Lexaria Receives Notice of its First Patent to be Granted in Australia for Cannabinoid Infused Edibles Kelowna, BC /

Lexaria Receives Notice of its First Patent to

be Granted in Australia for Cannabinoid Infused Edibles

Kelowna, BC / February 27, 2017 / Lexaria Bioscience Corp.

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

has received a Notice of Acceptance from the Australian Patent Office that

Lexaria s Australian patent application 2015274698 has been accepted with a

patent issuance date expected in June, 2017. This establishes Lexaria s first

successful acceptance for patent issuance outside of the USA, in what the

Company expects will be a series of successful international patent awards.

The Notice of Acceptance covers Lexaria patent application

entitled Food and beverage compositions infused with lipophilic active agents

and methods of use thereof , which has been accepted with the same set of claims

previously issued in US Patent No 9,474,725 specific to non-psychoactive

Lexaria is very pleased with the rapid advancement of its

patent claims by the Australian Patent Office and notes Australia s recent

federal legislative success in opening the medical cannabis market. Like Canada,

the medical cannabis market in Australia is federally legal.

Lexaria s technology is needed not just in the US, but

throughout the global cannabis sector, which is why we have patent applications

in place in 42 countries around the world, said Chris Bunka, CEO. Our

international applications offer the safety of unparalleled diversification to

our supporters that even individual national market leaders cannot offer. The

accepted patent application includes a series of Lexaria s method claims for

combining non-psychoactive cannabinoid lipophilic active agents together with a

bioavailability and taste enhancing oil by way of dehydration or lyophilization,

and doing so in contact with a food product substrate material. Lexaria still

has a number of additional patent applications undergoing review by the USPTO

and patent application continuations planned in order to further broaden its

expected set of compositional and method patent claims regarding the technology

for application with other molecules such as psychoactive cannabinoids;

vitamins; NSAIDs; and Nicotine.

The Company continues to thank its many supporters who have

contributed to its intellectual property success.

Lexaria Bioscience Corp. is a food

biosciences company with a proprietary technology for improved delivery of

bioactive compounds. The Company s lipophilic enhancement technology has been

shown to enhance the bioavailability of orally ingested cannabinoids, while also

improving taste. This technology promotes healthy ingestion methods, lower

overall dosing and higher effectiveness in active molecule delivery. The

Company s technology is patent-protected for cannabidiol (CBD) and all other

non-psychoactive cannabinoids, and patent-pending for Tetrahydrocannabinol (THC), other psychoactive cannabinoids,

non-steroidal anti-inflammatory drugs (NSAIDs), nicotine and other molecules.

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 additional stock warrants or stock options will be

exercised. 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. There is no

assurance that the expected Australian patent granting will occur in June 2017

or at any point in the future and there is no assurance that any additional

patents will be granted in the USA or in any other global location. 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 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. 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 of Lexaria s postulated uses, benefits, or advantages

for the patented and 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). Lexaria Energy Foods and ViPovaTM products

are not intended to diagnose, treat, cure or prevent any disease.