ECS Botanics has told the ASX its north-western Victoria medicinal cannabis facility is continuing to operate despite severe flooding in the area from the Loddon River.

While the site, on the Murray River, has no history of flooding, the company said it has substantially increased levee banks which have so far kept it dry, allowing operations to continue and the cannabis plants to be maintained. 

However, significant road closures and flooding in the surrounding area has meant some employees have been unable to get to work, impacting supply chain logistics. 

The floods have also delayed the construction of new protected cropping enclosures.

ECS Botanics has increased levee banks at its Murray River facility to protect it from flooding

ECS said although further flooding in the region remains a risk, the levees are expected to continue to protect the facility, adding it does not anticipate a material impact on revenues as things stand. 

Managing director Nan-Maree Schoerie said: “We are pleased to have been able to protect the facility from flooding and hope to continue to do so. 

“However, our thoughts are with the community and the many families who have lost their homes during this widespread flood event. 

“From a business perspective, it is extremely frustrating, as this has distracted us from our expansion as we continue to experience very healthy demand for our products.”

Meanwhile, Schoerie paid tribute to the local community who pitched in to help protect the facility from the floods.

She told The Weekly Times: “I can’t express my gratitude enough. They just mucked in and started laying plastic and putting the sandbags down. There’s just no way we could have done it [without them]… I was completely blown away by the level of support.”

Prior to launching Cannabiz, Martin was co-founder and CEO of Asia-Pac’s leading B2B media and marketing information brand Mumbrella, overseeing its sale to Diversified Communications in 2017. A journalist...

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