Lexaria Engages Consultants and Issues Options Kelowna, BC /

Lexaria Engages Consultants and Issues Options

Kelowna, BC / October 11, 2016 / Lexaria Bioscience Corp.

(OTCQB:LXRP) (CSE:LXX) (the Company or Lexaria ) has retained Mackie Research

Capital Corp. to provide market maintenance services for the company in

compliance with regulatory guidelines. Mackie will trade shares of Lexaria on

the Canadian Security Exchange for the purposes of maintaining a reasonable

market and improving the liquidity of Lexaria's shares.

The agreement is for an initial 3 1/2-month period and may be

terminated at any time by Lexaria or Mackie. There are no performance factors

contained in the agreement and Mackie will not receive any shares or options

from Lexaria as compensation for the services it will render. Lexaria and Mackie

are unrelated and unaffiliated entities, but Mackie may provide investment

banking services to Lexaria and Mackie and/or its clients may have an interest,

directly or indirectly, in the securities of Lexaria.

The Company has also engaged Boom Capital Markets Inc on a

short term contract to provide business advisory services including marketing

strategies and assistance in preparing presentation materials, dissemination of

information, and other business and capital advisory services.

The Company is issuing 250,000 stock options to Boom Capital

Markets with a strike price of US$0.14, valid for two years, and paying

compensation of CDN$5,000/month.

As per a consulting contract signed March, 2015, the Company is

issuing 252,000 restricted common shares and cash compensation of US$6,240 to a

private company controlled by the President of Lexaria.

As per a consulting contract entered in July 2016, the Company

has issued 750,000 warrants with an exercise price of US$0.14 and valid for five

years, to Profit Planners Inc, in return for consulting services provided in

August, September, and October 2016.

As per a contract entered in July 2016, the Company is

obligated to pay a US$4,000 monthly fee to a director. The Company and the

director have agreed to settle the outstanding amount of US$16,000 for the four

months to October 31 through the issuance of 114,286 restricted common

The securities issued will be subject to a hold period in

Canada of four months and one day, or for any resales into the USA under Rule

144, six months and one day. The Private Placement is subject to normal

regulatory approvals.

The securities referred to herein will not be or have not

been registered under the United States Securities Act of 1933, as amended, and

may not be offered or sold in the United States absent registration or an

applicable exemption from registration requirements.

About Mackie Research Capital Corporation

Mackie is one of Canada s largest independent full service

investment firms, and proudly traces its roots back to 1921. Mackie is privately

owned by many of its 300 employees. As a fully integrated national investment

dealer, Mackie offers a full complement of capital markets and wealth management services to private clients, institutions,

and growth companies. For further information, please contact Adam Smith at 416

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.

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. Such 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 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 or as a result of

the license agreement. There is no assurance that existing capital is sufficient

for the Company's needs or that it will be able to raise additional capital.

There is no assurance that Lexaria will successfully complete any other

contemplated or existing technology license agreements, nor that Lexaria s

technology will deliver any improvement in taste or bioavailability with any

reliability nor across any product category. 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 hemp oil or

cannabinoid-based product will promote, assist, or maintain any beneficial human

health conditions whatsoever, nor 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. No statement herein has been evaluated by

the Food and Drug Administration (FDA). ViPovaTM products are not

intended to diagnose, treat, cure or prevent any disease.

The CSE has not reviewed and does not accept responsibility

for the adequacy or accuracy of this release.