Aleafia Completes 60,000 kg Outdoor Grow Site Build-Out, Releases Set of Grow Site Photos

26-acre site now plant-ready complete with security enclosure

Company submitting final evidence package to Health Canada

Photos of the Outdoor Grow Site Available Below

TORONTO, ON, April 30, 2019 – Aleafia Health Inc. (TSX: ALEF) (OTCQX: ALEAF) (FRA: ARAH) (“Aleafia Health” or the “Company”) has brought its planned outdoor grow (the “Outdoor Grow”) expansion to a plant-ready state with all security measures including fencing and cameras now in place. The Outdoor Grow expansion is at the same location as the Company’s licensed and operational Port Perry Indoor Grow facility.

Security fencing and cameras up at Port Perry Outdoor Grow.

Aerial footage of the Aleafia Health Outdoor Grow. The Cultivation site area extends to the left of the frame.

All security measures at the site are now ready and the final evidence package is being submitted to Health Canada.

The Outdoor Grow site is at the same property as the Port Perry Indoor Grow facility.

The Company anticipates submitting its final evidence package to Health Canada in connection with its now active Health Canada Licence Amendment application this week. The final submission includes detailed submissions evidencing the implementation of all measures required by Health prior to the awarding of a Licence Amendment. Subject to the receipt of a Health Canada approval, the Company anticipates that it’s Outdoor Grow will produce approximately 60,000 kg annually of dried flower, with a full growing season, at a cost per gram significantly lower than traditional greenhouse or indoor growing.

Following the anticipated expansion of the three Aleafia Health production facilities, together with confirmed supply agreements, the Company expects to reach an annual production capacity of 138,000 kg of dried flower, and extraction capacity of 50,000 kg.

Aleafia Campus Processing and extraction with the Phase II Paris facility expansion adding 50,000 kg of planned annual extraction capacity
Aleafia Campus Indoor cultivation at its licensed and operational Paris, ON and Port Perry, ON facilities
Aleafia Campus Greenhouse cultivation at its plant-ready 160,000 sq. ft. Niagara, ON facility
Aleafia Campus Outdoor cultivation at its Port Perry 26-acre low-cost outdoor grow
Aphria Supply: Five-year, 175,000 kg supply agreement with Aphria Inc. at preferred wholesale pricing
Tilray Supply: Three-year, 9,000 kg supply agreement with Natura Naturals Holdings Inc., a wholly-owned subsidiary of Tilray, Inc.

“It’s exciting to see first-hand the result of months of planning followed by an intensive few weeks of construction, all culminating in the completion of Aleafia Health’s 26-acre outdoor cultivation site. Our team has done outstanding work to make this happen,” said Aleafia Health Chairman Julian Fantino. “Successful outdoor growing at scale will position the Companies’ with first-mover advantage as low-cost production leaders. Secondly, we will be making a significant contribution to ensuring medical cannabis patients have the medicine they need, when they need it.”

For Investor and Media Relations, please contact:

Nicholas Bergamini, VP, Public Affairs

416-860-5665

IR@AleafiaHealth.com

LEARN MORE: www.AleafiaHealth.com

About Aleafia Health:

Aleafia Health is a leading, vertically integrated cannabis health and wellness company with four primary business units: Cannabis Cultivation & Products, Health & Wellness Clinics, Cannabis Education, and Consumer Experience with ecommerce, retail distribution and provincial supply agreements.

Aleafia Health owns three major cannabis product & cultivation facilities, two of which are licensed and operational. The Company produces a diverse portfolio of commercially proven, high-margin derivative products including oils, capsules and sprays. Aleafia Health operates the largest national network of medical cannabis clinics and education centres staffed by MDs, nurse practitioners and educators.

Aleafia Health maintains a medical cannabis dataset with over 10 million data points to inform proprietary illness specific product development and treatment best practices. The Company is committed to creating sustainable shareholder value and has been named the 2019 top performing company of the year by the TSX Venture Exchange.

Source: Aleafia Health Inc.

Original press release