(TSX-V: MPE) Shares Issued: 55,931,980 Last Close: 1-10-2008 $0.79
CALGARY, Jan. 10 /CNW/ - Maple Leaf Reforestation ("Maple Leaf") is pleased to provide the following updates on its corporate activities:
Maple Leaf Anti-Desertification Foundation Fund (the "Fund")
Maple Leaf's President & CEO, Raymond Lai ("Mr. Lai") is very pleased to announce that the "Maple Leaf Anti-Desertification Foundation Fund" was officially announced at an opening ceremony in Beijing on December 23, 2007. The opening ceremony was well attended, with numerous high Chinese Government officials being present. The ceremony was broadcast across China, Maple Leaf was recognized on the front-page of a Chinese magazine that publishes 1,000,000 copies of each edition and a DVD of the ceremony was provided to Maple Leaf. The video of the ceremony will be posted on Maple Leaf's website in the near future.
Xinjiang Yellowhorn Trees Project (the "Project")
Mr. Lai is pleased to report that the Project agreement has been executed under the previously announced terms and is advancing ahead of schedule:
- An operation base has been set up in Xinjiang, and Maple Leaf has
commenced a land selection process, whereby they will choose the most
suitable land from the pool of the government offered land;
- Maple Leaf has purchased 80,000 Yellowhorn tree seedlings. The
seedlings have been planted in the greenhouses and will be ready for
transplanting in April 2008. Once these trees are producing
Yellowhorn fruit, Maple Leaf will be able to extract cooking oil from
the fruit. This cooking oil currently sells for $200 RMB
(approximately $1400 CAD) a kilogram;
- Following the Government of China's recommendation to use Yellowhorn
trees to combat desertification, the tree seedlings are now in short
supply. Maple Leaf is very pleased to announce that it has retained
the services of Professor Li, a scientist in the forestry field.
Mr. Li has invented a technique by which seedlings are obtained
through germinating root from the leaves and branches of the
Yellowhorn trees. This process produces approximately 8,000 seedlings
from each tree in a very short period of time and at a lower cost
than buying the seedling on the open market;
- Maple Leaf plans to plant 1 million Yellowhorn trees in 2008, which
will commence in April. At this time, an opening ceremony similar to
that held for the Fund will be carried out and broadcast across
China.
Inner-Mongolia Seedling Operations
Mr. Lai would like to report the following updates from Maple Leaf's Inner
Mongolia operations:
- Difficulties with the start-up of the greenhouse has led to the loss
of approximately 6 million seedlings;
- Fulfillment of three of Maple Leaf's previously announced agreements
will re-commence in the spring of 2008. These agreements have a total
value of $51,800,000 RMB (approximately $7,200,000 CAD);
- To date, Maple Leaf has shipped out 150,000 seedlings in connection
with the remaining three agreements;
- Maple Leaf is no longer under agreement to provide the seedling for
two of its previously announced agreements, namely, the
Sanya Zhonghai Fishing Co. Ltd. agreement, for 6,315,000 seedlings
and the Shaanxi Funong Alfalfa Feeds Co. Ltd. agreement, for
7,740,000 seedlings;
- Management is working diligently to secure new sales agreements.
Negotiations have been ongoing with several entities and Maple Leaf
is optimistic that finalizing these agreements will compensate for
the two agreements that it will no longer be fulfilling.
Frankfurt Exchange Dual-Listing
The application to the Frankfurt Stock Exchange ("FWB" -- Frankfurter Wertpapierb) in Germany is proceeding. Maple Leaf is in the process of seeking additional capital funding for the Project from various European-based investment banking institutions. Mr. Lai plans on meeting with various investment bankers and investor relations brokers in Frankfurt in the near future.
It is Maple Leaf's belief that the FWB is a well respected exchange in Europe. With approximately 7,000 listings, the FWB is one of the largest stock markets in the world and will provide more liquidity to Maple Leaf. Maple Leaf feels as though a listing on the FWB will be a major catalyst for increasing corporate visibility and helping to attract European institutional and individual investors.
Maple Leaf's primary mission is to provide top quality, value added nursery seedlings and modern Canadian tree growing technology to assist China in solving its desertification problems. Maple Leaf currently has over 6,000,000 various types of seedlings under cultivation in our 110,000 square foot greenhouse.
The TSX Venture Exchange does not accept responsibility
for the adequacy or accuracy of this release.
Certain statements in this news release including (i) statements that may contain words such as "anticipate", "could", "expect", "seek", "may" "intend", "will", "believe", "should", "project", "forecast", "plan" and similar expressions, including the negatives thereof, (ii) statements that are based on current expectations and estimates about the markets in which Maple Leaf operates and (iii) statements of belief, intentions and expectations about developments, results and events that will or may occur in the future, constitute "forward-looking statements" and are based on certain assumptions and analysis made by Maple Leaf. Forward-looking statements in this news release include, but are not limited to, statements with respect to future capital expenditures, including the amount, nature and timing thereof; other development trends within the China's seedling industry; business strategy; expansion and growth of Maple Leaf's business and operations and other such matters. Such forward-looking statements are subject to important risks and uncertainties, which are difficult to predict and that may affect Maple Leaf's operations, including, but are not limited to: the impact of general economic conditions; industry conditions; government and regulatory developments; seedling product supply and demand; competition; and Maple Leaf's ability to attract and retain qualified personnel. Maple Leaf's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do transpire or occur, what benefits Maple Leaf will derive therefrom. Subject to applicable law, Maple Leaf disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
All forward-looking statements contained in this document are expressly qualified by this cautionary statement. Further information about the factors affecting forward-looking statements is available in other disclosure documents of Maple Leaf which have been filed with Canadian provincial securities commissions and are available on www.sedar.com.