Hempco Food and Fibre Inc. to Utilize Lexaria s Patented Technology Kelowna, BC /

Hempco Food and Fibre Inc. to Utilize Lexaria s

Kelowna, BC / November 29, 2016 / Lexaria Bioscience Corp.

(OTCQB:LXRP) (CSE:LXX) ( the Company or Lexaria ) is pleased to announce the

entry of a letter of intent (the LOI ) for the licensing of its proprietary

absorption and palatability enhancing technology to Hempco Food and Fiber Inc.

(TSXV: HEMP) ( Hempco ).

Under the auspices of the LOI, Hempco and Lexaria begin lab

tests and formulations this week to evaluate proprietary methods of applying

Lexaria s newly-patented technology for Hempco s needs and demands. Hempco s

already-excellent award winning food products may be enhanced with Lexaria s

patented technology.

The combination of Hempco s existing product innovations and

proprietary manufacturing methods combined with Lexaria s patented food

flavour-masking and nutrient delivery enhancement technology is hoped to create

manufacturing and technology synergies powerful enough to create a quality gap

that other hemp food providers and the world s leading brands in the sector will

find difficult to match, said Hempco CEO, Charles Holmes. In our efforts to

make the finest and most innovative and healthy hemp seed foods possible, the

Lexaria technology is a perfect fit for us, and an excellent addition to our

award winning PLANETHEMP brand retail line of products.

Hempco and the Holmes

family is a pioneer in hemp protein powders and an innovator in manufacturing

and global distribution of hemp based foods with wide applications. Hempco

recently launched its PlanetHemp brand of hemp seed nut, hemp seed oil, and hemp

seed protein powder snacks in Canada and the UK to approximately 800 stores in

North America as well as Europe and Asia.

Hempco is vertically integrated from field to consumer

products, and has rapidly growing international sales and distribution which

also offers additional opportunity for synergies with Lexaria s existing

hemp-oil based products.

I could not be happier than to engage in this LOI with

Hempco, said Chris Bunka, CEO of Lexaria Bioscience Corp. We immediately begin

product formulation testing and evaluation, and will work with all types of hemp

food products such as proteins, seeds, oils and derivatives thereof, as we

determine the most advantageous methods of embedding superior technology into

Hempco s product mix.

Financial terms of the LOI are not disclosed at this time

and are still under negotiation, but have already been narrowed down to

agreed-upon ranges. The LOI is expected to advance into a definitive agreement

within 90 days but there is no assurance of this. Further details regarding the

completion of the definitive agreement and formulation development and testing

will be announced as information becomes available. Readers are cautioned that

if a definitive agreement is completed with Hempco , much of Lexaria s financial

compensation is dependent upon the marketplace success of the Hempco products

enhanced with Lexaria s technology.

Lexaria Bioscience Corp. is a food

sciences company focused on the delivery of active compounds that can behave as

superfoods through its proprietary infusion technologies. Lexaria s technology

enables higher bioavailability rates for CBD; THC; NSAIDs; Nicotine and other

molecules than is possible without lipophilic enhancement technology. This can

allow for lower overall dosing requirements and/or higher effectiveness in

active molecule delivery. Lexaria hopes to reduce other common but less healthy

ingestion methods such as smoking as it embraces the benefits of public health.

Hempco and the Holmes family is a

trusted and respected pioneer, innovator and provider of premier hemp seed foods

for more than 15 years. Hempco is recognized as a company that cares and

guarantees that its customers, all over North America, Europe and Asia, are

provided the finest hemp seed foods possible. The Hempco mandate has grown to

whole crop utilization and is investigating hemp fiber and hemp CBD

nutraceuticals to create a tri-crop opportunity for farmers. Hempco has grown

its business significantly and is generating value and profits for shareholders.

FOR FURTHER INFORMATION PLEASE CONTACT:

FORWARD-LOOKING STATEMENTS

This release includes

forward-looking statements. Statements which are not historical facts are

forward-looking statements. The Company makes forward-looking public statements

concerning its expected future financial position, results of operations, cash

flows, financing plans, business strategy, products and services, competitive

positions, growth opportunities, plans and objectives of management for future

operations, including statements that include words such as "anticipate," "if,"

"believe," "plan," "estimate," "expect," "intend," "may," "could," "should,"

"will," and other similar expressions are forward-looking statements, including

but not limited to: that any license arrangements may be entered into with other

companies or partners, that the Company s technology will prove to be beneficial

to third parties or to generate revenue for the Company. Forward-looking

statements are estimates reflecting the Company's best judgment based upon

current information and involve a number of risks and uncertainties, and there

can be no assurance that other factors will not affect the accuracy of such

forward-looking statements. Access to capital, or lack thereof, is a major risk

and there is no assurance that the Company will be able to raise required

working capital. Factors which could cause actual results to differ materially

from those estimated by the Company include, but are not limited to, government

regulation, managing and maintaining growth, the effect of adverse publicity,

litigation, competition, the patent application and approval process and other

factors which may be identified from time to time in the Company's public

announcements and filings. There is no assurance that the participation in the

hemp oil sector or alternative health businesses will provide any benefit to

Lexaria, or that the Company will experience any growth through participation in

these sectors. There is no assurance that the new LOI entered will result in a

definitive license agreement nor that Lexaria will experience any benefit from

either the LOI or a potential definitive agreement. There is no assurance that

existing capital is sufficient for the Company's needs. There is no assurance

that any planned corporate activity, business venture, or initiative will be

pursued, or if pursued, will be successful. There is no assurance that any

patent application in the USA or any other nation or under any treaty will

result in the award of an actual patent; nor that an award of any actual patent

will protect against challenges from unknown third parties. There is no

assurance that any of Lexaria s postulated uses, benefits, or advantages for the

patent-pending technology will in fact be realized in any manner or in any part.