility with Good Manufacturing Practices (GMP). Sannabis has first mover advantage while others try to position themselves as Colombia's new medical marijuana regulations are implemented. Sannabis has been legally producing non-smoked medical marijuana products since 2014. John Campo, President of New Colombia Resources, Inc. stated:

"Most hemp seed products are imported to the United States from Canada. Needless to say, Colombia has more ideal growing conditions than Canada, evidenced by the Canadian medical marijuana companies down here trying to set up shop. We're positioning ourselves as a leading distributor of high quality 'Made in Colombia' medical marijuana and hemp products around the world,"

On 05/18/17, the Company announced that its joint venture, Sannabis SAS, successfully treated another cancer patient with their Pure Cannabis Extracts. The patient is a male in his 60's with prostate cancer that was first diagnosed in January 2003, with a Prostate Specific Antigen (PSA) level of 5.25. He initially underwent other forms of treatment. All of which were unsuccessful at stopping the progression of the cancer. In January 2017, a CT scan revealed lumps on his lungs; he then started a treatment of Sannabis' Pure Cannabis Indica Extract applied rectally. His PSA in January 2017 was 3.83, in February his PSA dropped to .87 and a CT scan showed the lumps had disappeared. In March, his level declined even further to .07, and in the first week of May it dropped to 0.These results are very encouraging to New Colombia Resources as they prepare to open treatment spas for patients from abroad that want access to quality cannabis extracts made from medicinal strains only found in Colombia. This is very encouraging news for New Colombia Resources Inc.

NEWC stock has been trading near a support level of $.0062 since late April of 2017. The stock is currently trading at $.0075. Current market capitalization stands at $2.12 million, on 282.52 million shares outstanding as of July 3, 2017.Although the news regarding the cannabis side of the business sounds very promising, there is still the issue of current financial reporting, as mentioned in our last review. Until this “Red Flag” is corrected and investors can review current SEC filings, NEWC will not have much appeal to investors that may otherwise be interested. Be sure to check out our prior coverage on NEWC for more insight. We will be updating our subscribers as soon as we know more. For the latest updates on NEWC, sign up below!Image courtesy of macrocannabis via FlickrDisclosure: We have no position in NEWC and have not been compensated for this article.