Mr. Mark Aiken reports

CHRISTINA LAKE CANNABIS ANNOUNCES CREDIT FACILITY AND LEASE AGREEMENT

Christina Lake Cannabis Corp. has entered into a secured credit facility with an entity controlled by Mervin Boychuk, a director of the company (the lender). Under the facility (defined below), the lender has agreed to make available to the company a revolving line of credit of up to $1.5-million. The facility has a term of two years from the date of the agreement, bears interest at a rate of 15 per cent per annum on outstanding amounts and is repayable on demand by the lender with 30 days of notice by the lender to the company. Additionally, the company may repay the facility at any time prior to the end of the term without penalty. The facility is secured through a second mortgage on the company's property at 775 Highway 395, Christina Lake, British Columbia, and a general security agreement. The facility is not convertible into any other securities of the company.

The company has also entered into a equipment lease agreement with the lender for certain equipment. The lease agreement has a term of 18 months and has a monthly fee of $4,683.39 plus GST (goods and services tax). Following the end of the term of the lease agreement, the company has an option to purchase the equipment.

As Mr. Boychuk is a director of the company and therefore a related party of the company pursuant to Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions, the facility and the lease agreement constitute a related party transaction. The company is relying on the exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 pursuant to sections 5.5(a) and 5.7(1)(a), respectively, as neither the fair market value of the subject matter of nor the fair market value of the consideration for the facility or the lease agreement exceeds 25.0 per cent of the company's market capitalization.

About Christina Lake Cannabis Corp.

Christina Lake Cannabis is a licensed producer of cannabis under the Cannabis Act with a standard cultivation licence and corresponding processing amendment from Health Canada as well as a research and development licence. Christina Lake Cannabis's facilities consist of a 32-acre property, which includes over 950,000 square feet of outdoor grow space, offices, propagation and drying rooms, research facilities, and a facility dedicated to processing and extraction, and a 342-acre property that includes approximately 100 acres of licensed outdoor grow space, green houses and a dry room. Christina Lake Cannabis also owns a 99-acre plot of land adjoining its principal site. Christina Lake Cannabis focuses its production on creating high-quality outdoor flower, extracts and distillate for its B2B (business-to-business) client base.

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