A Kentucky company leased a 1.2 million square foot facility, which previously housed the Maxwell House coffee plant, to process hemp, the CEO said.

Jeff Lake, CEO of Elemental Processing, said the company expects to begin processing hemp at the plant within six to nine months.

Elemental Processing purchased the equipment inside the building signed a long-term lease for the land, Lake said, but declined to provide further information about the terms of the lease.

The hemp plant has fibers that that can be used to make items such as clothing, rope and animal feeds. If cultivated to flower, hemp produces cannabinol oil, which can be extracted for use in consumer health products. CBD is commonly used as a consumer health product to reduce inflammation and anxiety, according to Harvard Medical School research.

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The company testified on Texas’ hemp bill, which was passed in April. Elemental Processing’s plan for the old coffee manufacturing facility in Houston’s east end was touted in Austin as a prime example of how the hemp legislation would boost businesses and local economies.

Houston Mayor Sylvester Turner delivered prepared remarks during committee hearings on HB-1325, and said the city estimates Elemental Processing’s operations would contribute $947.9 million in economic output. The city estimated that the construction and refurbishment of the facility alone could contribute as much as $149.7 million in economic activity.

“This legislation is a win for Texas and a win for Texas farmers,” Turner said in his remarks.

At the time of the hearings, the company had not yet finalized the lease.

The former Maxwell House factory was one of the world’s largest coffee manufacturing plants. It closed last summer and laid off 279 employees when the owner, Atlantic Coffee Solutions went out of business.

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Once the hemp processing plant is fully operational, the Elemental Processing estimates it will be able to process 100 million pounds of hemp biomass per year.

erin.douglas@chron.com

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