Trading Symbol: VPI
VANCOUVER, Sept. 16 /CNW/ - Vitality Products Inc. (the "Company") continues to develop its line of nutraceutical products. The Company has received Natural Health Product Numbers ("NPNs") for 49 products, including 21 compendial NPNs and 28 transitional NPNs. The Company has Drug Identification Numbers for 60 products. This is an adequate number of approved products for the Company to proceed with its marketing program.
Further to the Company's Press Release dated April 3, 2008, the Company continues the process of selecting a suitable site for the location of the proposed plant in Whatcom County, Washington. The primary reason for the delay in the completion of the feasibility study is that the Company is waiting for confirmation from BP that the site desired is available for purchase. The Company remains in contact with BP but no definitive date has been set for when the Company may expect a response from BP. The Company is scheduled to meet with BP again before the middle of October. The Company needs to finalize a specific site selection before it can complete the feasibility study. If the feasibility is positive, financing will take three to six months assuming market conditions are favourable.
Many of the requirements to build the proposed plant at a Whatcom County site are satisfied. The Company has received confirmations of the availability of water, power, natural gas, rail and road transportation, and grain feed stock (corn). The Company has received interest in purchasing ethanol from the proposed plant and the US federal government's energy bill of 2007 will increase demand for ethanol in the US market in the long term. The Company has no executed binding agreements in place relating to the proposed plant with any of the entities that have provided confirmations, letters of intent or letters of interest for the purpose of assisting in the completion of the feasibility study.
The purposes of the feasibility study are to provide the Company with a definitive conclusion as to the economic viability of the proposed plant and to assist the Company in raising the necessary funds to build the proposed plant, to present to potential investors and lenders who will be able to rely upon this report in making an investment decision. This feasibility study will contain very detailed information about the proposed plant, including location, design, operation, timing of completion, budgets, permitting processes, marketing and projections and the like, as well as the risks involved in embarking on such an enterprise. Some of these risks include, but are not limited to, (1) financing; (2) the availability of feedstock, water, electrical power and natural gas; (3) access to rail, all weather roads and personnel; (4) permits; (5) changes to government regulations; (6) adverse sales; and (7) competition.
The Company confirms that should it in the future enter into a transaction or series of transactions which may redirect the Company's resources and change the nature of its business; such that they may constitute a "Change of Business" ("COB") under TSX Venture Exchange ("Exchange") Policy 5.2, trading in the Company's shares will be halted and the Company will thereafter issue a comprehensive news release in accordance with Policy 5.2. Trading will then remain halted until the completion of the COB unless the Exchange otherwise reinstates trading on compliance by the Company of the requirements of Policy 5.2. The Company will work closely with the Exchange, and by way of pre-filing consultation, should such a determination so arise.
The Company's web site at www.vitality.ca is scheduled to be revised in the fall of 2008. The web site will contain information about the Company, its products, its business activities and its investor relations activities.
Forward-Looking Information Statements: This release may contain forward-looking information based on management's expectations, estimates and projections. All statements that address expectations or projections about the future, including statements about the Company's strategy for growth, product development, market position, expected expenditures and financial results are forward-looking statements. These statements are not guarantees of future performance and involve a significant number of risks, uncertainties and assumptions.
On behalf of the Board of VITALITY PRODUCTS INC. "William N. Grant" (signed) ---------------------------------- William N. Grant, President & CEO The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
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