TORONTO, ONTARIO, Jan 14 (MARKET WIRE) --
For the benefit of its shareholders and other interested parties,
Outlook Resources Inc. ("Outlook" or the "Company") (TSX VENTURE: OLR) is
pleased to issue an update of its achievements during 2007 and its plan
for 2008. This update is not intended to be comprehensive, but rather to
simply touch upon selected items which management believes are most
reflective of the Company's progress in 2007 and to briefly discuss its
path going forward, so that all stakeholders might have a better
understanding of the company's activities to date and of its plans for
the future.
2007 Year in Review:
Arctic Char Grow-Out Farm Construction Completed:
On January 17, 2007 Outlook's subsidiary, Agassiz Aqua Farms announced
the signing of an agreement with the Ridgeland Hutterite Colony to
develop its first grow-out facility. The Ridgeland Colony completed
construction of the facility in July of 2007 with a holding capacity of
38,000 kilograms of Agassiz's antibiotic free Arctic Char. At full
capacity, the facility is expected to produce more than 50,000 kilograms
of Arctic Char annually. Outlook believes this facility is the first of a
series of similarly sized projects that will be developed in the province
of Manitoba as knowledge of the Company's first grow-out facility becomes
known locally.
Significant Debt Settlements Completed:
In February 2007, Outlook announced its plan to retire a significant
amount of debt from its Balance sheet through the issuance of treasury
shares. These transactions were approved by shareholders at a special
meeting held in March and were completed in April. The net result after
the completion of the transactions was a reduction of liabilities owed by
the Company totalling $1,066,818 dollars in exchange for $50,000 in cash
and the balance in shares priced at $0.05. These transactions served to
significantly reduce the outstanding liabilities of the Company and its
subsidiary Agassiz Aqua Farms.
Research & Development Undertaken:
In April 2007, Outlook entered into a research investment agreement with
Atlantic Bio Venture Centre at Nova Scotia Agricultural College ("NSAC")
to develop a unique technology platform for bio-fuel co-products and
plant-sourced protein aquaculture diets. The innovative research
initiative will utilize a combination of grain and oilseed sourced
proteins in combination with proprietary marine proteins and marine
palatant (flavouring) materials.
The agreement between the Company and NSAC will be in effect until 2010
and involves an overall research commitment of $1,150,000 (one million,
one hundred and fifty thousand dollars) between the Atlantic Innovation
Fund providing 70% of the required capital and the Company providing 30%
of the required capital.
With feed comprising an estimated 40% of aquaculture production costs,
the quest for high quality and reasonably priced proteins has become a
significant focus of this global industry, which currently consumes an
estimated 7-8 million tonnes of protein annually.
The need for new high protein sources as an alternative to the
traditional fish meals is being driven by the decline of wild fish stocks
and the cycling of toxic heavy metals through the feed chain. With a
protein efficiency ratio nearly on par with beef and milk proteins, grain
and oilseed proteins can be an ideal fit for this market need.
Renewable Energy Developments:
Outlook continued its on-going renewable energy development activities
with a view to expediting its entry into the Renewable Energy Market. In
May of 2007 Outlook entered agreements with technology providers and
engineering consulting firms that could provide the Company with the
technological expertise to develop Bio-Ethanol and Bio-Gas production
facilities.
The Company entered into representation agreements with KBK-Chem Ltd.,
and Lars Environmental Ltd., of India and hired a Business Development
Manager to represent their respective companies and technologies in
Canada. A general downturn in the Bio-fuel sector has delayed the
originally anticipated developments due in large part to rising grain and
construction costs and also as a result of the overall slowing of the
North American economy.
Significant Financing Achieved:
In July 2007, Outlook completed a brokered and a non-brokered financing,
totalling $1,200,000 Canadian dollars. These transactions provided much
needed working capital which then allowed the Company and its subsidiary
Agassiz Aqua Farms, to move forward with a number of initiatives that had
previously been held back by the lack of available capital. In addition
the financing allowed the Company to retire a significant amount of its
outstanding payables.
Company Owned Fish Farm Expansion Underway:
On completion of the financing in July the Company paid deposits to order
a number of specialty items related to water purification for its
existing aquaculture facility at Gunton, Manitoba. The equipment ordered
will augment the existing filtration equipment and will allow the Company
to increase stocking density at its aquaculture facility. At the same
time the new equipment will reduce the amount of well water the farm
currently uses. While the equipment has been on order the Company has
made numerous repairs to the facility's existing infrastructure. The
Company's initial plan to cover the existing outdoor raceways was delayed
due to the onset of winter and is scheduled to be started as soon as
spring thaw arrives.
Bio-Economy Park Developments:
In August 2007, Outlook's management team renewed its efforts to advance
the Company's Bio-Economy Park development strategy. Having had little
success in working with agricultural producer groups in Manitoba for a
variety of reasons the Company reviewed its original approach and
undertook a process of technology review and market analysis.
With crude oil prices approaching US$100 a barrel, the management team
began revisiting the concept of Waste-To-Energy production from Biomass
and Refuse-Derived-Fuel processes with which certain members of the
management team had prior experience.
In September 2007, Company management opened discussions with integrated
waste management companies, industrial processers, agricultural
processors and agricultural producers to secure the feedstock
(agricultural and industrial processing residues) required to supply a
Refuse-Derived-Fuel ("RDF") or Biomass-fuel plant, on commercially
competitive terms, for a minimum of ten years with renewal options for a
second ten year term. As of the date of this press release no agreements
have yet been finalized in this regard.
Organizational Development:
On November 29 2007, Outlook retained Meyers Norris Penny LLP ("MNP"), a
Western Canadian chartered accountancy and business advisory firm, as its
accountants. MNP has identified a bookkeeper to prepare the accounting
records for Outlook under the supervision of MNP and the financial
statements of the Company will be prepared by management, with assistance
from MNP commencing with the year end financial statements for November
30, 2007.
Looking Ahead to 2008:
With the momentum established in 2007, the management team feels the
Company is well positioned to address the Company's key 2008 business
plan milestones.
Corporate Finance:
Foremost among these 2008 milestones is the Company's requirement to
complete a private placement financing of $2 to $3 million to provide the
funds required for the completion of the existing aquaculture facility
expansion and for the envisioned construction and start-up of the
proposed RDF/Biomass-fuel plant. Progress has been steady, and efforts
are targeted towards completing this financing before the end of March,
2008.
RDF/Biomass Fuel Plant Construction:
Facilitated by the level of detail required to initiate the planned
financing, Outlook continues to move forward with detailed engineering
design and construction plans, to allow the Company to meet its target of
commencing construction of the plant in the spring and start-up of
operations in late Q3 2008.
The proposed state-of-the-art densification facility should begin
producing revenue immediately upon start-up, with growth through ramp-up
and into full scale operation in early 2009.
Personnel:
As Outlook advances on the two primary fronts of its 2008 plan, it will
also continue to augment the depth and breadth of its team by adding key
individuals in key areas, most particularly those related to construction
and operation of the planned Biomass-fuel facility.
Commercial Partnerships:
During the RDF/Biomass-fuel plant's construction period, Outlook intends
to continue working on additional commercial relationships with key
potential customers to secure forward sales of the Refuse-Derived-Fuel to
be produced at the proposed plant. In addition, Outlook will continue to
actively advance discussions with companies to supply agricultural waste
and industrial waste as feedstock for the RDF plant, in order to ensure
supply and demand logistics are balanced.
Research & Development:
Outlook has already contracted with third parties to continue on-going
research and development activities throughout 2008, 2009 and 2010. Key
initiatives will focus on the completion of all-vegetable protein and
marine palatant concentrate development for aquaculture feed inclusion.
The research team at NSAC is targeting to complete initial development of
these feed-grade products late in 2008, and to enter the regulatory
approval process in 2009. It is expected that these higher value, all
vegetable protein products, can represent a significant source of
economic upside in Outlook's overall business plan.
Organizational Development Planned for 2008:
In addition to filling the Company's current vacancy for a Chief
Financial Officer, Outlook intends to form a Science Advisory Board,
comprised of experienced, knowledgeable, and respected scientists and
engineers from various disciplines. The team members currently being
interviewed bring remarkable market and technical knowledge from their
respective fields including engineering and design for low temperature
protein extraction technology, diagnostic chemistry, large scale process
and product development, food science, health and nutrition, and
aquaculture nutrition and feed development.
The Science Advisory Board members currently being interviewed will
undoubtedly prove invaluable in terms of both technology and commercial
plant development milestones as the Company moves forward.
Conclusion:
"During this past year we have successfully established solid foundations
across the areas of technology, market development, infrastructure, and
personnel. From this foundation, 2008 could be Outlook's break-out year.
We intend to move prudently, but aggressively, to take full advantage of
the tremendous opportunities before us", said Mr. John Bottomley, Chief
Executive Officer of Outlook Resources. "Our timing for executing on a
value-added proposition for the agri-business industry is excellent and
we are well poised to move forward with our plans to construct not only
multiple aquaculture facilities, but also the envisioned RDF/Biomass-fuel
plant. Once the first RDF plant is completed we will be working towards
the development of additional facilities, potentially on a global basis,
with the goal of driving to become a world leader in the supply of land
based aquaculture raised products in addition to RDF/Biomass-fuel
production. We believe this is also the path to creation of tremendous
value for our shareholders."
About Outlook Resources Inc.
The global demand for affordable high quality food products produced in
an environmentally sustainable manner is growing at an unprecedented
rate, driven by a combination of both population growth and economic
growth.
At the same time, food supply constraints are increasing, due in part to
alternate uses of crops for bio-fuels and other industrial purposes,
while many crops have already reached their maximum yields. The result is
a frightening imbalance between over-demand and under-supply.
Outlook is currently involved in an R&D program to develop technology
which will allow for the extraction of higher value proteins and
ultimately nutraceutical grade active ingredients from these alternate
uses for food crops. In addition Outlook plans to produce a renewable
fuel product from biomass more commonly known as Refuse-Derived-Fuel or
Biomass-fuel.
This two pronged approach results in Outlook being particularly well
positioned to process a variety of industrial and agricultural processing
wastes or by-products in a manner that allows for the production of
higher value products to be used as a source of renewable, carbon neutral
fuel in addition to the production of higher value additives to the food
chain, in the form of higher value, vegetable based proteins.
Outlook's management team has worked diligently to develop these
solutions to some of the prominent global agricultural problems by
introducing value-added processes.
Outlook intends to grow the company through the construction and
operation of both RDF/Biomass-fuel densification plants and vegetable
protein extraction facilities in addition to the development of
environmentally conscientious, land based aquaculture facilities built
and operated in an environmentally sustainable manner.
To find out more about Outlook Resources (TSX VENTURE: OLR), please visit
our website at www.outlookresources.com.
The TSX Venture Exchange has not reviewed this press release and has
neither approved nor disapproved the information contained in this press
release. The statements made in this press release include
forward-looking statements that involve a number of risks and
uncertainties. These statements relate to future events or future
performance and reflect management's current expectations and
assumptions. A number of factors could cause actual events, performance
or results to differ materially from the events, performance and results
discussed in the forward-looking statements, such as the economy,
generally, the demand for Outlook's products, the availability of
funding, and the anticipated costs of Outlook's plant construction and
operation. These forward-looking statements are made as of the date
hereof and Outlook does not assume any obligation to update or revise
them to reflect new events or circumstances. Actual events or results
could differ materially from the expectations and projections.
TSX Venture Exchange
does not accept responsibility for the adequacy or accuracy of this
release.
Contacts:
Outlook Resources Inc.
John Bottomley
President & CEO
(204) 785-8410
Email: johnb@outlookresources.com
Outlook Resources Inc.
Jack McLennan
Investor Relations
(905) 983-9351
Email: info@outlookresources.com
Website: www.outlookresources.com
Copyright 2008, Market Wire, All rights reserved.
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