Medlab approved to perform NSW medical marijuana trials
SHARE prices have shot up for the company chosen to carry out NSW's first medical marijuana trials.
Medlab Clinical listed on the ASX earlier this month before being granted approval on Wednesday to perform the clinical trials.
Share prices increased 5.41% to 19.5c by the day's close of trade and had yesterday risen to 20c.
In announcing it had won the contract, the company said it believed its "small particle delivery platform" could be used to administer smaller doses to reduce risks and complications to patients.
The NanoCelle vapour technology would allow the plant's chemicals to be used without the need for smoking.
"Further, the NanoCelle platform decreases the possibility of social misuse of the product," the statement said.
The NSW Government has pledged $9 million over four years to carry out the research, starting with 30 adult patients at a hospital in Newcastle.
It will also invest $12 million into a Centre for Cannabis Research and Innovation in an effort to become a global leader in the field.
Results from the study are expected early next year and will lead to broader studies across city and regional hospitals if deemed successful.