Mr. Rich Wheeless reports

PARCELPAL LOGISTICS PROVIDES UPDATE ON PROGRESS OF ANTMINER HOSTING SITE IN THE SOUTHERN UNITED STATES, CAPABLE OF UP TO 100 MW (MEGAWATTS), AND NOTE FROM THE CEO ON ITS REVERSE STOCK SPLIT

Parcelpal Logistics Inc. is continuing to make progress on securing a viable site in the southern United States to host the previously announced antmining machine business line. It is important to note that this site is the largest to date in terms of potential processing power, with up to 100 megawatts (MW) of power, capable of hosting up to 38,000 antmining machines. Parcelpal plans to enter into a letter of intent for this property in the next week, assuming it can secure acceptable financing terms on the equipment needs and delivery schedules from all other parties involved. Unlike prior sites under consideration, this site is a natural gas site, which would power the electricity needed to operate the antminer machines. To this end, the company has entered into negotiations with an on-site generator supply company and has sourced the site's equipment needs, each of which is contingent upon the final consummation of the other components of the deal, including signing the final equipment financing terms, as well as the payment terms to the company by the third party whose machinery the company would be hosting.

Based on initial projections, assuming the company generates the maximum 100 MW electricity and output capacity generation by the antminers, and assuming the anticipated hosting fee, Parcelpal can project gross revenue at this site to be approximately $3.4-million per month. The company estimates its net profit margins to be approximately 15 per cent to 20 per cent.

Rich Wheeless, chief executive officer, stated: "I am excited to work to secure this property as it has the potential to host the largest number of antminers on one site and to scale operations in the shortest amount of time (comparative to traditional warehouses and data centres, which have inherent electrical capacity limits in many cases). Additionally, the energy rates are more favourable than the other facilities the company has considered and conducted diligence on to date. We continue to work diligently to execute and consummate the proposed antminer hosting business line. While there are hurdles and material negotiations and contingencies involved with any site, which we cannot guarantee will be overcome, we are working very hard and remain focused on getting this business line launched and operational, with our first qualified property in the second fiscal quarter of 2024, as it presents a very good business expansion and revenue-generation opportunity."

Update from Mr. Wheeless, CEO, on details of the current stock roll-back

Mr. Wheeless, in addressing the company's shareholders, stated: "Importantly, we have completed a one for 10 reverse stock split, which was only executed after much consideration by our team internally. It was a difficult decision, but for us to move the company forward with the opportunities that are currently on the table, it was a necessary move for us to get Parcelpal in a more suitable situation for growth, capital needs and to be able to meet our minimum price per share exchange compliance requirements. This might be a moment of discontent or uncertainty for some of our shareholders, but shareholders should know that we are working exceedingly hard, and with a very limited budget, in what has been a very volatile and tight capital markets environment. With that, we take this step with an eye toward the future, and in an attempt to provide shareholders with the potential value that our business expansion and other efforts we believe will produce. We value our business and the shareholders enough to do the hard thing, even if it seems to be at the wrong time. We will continue to give our best effort in making sure the business commitments we are currently making will be the most beneficial moves for the company as a whole, for its shareholders, and the bottom-line revenue of the company. It's not easy to convey a message with the proper amount of totality to keep all parties involved, but we want to assure you that we continue to work hard to move this company forward on the right path, with absolute conviction and consideration to all involved.

"We look forward to providing additional material updates in the coming days and weeks, and appreciate the support from our shareholders."

About Parcelpal Logistics Inc.

Parcelpal is a Vancouver, B.C., company, with operations in the United States, that specializes in last-mile delivery service and logistics solutions. It is a customer-driven, courier and logistics company connecting people and businesses through its network of couriers. Some of Parcelpal's verticals include pharmacy and health, meal kit deliveries, retail, groceries, and more.

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