ParcelPal Closes Private Placement

Vancouver, British Columbia--(Newsfile Corp. - January 15, 2018) - ParcelPal Technology Inc. (CSE: PKG) (FSE: PT0) (OTC Pink: PTNYF) ("ParcelPal" or the "Company"), announces that it has completed its non-brokered private placement, as announced on January 9th, 2017 (the "Private Placement"). Pursuant to the Private Placement, the Company has issued 12,105,111 units (the "Units") at a price of $0.135 per Unit for gross proceeds of $1,651,040. Each Unit will consist of one common share of Parcel Pal and one share purchase warrant (each "Warrant"), with each whole Warrant entitling the holder to purchase one additional common share of Parcel Pal at a price of $0.20 per share for a period of 24 months from the date of issue. In the event that the average closing price is equal to or greater than $0.30 per Share for a period of five consecutive trading days, the Company may accelerate the expiry date of the Warrants to a date that is thirty days after the notice of completion of such period.

In connection with the Private Placement, the Company paid cash commissions of $119,599.20 and issued 708,142 warrants to certain finders (the "Finders' Warrants"). The Finders' Warrants have the same terms as the Warrants. All securities issued in the Private Placement are subject to a statutory four month hold period.

President and CEO Kelly Abbott states, "Due to unprecedented demand and size restriction for the Private Placement, the Company wishes to apologize to any investors that were not accommodated. A high number of strategic investors were involved in this financing which bodes well for ParcelPal as we move forward with a number of value added initiatives that will be implemented in the near future."

The Company intends to use the proceeds of the Private Placement to execute expansion plans for the ParcelPal app and operations which includes marketing and investor relations, research and development for track and trace block chain technology and ongoing general and administrative expenses.

The Offering was priced in the context of the market based on a price reservation made by the Company with the CSE.

About ParcelPal Technology Inc.

ParcelPal is a technology driven logistics company that connects consumers to the goods they love. Customers can shop at partner businesses and through the ParcelPal technology receive their purchased goods within an hour. The Company offers on-demand delivery of merchandise from leading retailers, restaurants, medical marijuana dispensaries and liquor stores in Vancouver and soon in major cities Canada-wide.

ParcelPal Website: www.parcelpal.com

The Canadian Securities Exchange ("CSE") or any other securities regulatory authority has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release that has been prepared by management.

CSE — Symbol: PKG
FSE — Symbol: PT0
OTC — Symbol: PTNYF

Contact: Peter Hinam, Director, ParcelPal Technology Inc. — 604-710-8331

Forward Looking Information

This news release contains forward looking statements relating to the Proposed Transaction, and the future potential of ParcelPal. Forward looking statements are often identified by terms such as "will", "may", "should", "intends", "anticipates", "expects", "plans" and similar expressions. All statements other than statements of historical fact, included in this release are forward looking statements that involve risks and uncertainties. These risks and uncertainties include, without limitation, the risk that the Proposed Transaction will not be completed due to, among other things, failure to execute definitive documentation, failure to complete satisfactory due diligence, failure to receive the approval of the CSE and the risk that ParcelPal will not be successful due to, among other things, general risks relating to the mobile application industry, failure of ParcelPal to gain market acceptance and potential challenges to the intellectual property utilized in ParcelPal. There can be no assurance that any forward looking statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.

The Company cannot guarantee that any forward looking statement will materialize and the reader is cautioned not to place undue reliance on any forward looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward looking statements contained in this news release are expressly qualified by this cautionary statement. The forward looking statements contained in this news release are made as of the date of this news release and the Company will only update or revise publicly any of the included forward looking statements as expressly required by Canadian securities laws.