Mr. Dale McClanaghan reports

LOTUS UPDATE ON DELAY OF FILING AUDITED ANNUAL FINANCIALS

Lotus Ventures Inc. is anticipating filing the outstanding audited financial statements by Feb. 16, 2023.

Further to the company's news releases of Jan. 4 and Jan. 18, 2023, the company reminds the reader, Lotus was required to file the following on SEDAR by Dec. 29, 2022, in the normal course but was not able to:

1. Audited financial statements for the year ended Aug. 31, 2022, as required by part 4 of National Instrument 51-102;
2. Management discussion and analysis (MD&A) relating to the audited financial statements as required by part 5 of National Instrument 51-102;
3. CEO (chief executive officer) and CFO (chief financial officer) certificates related to the audited financial statements as required by National Instrument 52-109 -- Certification of Disclosure in the Issuers' Annual and Interim Filings.

Accordingly, the company applied to the British Columbia Securities Commission pursuant to National Policy 12-203 -- Cease Trade Orders for Continuous Disclosure Defaults for an order that the commission issue a management cease trade order until the required filings are made.

By way of update to the previous news release, the company reports that the company has worked through the reported identified issues and anticipates being able to file the audited financial statements by Feb. 16, 2023, and intends to satisfy the provisions of the alternative information guidelines so long as it remains default.

About Lotus Ventures Inc.

Lotus Ventures is a British Columbia-based licensed producer of premium cannabis. Lotus owns the premium-craft consumer brand Lotus Cannabis Co. which has had its cannabis flower sold by wholesale partners in all provinces to date. Lotus is an experienced cultivator on a mission to produce the cleanest and most consistent premium cannabis in Canada. With operations in the North Okanagan, B.C., the Lotus Cannabis team has launched popular cultivars like the Keylime Kush, Black Blossom, Tranquil Elephantizer and Kalifornia and currently has flower being sold in British Columbia, Alberta, Manitoba and Ontario through collaborative strain launches.

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