Novateqni Corporation Enters into Agreements FOR Purchase Order Financing and Factoring of Accounts Receivable

NOVATEQNI CORPORATION ENTERS INTO AGREEMENTS FOR PURCHASE ORDER

FINANCING AND FACTORING OF ACCOUNTS RECEIVABLE

FOR IMMEDIATE RELEASE

August 17, 2018 – Calgary, Alberta – NovaTeqni Corporation (" NovaTeqni" or the " Corporation")

(TSXV: NTQ) is pleased to announce that it has ente red into a Purchase Order Financing Agreement for

up to US$675,000 (" PO Financing Agreement ) and an Accounts Receivable Factoring Agreement for

up to $2,000,000 (" Factoring Agreement") with Pivot Financial Inc. (" Pivot"). Pivot is arm's length to

the Corporation and will serve as one of the Corporati on's financing partners for various projects. As

security for these financing arrangements the Corporation has granted Pivot a general security interest and

the CEO of the Corporation has pledged real estate property as collateral. The PO Financing Agreement

and the Factoring Agreement will provide the Corpora tion with funds for produc tion financing to fulfill

tenders and contracts and for genera l working capital as required. Factoring and PO financing costs in

terms of the facilities will be factored into projects as ‘financing cost’. The factoring fee pursuant to the

Factoring facility is set at 1.75% and cost for the PO Financing facility is set at 2.5%, both per month for

the first month and pro rata on a daily basis thereafter until re-payment from project proceeds.

Gerhard Mynhardt, CEO of Novateqni stated: "We are ve ry pleased to have been able to secure Pivot as a

financial partner. It will allow us to rapidly execu te awarded contracts in the future such as from the UN

with Pivot as a funding partner. This partnership al so enables NovaTeqni to aggresively compete for

business within our widely acknowledged area of expe rtise including our solar powered field and fixed

based solutions for the public and corporate sectors".

Kevin Westfall, President of Pivot Financial stated: “It has been a pleasure working with Novateqni to

quickly arrange the financing to meet their current and growing needs. We look forward to supporting

their aggressive plans for growth by providing fast a nd flexible financing to ensure they can meet their

customers needs on time, every time”.

For further information, please contact Gerhard Mynhardt, Chief Executive Officer of the Corporation, by

email at [email protected].

Reader Advisory

This press release contains forward-looking statements and forward-looking information within the meaning of

applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "objective",

"ongoing", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to

identify forward-looking information or statements. More particularly and without limitation, this news release

contains forward looking statements and information concerning the Corporation's business operations and the

proposed uses of funds from the financing arrangements. The forward-looking statements and information are

based on certain key expectations and assumptions made by the Corporation, including expectations and

assumptions concerning the business of the Corporation. Although the Corporation be lieves that the expectations

and assumptions on which such forward-looking statements and information are based are reasonable, undue

reliance should not be placed on the forward looking statements and information because the Corporation can give

no assurance that they will prove to be correct. By its nature, such forward-looking information is subject to

various risks and uncertainties, which could cause the actual results and expectations to differ materially from the

anticipated results or expectations expressed. Some of the risks and other factors that could cause the results to

differ materially from those expressed in the forward-looking information include, but are not limited to: the

Corporation's expectations and assumptions concerning the business of the Corporation, general economic

conditions in Canada and globally; industry conditions, including governmental regulation; failure to obtain

industry partner and other third party consents and approvals, if and when required; the availability of capital on

acceptable terms; the need to obtain required approv als from regulatory author ities; stock market volatility;

competition for, among other things, skilled personnel and supplies; changes in tax laws; and the other factors.

Readers are cautioned that this list of risk factors should not be construed as exhaustive.

Readers are cautioned not to place undue reliance on this forward-looking information, which is given as of the date

hereof, and to not use such forward-looking information for anything other than its intended purpose. The

Corporation undertakes no obligation to update publicly or revise any forward-looking information, whether as a

result of new information, future events or otherwise, except as required by applicable law.

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.