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Chemesis International Inc. Provides Update on Sale of Puerto Rico Operations

Corporate Updates

Chemesis International Inc. Provides Update on Sale of Puerto Rico Operations

December 11, 2020

Vancouver, BC – Chemesis International Inc. (the “Company”) (CSE: CSI) (OTC: CADMF) (FRA: CWAA)

On November 24, 2020, the Company announced that the Company’s former subsidiary, Natural Ventures PR,

LLC (“NVPR”), sold all of its cannabis assets, and assigned all related liabilities, licenses and permits, to Puerto

Rico Industrial Commercial Holdings Biotech Corp. (“PRICH”), in connection with which the Company received

an immediate cash payment of US$450,000, in respect of its 80% interest in NV PR (the “Transaction”). The

Company wishes to clarify that the full su m to be received by NVPR from PRICH is US$4,600,000 , with

substantially all of such amount, apart the US$450,000 received by the Company, allocated towards the

liabilities and accounts payable of NVPR, and potentially the remaining shareholder of NVPR (please see news

release date d November 24, 2020 in which the Company states that it is in the process of ceasing to be a

shareholder of NVPR). The Company also notes that the US$4,600,000 amount is comprised of the US$450,000

paid to the Company, an d the remaining amount is payable in 36 installments of US$112,500. The Company

notes that it is possible it may receive further amounts pursuant to the Transaction, but does not view this as

being likely, and that it will not be in a position to determine the matter until the completion of its next ordinary

course audit.

The Company also wishes to clarify that while GSRX has received US$2,250,000 from PRICH, $1,506,666.67 of

such amount is contingent on various closing procedures, comprised largely of asset transfers and assignments,

being completed. Therefore, such amount should not yet be considered to have closed upon by GSRX.

On Behalf of The Board of Directors

Josh Rosenberg

President

Investor Relations:

[email protected]

1 (604) 398-3378

Forward-Looking Information: This news release contains "forward -looking information" within the meaning of

applicable securities laws relating to statements regarding the reconciliation of the remaining balance of the

consideration received by NVPR from PRICH , whether the Company will receive any further amount pursuant to the

Transaction and whether the closing procedures in respect of the sale of assets held indirectly b y GSRX will be

completed. Although the Company believes that the expectations reflected in the forward -looking information are

reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to

place undue reliance on forward -looking information. Such forward -looking statements are subject to risks and

uncertainties that may cause actual results, performance and developments to differ materially from those

contemplated by these statements including, among ot her things, the risks that the Company will not receive any

further amount pursuant to the Transaction, the closing procedures in respect of the sale of assets held indirectly by

GSRX may not close and that the Company's products and plans will vary significantly as a result. Except as required

by law, the Company expressly disclaims any obligation and does not intend to update any forward -looking

statements or forward -looking information in this news release. Although the Company believes that the

expectations reflected in the forward -looking information are reasonable, there can be no assurance that such

expectations will prove to be correct and makes no reference to profitability based on sales reported. The statements

in this news release are made as of the date of this release.

The CSE has not reviewed, approved or disapproved the content of this press release