Pontus Updates on The Surrey Production Facility

VANCOUVER, B.C., March 31, 2021. Pontus Protein Ltd. (TSXV: HULK, FSE: 8YC) (“Pontus” or the “Company”), is pleased to announce that, further to its news releases dated February 24, 2021, and February 3, 2021, Pontus has secured and ordered the aquaponics equipment required for its production facility located in Surrey, British Columbia (the “Surrey Facility”). The equipment is on track to be delivered to meet Pontus’ construction schedule, allowing the start of production in Summer 2021. The Surrey Facility is expected to be capable of producing 6.4 metric tonnes of annualized product. This is a 6,800% increase in production over the annualized capacity of the Company’s previous Victoria test farm.

The equipment includes custom water beds to grow the water lentils, custom shelving, UV Filter, drum filter and LED lighting. Most of the equipment has been sourced from Canadian companies to aid ongoing maintenance. The drum filter and LED lighting have been ordered from market leading international firms. The LED lights were designed by Pontus and are low profile custom form factors using the newest Samsung diodes to give the perfect spectrum for water lentils. These diodes are also highly energy efficient.

Pontus signed the lease to secure the production facility in the City of Surrey, British Columbia effective November 14, 2020. Originally, the Company had been seeking a 10,000 sq ft. space in Delta, British Columbia, however the prospect of securing the prebuilt Surrey Facility presented itself as an opportunity to potentially shorten the development timeline and bring a facility into production by Summer 2021. The 20,570 sq ft. Surrey Facility will consist of production, warehouse, R&D, a test kitchen, production kitchen and office space.

Regarding the Tenant Improvement application, at the beginning of March, the City of Surrey’s planning department requested extra information on the sprinkler systems, which required Pontus’ mechanical engineers to redesign and submit back to the City of Surrey new stamped engineering drawings. In addition, Fraser Health required Pontus to change its design to include two extra handwashing sinks into the facility, in the water lentil processing area and commercial kitchen, due to new COVID guidelines. These have both been submitted. All of Pontus’ previously mentioned milestones are expected to be achieved regarding the building applications, equipment delivery and construction.

For more information on the developments at Pontus’ Surrey, British Columbia production facility, please see the Company’s news releases dated February 24, 2021 and February 3, 2021, filed on SEDAR.

About Pontus Protein Ltd.

Pontus Protein Ltd. is a Vancouver, B.C. based company that grows water lentil protein for commercial use. Pontus is reinventing agriculture with their proprietary Closed Environment Vertical Aquaponic System (CEVAS™) – the farming of the future. Pontus specializes in the indoor vertical farming of water lentils that use 95% less water than traditional agriculture and no pesticides or chemicals. Pontus is committed to solving the global food crisis by providing access to sustainable indoor biosecure pure plant based proteins. Pontus’ water lentils can be harvested every 24 hours, exceed organic certification, and can be grown in any climate in a relatively small area. Our water lentil protein is filled with antioxidants, minerals, vitamins and all the amino acids, making a complete protein food source. Pontus aims to revolutionize the plant-based sector as the entire sector is currently based on two main protein sources: soy and pea. Lentil protein is far superior to pea and soy protein. It contains over 40% protein vs. 5-36% protein*, and Pontus aims to be the base protein for plant based food products, leading to the movement transitioning the world from meat based to plant based proteins.

To learn more, please visit pontuswaterlentils.com.

*https://food-nutrition.canada.ca/cnf-fce/report-rapport.do

On behalf of the Board of Directors

“Connor Yuen”

Connor Yuen, CEO
Pontus Protein Ltd.

Contact Information

For more information, please contact:

Connor Yuen
Chief Executive Officer

For further information:

Investor Relations:

Edge Communications Group
[email protected]
(778) 999-4855

For media enquiries or interviews, please contact:

Victoria Bennett
[email protected]
(403) 589-7992

Forward-Looking Information

Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future, including but not limited to, the anticipated completion of the Surrey Facility and any anticipated production benefits therefrom including, but not limited to, production yields or outputs, and Pontus’ ability to revolutionize the plant based sector. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including risks related to factors beyond the control of the Company. These risks include, but are not limited to, the following: the unknown magnitude and duration of the effects of the COVID-19 pandemic, the failure of Pontus to receive the necessary approvals from the City of Surrey for its proposed leasehold improvements at its Surrey Facility or from the CFIA, the inability to complete the Surrey facility’s leasehold improvements, as well as other general business, economic, or market related risks beyond the director control of the Company and which may affect the Company’s business, operations, or products. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. The Company undertakes no obligation to update forward-looking information if circumstances or management’s estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking information.

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