Ag Growth International Inc.
TSX : AFN

Ag Growth International Inc.

December 23, 2009 09:06 ET

Ag Growth International Announces Investment in One Earth Farms

WINNIPEG, MANITOBA--(Marketwire - Dec. 23, 2009) - Ag Growth International Inc. (AGI) (TSX:AFN) announced today that it has purchased two million common shares at $1.00 per share in the private company One Earth Farms Corp. ("One Earth Farms"), a subsidiary of Sprott Resource Corp. (TSX:SCP). 

One Earth Farms plans to become Canada's largest, most efficient operating farm through partnerships with First Nations.

A memorandum of understanding has been signed with One Earth Farms pursuant to which AGI will supply grain handling, storage and conditioning solutions to One Earth Farms projects. AGI is enthusiastic about this strategic partnership which is intended to create a mutually beneficial business relationship and increase profitability through preserving commodity value.

AGI shares a common vision with One Earth Farms and all its stakeholders for the positive outlook for agriculture in the years ahead. "We are impressed by the depth of One Earth Farms' management and business plan and are confident this joint venture will prove to be a prosperous one," explains Rob Stenson, CEO of AGI.

About Ag Growth International

Ag Growth International Inc. (AGI) is a leading manufacturer of portable and stationary grain handling, storage and conditioning equipment including augers, belt conveyors, bucket elevators, drag conveyors, grain storage bins and temporary storage systems, grain handling accessories and grain aeration equipment. AGI's sales, marketing and distribution system includes approximately 1,400 dealers and distributors in forty-eight states, nine provinces, and overseas.

About One Earth Farms

One Earth Farms intends to become Canada's largest, most efficient operating farm through partnerships with First Nations and other key agricultural companies. The company's strong capitalization, professional management and access to large tracts of world-class farmland position it well to achieve higher rates of profitability than smaller farms, while benefiting from global trends impacting food supplies and driving international farming investment demand. To further strengthen its relationship with First Nations, One Earth Farms plans to initiate job training programs to help teach sustainable farming practices to future generations of First Nations persons. 

About Sprott Resource Corp.

SRC is a Canadian based company, the primary purpose of which is to invest, directly and indirectly, in natural resources. Through acquisitions, joint ventures and other investments, SRC seeks to provide its shareholders with exposure to the natural resource sector for the purposes of capital appreciation and real wealth preservation. SRC is well positioned to draw upon the considerable experience and expertise of both its Board of Directors and Sprott Consulting Limited Partnership ("SCLP'"), of which Sprott Inc. is the sole limited partner. Pursuant to a management services agreement between SCLP and SRC, SCLP provides day-to-day business management for SRC as well as other management and administrative services. For more information, please visit www.sprottresource.com.

Forward-Looking Statements

This press release contains forward-looking statements that reflect our expectations regarding the performance, business prospects, and opportunities of the Company. Forward-looking statements may contain such words as "anticipate", "believe", "continue", "could", "expects", "intend", "plans", "will" or similar expressions suggesting future conditions or events. In particular, the forward looking statements in this press release include statements relating to the benefits of our investment in and strategic relationship with One Earth Farms. Such forward-looking statements reflect our current beliefs and are based on information currently available to us, including certain key expectations and assumptions concerning anticipated financial performance, business prospects and strategies. Forward-looking statements involve significant risks and uncertainties. A number of factors could cause actual results to differ materially from results discussed in the forward-looking statements, including changes in international, national and local business conditions, crop yields, crop conditions, seasonality, industry cyclicality, volatility of production costs, commodity prices, foreign exchange rates, and competition. In addition, actual results may be materially impacted by the current economic downturn, including the cost and availability of capital and the possibility of deterioration in the Company's working capital position. These risks and uncertainties are described under "Risks and Uncertainties" in our MD&A for the year ended December 31, 2008 and in our Annual Information Form. Although the forward-looking statements contained in this press release are based on what we believe to be reasonable assumptions, we cannot assure readers that actual results will be consistent with these forward-looking statements and we undertake no obligation to update such statements except as expressly required by law.

Contact Information

  • Ag Growth International Inc.
    Steve Sommerfeld
    Investor Relations
    (204) 489-1855
    steve@aggrowth.com