It's a major road block for a local medical marijuana facility.
Health Canada has confirmed to CTV News it intends to reject CEN Biotech's application for a license.
Officials with CEN Biotech hoped to produce 1.3 million pounds of medical marijuana at its Lakeshore facility and ship it those with a license.
But now those plans have changed.
In a written statement, a Health Canada official confirms to CTV News, "Based on a thorough assessment in line with the extensive requirements built into the medical marijuana program, Health Canada has advised CEN Biotech of its intent to reject its application."
The company now has 20 days to provide Health Canada with a response.
If it does not successfully do that, the decision becomes final.
Officials with Health Canada did not say why it was rejected.
"The screening process has been designed with stringent criteria. It will continue to be scrupulously applied to all applicants," the release said.
Lakeshore mayor Tom Bain says as a municipality, he needs to deal with an appeal.
"That appeal is still active and that appeal is in regards to the zoning that we haven't allowed marijuana growth to grow in agricultural areas but industrial sites," says mayor Bain.
Biotech's site just off Manning Rd. has been the site of controversy.
About 10 landowners nearby retained legal council, saying they did not want the facility in their neighbourhood.
In the fall, police were called to a public meeting in Lakeshore to restore order before council voted to restrict the medicinal facilities to industrial zones rather than agricultural areas.
