Xylitol Canada Announces Grant of Stock Options

Xylitol Canada Inc. ("Xylitol Canada", or the "Company") (TSX VENTURE:XYL)
announces today that pursuant to the terms of its stock option plan, the Company
has granted an aggregate of 675,000 stock options to its directors, officers,
employees and consultants. Each option entitles the holder thereof to purchase
one common share of the Company at an exercise price of $0.30. The options are
exercisable for a period of 5 years, subject to vesting restrictions over a
period of nine (9) months.


About Xylitol Canada Inc.

Xylitol Canada markets xylitol and xylitol based products and is focused on
becoming a major low-cost manufacturer of xylitol and related products, serving
the global market from operations in North America.


Xylitol Canada's business strategy is to leverage novel proprietary technology
and processes to become North America's premier manufacturer of low cost, high
quality xylitol from readily available environmentally-sustainable biomass.
Xylitol is an all-natural sweetener which is marketed globally, including Canada
and the United States, and is accepted by the American Food and Drug
Administration, the World Health Organization and the American Dental
Association. Xylitol contains 75% less carbohydrates and 40% fewer calories than
sugar, has a myriad of oral health benefits, including the prevention of tooth
decay, and is safe for diabetics. To date, wider spread use of xylitol has been
limited due to the lack of a reliable, low cost, high quality supplier.


Neither TSX Venture Exchange Inc. nor its Regulation Services Provider (as that
term is define din the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Xylitol Canada Inc.
Andrew Reid
President and CEO
[phone]
[e-mail]