LONDON, Dec 04, 2008 /PRNewswire-FirstCall via COMTEX/ — VEGA PROMOTIONAL SYSTEMS, INC. (Pink Sheets: VGPR) today announced it has signed a Letter Of Intent to acquire 100% of Natural Fuels Industries in an all stock transaction.
Vega’s Business Plan states that the Company is a promotions and marketing company that is seeking complementary business opportunities that will allow it to increase its shareholder value. The Company’s business to date has involved promotion and marketing in the online gaming sector and staging land-based events such as the Poker Tour of the Americas (PTA). This acquisition will move the Company in a new direction involving the very popular and fast paced world of alternative energy.
Natural Fuels Industries is in the business of marketing, consulting and manufacturing various products including energy efficient pellet fuel made from organic waste bi-products using unique and innovative ideas combined with proven technology. Located in Calgary, Alberta, the Company’s current expansion includes building manufacturing plants in various international locations that will produce bio-mass products and bio-diesel products for power generation units. It is estimated that in the next five years the bio mass industry will become a $20 billion industry.
Bill Jacobson, CEO of Natural Fuels Industries stated, “It is our belief that the current demand for pellet fuel is approximately 20 million metric tons per year and increasing. Wholesale market value this year is estimated to be $90 per metric ton, which equates to more than $1.8 billion per year. In our view, there are simply not enough manufacturing plants to meet this demand. With our technology and expertise, we could potentially install 50 machines that will have the production capacity of between 4 and 5 tons per hour, per machine. If this were to occur, it could equate to approximately 1 million metric tons of product per year, creating revenue of approximately $90 million per year at a gross profit of 45%.”
Michael Herron, CEO of Vega stated, “This is a major move for our Company. We feel this new direction will bring increased shareholder value and allow the Company to grow and prosper in a very exciting and popular industry. Alternative energy will produce the necessary jobs to help economies around the world recover from recent downturns. What better way to help our planet than to create energy from organic waste?”
About Vega Promotional Systems, Inc.:
Vega Promotional Systems, Inc. is a promotions and marketing company that is seeking complementary business opportunities that will allow it to increase its shareholder value. The Company’s stock trades under the symbol VGPR on the Pink Sheets.
Certain statements in this release constitute forward-looking statements or statements which may be deemed or construed to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words “forecast,” “project,” “intend,” “expect” “should,” “would,” “believe,” and similar expressions and all statements, which are not historical facts, are intended to identify forward-looking statements. These forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors which could cause the Company’s actual results, performance (finance or operating) or achievements to differ from future results, performance (financing and operating) or achievements expressed or implied by such forward-looking statements.
For more information, contact: info@vegapromotions.com
SOURCE Vega Promotional Systems, Inc.
