Ms. Emma Andrews reports

NEXTLEAF PROVIDES A STRATEGIC UPDATE ON COMMERCIAL PARTNERS PROGRAM

Nextleaf Solutions Ltd. has provided a strategic update on its commercial partners program.

"We are pleased to enhance our focus on our burgeoning commercial partners program. This reinvigoration is driven by improved stability in the supply chain, and our enhanced production and manufacturing capacity achieved through sustained internal investment," commented Chris Andrews, vice-president of commercialization.

Nextleaf's commercial partners program is built on a foundation of:

• Mutually beneficial agreements: Ensuring enhanced stability of each partner and the sustained health of the industry.
• Strategic alignment in vision or values: Building authentic and trustworthy relationships.
• Leveraging core capabilities: Complimenting each other's strengths, offering a distinct alternative to vertical integration.

Services offered by Nextleaf within the commercial partners program include:

• Rapid innovation and speed-to-market advantages under its Health Canada processing and sales licence;
• Contract manufacturing and white labelling;
• Toll-processing;
• Bulk ingredient sales.

"We view the competitive landscape more like a race than a battle. We're all working towards the same finish line, traversing the same terrain. We all can be successful relative to our abilities. This mindset reflects the competitive yet collaborative spirit that is the vision for our commercial partners program," shared Emma Andrews, interim chief executive officer.

Miracle Valley, a licensed producer based in Mission, B.C., has emerged as a flagship client, strengthening its partnership with Nextleaf through years of consistent collaboration.

In August, Nextleaf will launch Miracle Valley's Crafty Cuts preroll sampler and premium craft flower into the Ontario retail market under their processing and sales licence. Renowned globally as a top-tier exporter for international medical markets, this will be Miracle Valley's re-entry into the Canadian recreational market after focusing exclusively on exports since the end of 2022. Miracle Valley also supplies their craft flower, for use in Glacial Gold infused prerolls, available across Canada.

"We've been focused on a wide variety of unique, high-potency strains, grown at our facility in beautiful Mission, British Columbia. These limited, seasonal strains showcase our expertise in action. Working with Nextleaf to execute on our strategy has allowed us to benefit from their speed to market, and build on a long-standing mutually beneficial relationship," shared Scott Mayer, chief executive officer of Miracle Valley.

As Nextleaf has scaled up production, it has identified select activities that could transition to an off-site partner without compromising quality or compliance, allowing it to focus on core capabilities and improved space utilization.

About Nextleaf Solutions Ltd.

Nextleaf is an innovative cannabis processor and life science firm with a portfolio of federally regulated emerging consumer brands, market validated cannabis derivative products and high-potency bulk ingredients. Nextleaf's multipatented, highly automated, closed loop extraction and distillation technology sets the global standard for processing cannabis at scale.

With coast-to-coast distribution, Nextleaf brands are sold through both medical and recreational channels and includes acclaimed legacy-era brand Glacial Gold and High Plains Cannabis.

The company has been issued 19 United States patents and 75-plus patents globally, on cannabinoid processing including extraction, distillation and acetylation.

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