Psyched Wellness Enters Into a Service Agreement With CannaLabs to Begin Stability Tests on AME-1

Toronto, Ontario, July 26, 2021 – Psyched Wellness Ltd. (CSE:PSYC, OTCQB:PSYCF, FRANKFURT:5U9) (the “Company” or “Psyched”) a life sciences company focused on the

production and distribution of artisanal functional and psychedelic mushrooms, is pleased to announce the Company has entered into a service agreement with CannaLabs, a Canadian, London-based laboratory services company, licensed by Health Canada.

According to the agreement, Psyched Wellness will use the services of CannaLabs to perform stability tests on the Company’s AME-1. The stability tests will help the Company to determine the expiration dates and storage conditions for the final product - AME-1.

In addition, CannaLabs will develop for the Company a new testing method for the raw material to help the Company differentiate between other species and toxins, thus creating a safe and scientific protocol for acceptable raw material.

All intellectual property and/or operational tools that will be developed during the execution of this service agreement will be the sole property of Psyched Wellness.

“Having CannaLabs working closely on the production side of AME-1 further enhances the product quality and validity ensuring AME-1 is a safe and viable product for human consumption”, said Brian Tancowny Psyched Wellness's Head of Pre-Clinical Studies.

“We are thrilled to be working closely with Psyched Wellness and leading the analysis of AME-1,” said Liliana Santamaria, Director and Vice President of Lab Operations, CannaLabs.

“After many months of pre clinical trials and other scientific work that is still ongoing, we have great confidence in our AME-1,” said David Shisel COO of Psyched Wellness. “Commencing the stability tests on the AME-1 is a big step that gets us closer to market.”