Represents PharmaCielo's first shipment to South Africa, which has well-established export networks in the UK and Australia, and other potential markets, globally.

Toronto, Ontario and Rionegro, Colombia--(Newsfile Corp. - May 16, 2023) - PharmaCielo Ltd. (TSXV: PCLO) (OTCQX: PCLOF) ("PharmaCielo" or the "Company"), the Canadian parent of Colombia's premier cultivator and producer of dried flower and medicinal-grade cannabis extracts, PharmaCielo Colombia Holdings S.A.S. ("Holdings"), today announced that it has made an initial shipment of CBD Isolate to a specialty biotechnology company based in South Africa that specializes in offering GMP certified private label cannabinoid pharmaceutical products to customers in advanced medical cannabis markets globally, including the UK and Australia. PharmaCielo has shipped CBD Isolate as an API¹ to facilitate pre-commercial testing prior to inclusion in the customer's private label products.

Bill Petron, CEO of PharmaCielo, said, "This marks our first shipment to South Africa, our second market on the African continent. This customer has significant operations in South Africa and Europe, as well as multiple distribution hubs globally. We expect they will be an important growth partner, bringing an established supply chain that can rapidly scale the presence of our APIs across multiple global markets. PharmaCielo is steadily building its reputation as a premier global provider for high quality cannabinoid APIs at scale. With products at various stages of testing and sales in 11 countries, we expect the next twelve months to be a period of significant growth for the Company as our team continues to deliver against its robust pipeline of opportunities."

About PharmaCielo
PharmaCielo Ltd. (TSXV: PCLO) (OTCQX: PCLOF) is a global company, headquartered in Canada, with a focus on ethical and sustainable processing and supplying of all natural, pharmaceutical-grade medical cannabis products to large channel distributors. PharmaCielo's principal (and wholly owned) subsidiary is PharmaCielo Colombia Holdings S.A.S., headquartered at its cultivation and processing center located in Rionegro, Colombia.

The board of directors and executive team of PharmaCielo are comprised of a diversely talented group of international business executives and specialists with relevant and varied expertise. PharmaCielo recognized the significant role that Colombia's ideal location plays in building a sustainable business in the medical cannabis industry, and the Company, together with its directors and executives, is executing on a business plan focused on supplying the international marketplace.

For further information:

Ian Atacan, Director & Chief Financial Officer
+1 416-562-3220
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Media and Investor Inquires:
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Forward-Looking Statements

This news release contains forward-looking statements. Forward-looking statements can be identified by the use of words such as "expects", "is expected", "intends", "anticipates", "believes", or variations of such words and phrases or state that certain actions, events or results "may" or "will" be taken, occur or be completed or achieved.

Forward-looking statements can be affected by known and unknown risks, uncertainties and other factors, including changes to PharmaCielo's development plans, the failure to obtain and maintain all necessary regulatory approvals relating to the export of cannabinoid products and the import of these products into other countries, TSX Venture Exchange approval, the inability to export or distribute commercial products through sales channels as anticipated due to economic or operational circumstances, risks associated with operating in Colombia, fluctuation of the market price for the Company's products, risks associated with global economic instability relating to COVID-19 or other developments, risks related to retention of key Company personnel, currency exchange risk, competition in PharmaCielo's market and other risks discussed or referred to under the heading "Risk Factors" in PharmaCielo's Annual Information Form for the financial year ended December 31, 2019, which is available at www.sedar.com. Accordingly, readers should not place undue reliance on forward-looking statements. Except as required by law, PharmaCielo undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.