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Vega Signs Large Torrefaction Agreement With Hong Kong Firm

^{Published on 2009-12-09 09:06:55 - Market Wire}
 

LONDON--(Marketwire - December 9, 2009) - VEGA PROMOTIONAL SYSTEMS, INC. (PINKSHEETS: [ VGPR ]) announced today it has entered into a Joint Venture Agreement to build multiple manufacturing plants throughout China to produce alternative energy using torrefaction technology.

Vega and its Joint Venture partner, Global Capital Market, LTD (GCM), located in Shenzhen City, China, plan to build up to 10 manufacturing plants throughout the country. The Joint Venture company will utilize special torrefaction technology to produce pellets from organic waste products that will then be sold to power generating companies.

GCM is providing the land for the manufacturing facilities, the factories, and the necessary biomass resources to produce 100,000 metric tons of torrefaction pellets annually in each plant, generating approximately $14 million in annual revenue, per location.

Michael K. Molen, Chairman of Vega, stated, "We have been working on this project for quite awhile and we are very proud to have an Agreement in place. We have a very strong partner in China and look forward to building multiple manufacturing facilities throughout the country. GCM and its partners will provide us with an unlimited supply of raw biomass that will be turned into torrefaction pellets. The demand for this product around the world is substantial. We believe that we are in the right place at the right time. This Agreement has the potential to change our Business Plan tenfold. Our plan is to have the first plant operational within the next few months. We'll have a lot more information about the size and scope of this project in the next couple of weeks."

In addition to China, Vega now has active projects under way in Western Indiana, South Georgia, and Brazil.

Forward Looking Statements:

Under the Private Securities Litigation Reform Act of 1995: The statements contained herein which are not historical are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements including, but not limited to, certain delays beyond the company's control, inability to successfully conclude negotiations currently in progress, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.