Carbon Green Inc.
OTC Bulletin Board : CGNI

Carbon Green Inc.

January 19, 2010 09:00 ET

Carbon Green Inc. Completes Acquisition of Greenwood Commerce Ltd.

BRATISLAVA, SLOVAK REPUBLIC--(Marketwire - Jan. 19, 2010) - Carbon Green Inc. ( (the "Company" or "Carbon Green") (OTCBB:CGNI) is pleased to announce the completion of the acquisition of all of the shares of Greenwood Commerce Ltd. ("Greenwood") from CBp Carbon Industries, Inc. ("CBp Carbon"). The transaction closed on January 15, 2010 pursuant to the terms of a share purchase agreement dated November 30, 2009 (the "Agreement") among Carbon Green, CBp Carbon and Greenwood.

Carbon Green acquired all of the issued and outstanding common shares of Greenwood from CBp Carbon in exchange for the issuance by Carbon Green to CBp Carbon of 33,346,262 shares of Carbon Green's common stock and 1,056,041 share purchase warrants, with 868,541 of the warrants entitling the holder thereof to purchase one share of Carbon Green common stock at an exercise price of $2.50 per share and 187,500 of the warrants entitling the holder thereof to purchase one share of Carbon Green common stock at an exercise price of $2.00 per share, all until January 15, 2013.

In connection with the closing of the Agreement, the Company accepted the resignation of J. David Brow as President of the Company, and has appointed John T. Novak as President and Ken Lee as Secretary. In addition, on January 13, 2010, the Company mailed to each of its shareholders and filed with the United States Securities and Exchange Commission (the "SEC"), an Information Statement with respect to the proposed appointment of John Novak, Ken Lee, Adi Muljo and Peter Jensen to the Company's board of directors and the resignation of J. David Brow as director. These resignations and appointments are expected to take effect as of January 23, 2010.

Mr. Novak is the co-founder of CBp Carbon and served as its chief executive officer, managing director and president until December, 2009, during which he was responsible for all strategic matters including corporate direction, financial management and governmental relations. He has over 22 years of experience as an entrepreneur and businessman. From 2004 until 2006, Mr. Novak served as the President of the Slovak-Canadian Chamber of Commerce regularly interacting with high level government officials and businessmen in the promotion of new business initiatives.

Mr. Lee was an owner of and chartered accountant with Jung & Lee, Chartered Accountants from November, 1980 to May, 2009. From May, 2009 to the present, he has been the owner of and a chartered accountant with Ken Lee & Company, Chartered Accountants. Mr. Lee has been a director of CBp Carbon since 2006. He earned a Bachelor of Commerce (Accounting) from the University of British Columbia in 1973 and received his chartered accountant designation in 1975.

Mr. John Novak, newly appointed President of Carbon Green Inc. states, "Over 10 billion tires are stockpiled around the world and this number is growing at an alarming rate. The disposal and management of these tires has become a crisis of global proportion. Through the acquisition of Greenwood and its state of the art commercial production plant, Carbon Green has acquired a technology that will dramatically change how tires are recycled and positions Carbon Green as a leader in the clean tech recycling industry." Mr. Novak went on to say, "Carbon Green is the first company that 100% recycles waste tires into commercially viable commodities that can be used in manufacturing new tires and it does so cheaper than the virgin producers supplying tire manufacturers. It is also the only company approved by the European Union Cooperative Research Recycle Tire (CART) project as the 'best available technology' for meeting CART's recycling objectives. Furthermore, it is the first tire recycling company to be financially viable without government subsidies. All of these firsts combined with a strong balance sheet position Carbon Green for long-term growth and profitability."

Complete details of the transaction will be filed in a current report on Form 8-K with the SEC later this week.

The securities of the Company issued to CBp Carbon have not been registered under the Securities Act of 1933, as amended (the "Act"), or under the securities laws of any state in the United States, and were issued in reliance upon an exemption from registration under the Act. The securities may not be offered or sold in the United States absent registration under the Act or an applicable exemption from such registration requirements.

About Carbon Green

As a result of the acquisition of Greenwood, Carbon Green holds the worldwide exclusive ownership rights to, among other things, a protected proprietary technology that converts the by-products of tire pyrolysis (heating in the absence of oxygen) into: (i) recovered steel; (ii) a #2 diesel equivalent oil which can also be employed to generate green electricity in many countries; (iii) a patented nano-particle compound known as Carbon Green(TM) that is a tire industry-tested and accepted competitive substitute for commercial carbon black; and (iv) a clean-burning gas that can be used to provide power to the Company's processing plant. In 2005, the technology was recognized by the European Union as the only tire recycling technology which met the goals of EU legislation. The Company has recently completed construction in Cyprus of its first commercial scale plant, a state-of-the-art commercial tire pyrolysis plant. Operations have commenced and the plant is currently in pre-production hot tests with production of commercial products. The plant is slated to enter continuous commercial operations in the first quarter of 2010. Estimated processing capacity from this plant is 8,000 tonnes of waste tires per year. For more information please visit our website at

On behalf of the Board of Directors,


John T. Novak, President and CEO

Notice Regarding Forward Looking Statements

This press release contains projections and forward-looking statements, as that term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements in this press release, which are not purely historical, are forward-looking statements and can include, without limitation, statements based on current expectations involving a number of risks and uncertainties and which are not guarantees of future performance of the Company. There are numerous risks and uncertainties that could cause actual results and the Company's plans and objectives to differ materially from those expressed in the forward-looking information including adverse market conditions and the inability of the tire pyrolysis plant to commence commercial production... Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Although the Company believes that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance those beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in the Company's annual report on Form 10-K, its quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission.

Contact Information