COMPANY REPORTS

Thank you for your interest in EH3. This is our first Report to shareholders. Our first year of operation saw development of several successful prototype products that use scientifically designed combinations of phytochemicals and plant extracts to address pain and inflammation.

Foremost, we created Neurivive, a formulation that calms an unwanted high caused by THC. We then sold this intellectual property (IP) to a company controlled by a former Director who will take this forward independently. We wish him and his group every success and stand ready to provide further assistance, should they need it. This transaction demonstrates our approach of developing and selling IP to create value for shareholders.

Our Business Model

The business model we are implementing creates value through targeted Research and Development (R&D) focussed on natural product-based innovations in health and wellness. Great inventions, when left on the shelf, help no-one.

Our success will be defined by three metrics, all of which must be present:

• Scientific: Each product or invention must work, safely and efficiently.
• Philanthropic: Each product or invention should help the maximum number of people possible.
• Economic: The Company must be able to cover its development costs, intellectual property protection expenses, and operating costs - and make a reasonable profit for its shareholders.

EH3 will achieve these goals through:

• In house intellectual property (IP) development, utilizing expert advisors and external facilities as needed.
• Working constructively with medical and lifestyle charities to provide maximum beneficial impact to the most people.
• Working together with Canada’s First Nations and their businesses to create novel nutraceutical solutions that include native medicinal plants and extracts to address specific health and wellness needs.
• Direct sale or licensing of developed nutraceutical and cosmeceutical IP to third parties
• Purchase of underdeveloped nutraceutical and cosmeceutical IP for enhancement, patent protection, supporting data generation, and spin-off technology. leading to increased value and resale.
• Patent protection, NPN and/or FDA certifications.
• Licensing of novel formulations to third parties, leading to direct revenues and long-term royalty payments.
• Prioritizing B2B relationships for sales, thereby utilizing existing national and international product distribution networks, rather than establishing its own.

Research and Products Development Strategy

Our multi-track strategy leverages:

• Modern analytical knowledge of the chemical compositions of natural substances, including distillates, oils and extracts
• Evidence from clinical trials and peer-reviewed research papers as to how these substances affect the human body
• An understanding of the root causes of inflammation, pain, and damage to the body, including major organs and the Blood Brain Barrier (BBB)
• Using inflammation and other biomarkers to track severity and confirm efficacy of treatment
• Where possible, use of therapeutic components which have Generally Recognized As Safe (GRAS) or other high safety certifications.

leading to:

• Better understanding of how and why traditional and ethnobotanical medicines work
• Robust science-based design of effective natural product-based solutions that help protect the body and provide safe, multimodal relief from common and uncommon ailments
• Replacement or reduced dosage of pharmaceuticals that are poorly tolerated, have toxicity issues at higher concentrations, or have unwanted side effects
• Removal of the costly and complicated pharmaceutical chain effect where a second pharmaceutical is prescribed to address side effects of the first, and then a third pharmaceutical is prescribed to alleviate side effects of the second, etc.

We anticipate an exciting second year as we seek to move our discoveries forward into practical healthcare and wellness products.

Adrian Wade, Ph.D.
CEO and Chief Scientist, EH3.