Business
Maple Leaf Announces Agreement with the Government of Liangcheng County Inner Mongolia, China
(TSX-V: MPE) Last Close: August 18 2008 - $0.22 Shares Issued: 56,482,327
About this update from Maple Leaf Green World, Inc.
[{"type":"text","content":"\n\n\n\n(TSX-V: MPE)\nLast Close: August 18 2008 - $0.22\nShares Issued: 56,482,327\n\n\nCALGARY, Aug. 19 /CNW/ - Raymond Lai, President and CEO of Maple Leaf\nReforestation Inc. (TSX-V: MPE) ("Maple Leaf" or the "Company") is pleased to\nannounce that an agreement has been reached with the Government of Liangcheng\nCounty of Inner Mongolia, China (the "County") to set up a program to promote\nits seedling sales to various counties in Inner Mongolia, as follows:\n\n\n1. Initially, an Exhibition will be hosted at MPE's Inner Mongolia\n greenhouse from August 25th to September 1st, 2008 (the\n "Exhibition"). The Exhibition will be attended by forestry officials\n from Counties in the region to introduce them to MPE's Canadian tree\n growing technology and the various types of Canadian tree species\n available to them;\n\n2. The County will purchase all of MPE's current stock of Chinese Pine,\n Scotts Pine and Jack Pine seedlings immediately after the Exhibition,\n totaling between 350,000 to 500,000 seedlings, valued at\n approximately $350,000RMB to $500,000RMB (CDN$53,000 to CDN$76,000);\n\n3. The County will also enter a formal agreement with MPE following the\n Exhibition to purchase at least 50% of the greenhouse capacity\n commencing in 2009 (the "Purchase Agreement"). This will consist of a\n variety of seedlings as specified by the County. This represents\n sales of about 12 million seedlings a year, valued at approximately\n $12 million RMB (CDN$1.8 million). The formal details and duration of\n the Purchase Agreement will be finalized upon the completion of the\n Exhibition.\n\n\nMr. Raymond Lai, President and CEO of Maple Leaf Reforestation Inc.\nstated:\n\n\n"We are very excited about this firm commitment and support from the\nGovernment of Liangcheng County. We are hopeful and optimistic that this may\nlead to more purchase contacts with Chinese Government sectors. The Purchase\nAgreement combined with the Cixi contract (see the news release dated July 25,\n2008) means that the greenhouse capacity is fully committed for the 2009\ngrowing cycles, representing revenue of about CDN $4 million to MPE. Along\nwith this major development, the Xinjiang Yellowhorn Tree Project and MPE's\nAlfalfa Project are all on track. As a result, the Company's management is\nlooking a...