News
Organic Fertilizer Plant Update and Alfalfa Shipments
(TSX-V: MPE)Last Close: February 2, 2009 - $0.105
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Organic Fertilizer Plant
Maple Leaf Reforestation Inc (TSX-V-MPE) (the “Company” or “Maple Leaf”) is pleased to announce that it has finalized the registration of its foreign subsidiary, Hunan Changde Maple Leaf Fertilizer Co., Ltd., which will be responsible for operating the Company’s organic fertilizer plant located in Jin City, Wuhan City, China (the “Plant”). The Plant occupies a 21 acre (130 mu) building. The Plant consists of four sections, a fermenting workshop, a granulating workshop, a laboratory and a comparative testing base. The initial production capacity of the Plant will be 20,000 metric tonnes per year and the Plant has the potential to be upgraded to 100,000 metric tonnes per year. An opening ceremony was held for the Plant which was attended by Mr. Raymond Lai, President & CEO of Maple Leaf, by Mr. Kang Shaozhong, the Vice-Mayor and representative of Jin City and by various other Government officials from the Hunan Province. Mr. Shaozhong and the various environmental and agricultural departments in the area have been very supportive of the Plant. The Plant is scheduled to commence production in March 2009.
The fertilizer to be produced at the Plant is known as Fenghua organic fertilizer (“Fenghua”). Fenghua is a new type of environmentally friendly fertilizer which uses pig manure, chaff and sewage sludge as raw materials. It can make soil loose, prevent soil from consolidating, improve the nutrition quality of soil, increase soil fertility and increase crop yield.
Mr. Raymond Lai, President & CEO of Maple Leaf commented: “Maple Leaf is excited to be commencing its diversification into this aspect of the Chinese agricultrual industry. Maple Leaf hopes that the Plant will bring great environmental benefits to the area and its people.”
Alfalfa Shipments
Maple Leaf’s foreign subsidiary, Xinjiang Maple Leaf Forestry Sci-Tech Co., recently shipped out 374.32 metric tonnes of alfalfa at an average price of 2,250 Rmb ($397 Cdn) per tonne, for total revenue of 755,347 Rmb ($133,347 Cdn). The alfalfa was shipped in varying amounts to Hebei Kai Te Group Co., Ltd., Sichuan New Hope Group Co., Ltd. and Guangdong Wen’s Foodstuffs Group Co., Ltd.
About Maple Leaf Reforestation Inc.
Maple Leaf is a Canadian company operating a large-scale forest nursery whose primary focus is growing value- added tree seedlings and alfalfa feedstock alongside landscaping and nursery products in China. In addition, the multi-faceted Xinjiang Yellowhorn tree project will provide for the manufacture of biodiesel fuel. Reforestation has been identified as a critical strategy to help manage China’s troubling environmental issues, namely pollution and desertification. Maple Leaf currently has over 6 million varieties of seedlings under cultivation at its nursery facility that includes a 110,000-square foot greenhouse located in Liang Cheng, Inner Mongolia, China.
Maple Leaf is a wholly-owned foreign enterprise ("WOFE"), which allows Maple Leaf to control 100% of the direction and operations of the company in China while permitting the cash generated from operations in China to flow back to Canada.
For further information regarding Maple Leaf Reforestation Inc., visit www.mlreforestation.com or contact:
Maple Leaf Reforestation Inc.
Raymond Lai, Chairman, President & CEO
Tel: +1 (403) 668-7560 Fax: +1 (403) 250-2534
E-mail: rlai@mlreforestation.com
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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 there from. 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.