Mr. Paul Pedersen reports

NEXTLEAF ENTERS NEWFOUNDLAND MARKET THROUGH STRATEGIC PARTNERSHIP WITH ATLANTIC CULTIVATION

Nextleaf Solutions Ltd. has entered into the Newfoundland and Labrador market through a strategic partnership with Atlantic Cultivation Inc.

Nextleaf is supplying Atlantic with semi-finished goods to power several unique products under their Crooked Dory brand. The initial order of cannabis extracts has been shipped to Atlantic, with Crooked Dory products available now in the Newfoundland and Labrador market.

"We are excited to support Atlantic's authentic Newfoundland brands by supplying cannabis oils, extracts and technology," said Nextleaf co-founder and chief executive officer, Paul Pedersen. "Atlantic is currently the No. 1 cannabis distributor in the Newfoundland and Labrador market, with incredible brands, and infrastructure to produce and distribute products that delight consumers."

"Atlantic is very excited to partner with and provide Nextleaf processed products across Newfoundland and Labrador. Nextleaf's quality and processing efficiency allow us to offer exceptional quality products at the lowest prices in the province. We are proud to have their products become a staple offering in our wholly owned retail chain," said Atlantic founder and chief operating officer Chris Crosbie.

According to the most recent data available from the Newfoundland and Labrador Liquor Corp. (NLC), annual sales of cannabis is growing rapidly at a double-digit growth rate within the region. The NLC reported total retail cannabis sales increased by 17.2 per cent for a total of over $61-million for its fiscal year 2022.

Along with its direct-delivery distribution platform to licensed cannabis retailers, Atlantic operates eight retail locations throughout Newfoundland and Labrador.

About Atlantic Cultivation Inc.

Atlantic Cultivation is owned by a team of Newfoundlanders and Labradorians that believe in offering great quality cannabis to the people in Newfoundland and Labrador, and throughout the country. The company has created an amazing team obsessed with quality, community and fun. Its cannabis cultivation and processing facility is in St. John's, Nfld. The company also owns and operates Atlantic Cannabis retail locations across the province. Visit one of its locations to find exciting cannabis products from the company and its partners.

About Nextleaf Solutions Ltd.

Nextleaf is a federally regulated manufacturer and distributor of cannabis vapes and oils under its award-winning prohibition-era brand, Glacial Gold. The company currently sells its branded products through authorized distributors and retailers in four provinces in Canada. Nextleaf is a low-cost producer of cannabis oils, and supplier of THC (tetrahydrocannabinol) and CBD (cannabidiol) ingredients to qualified wholesale partners across Canada. The company's multipatented ingredient processing technology transforms cannabis and hemp biomass into high-purity distillate at an industrial scale. The company has been issued 19 United States patents, and over 100 patents globally, on cannabinoid processing, including extraction, distillation and acetylation. Nextleaf develops cannabinoid-based formulations and delivery technology through its Health Canada research licence with sensory evaluation of cannabis via human testing.

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