Migao Corporation
TSX : MGO

Migao Corporation

January 20, 2010 10:17 ET

Migao Signs Contract to Distribute Potassium Sulphate From Russia's Rusal

TORONTO, ONTARIO--(Marketwire - Jan. 20, 2010) - Migao Corporation (TSX:MGO), a China-based leading specialty fertilizer producer, today announced an agreement with Russian-based Rusal to import and distribute agricultural-grade potassium sulphate produced from Rusal's alumina factory to China's agricultural market.

The one-year contract is for approximately 12,000 tonnes of agricultural grade potassium sulphate with an option to increase the volume if required. Migao will be distributing the potassium sulphate fertilizer for fruit and vegetable applications in China. 

The potassium sulphate is a by-product from Rusal's Achinsk Alumina Refinery in the Krasnoyarsk region of Russia. The first shipment is to be delivered to Migao in China this month.

"We are very pleased to have an agreement with Rusal, one of Russia's largest and trusted corporations," said Mr. Liu Guocai, Chief Executive Officer of Migao. "Rusal selected Migao to access the Chinese market because of our reputation as an established and respected leader in the Chinese fertilizer market. We expect this relationship to expand after the initial term concludes successfully."

About Rusal
United Company RUSAL (www.rusal.com) is the global leader in the aluminium industry, accounting for approximately 12% and 13% of global production of aluminium and alumina respectively. UC RUSAL employs more than 75,000 people in 19 countries, across 5 continents. UC RUSAL markets and sells its products primarily in the European, Japanese, Korean, South East Asian and North American markets.

About Migao
Since 2003, Migao Corporation, through its wholly owned subsidiaries, produces and distributes specialty potash fertilizer across China for China's agricultural market. Migao Corporation is subject to, and complies with strict government regulations that govern safety, quality and environmental protection. Please visit www.migaocorp.com for further information.

Caution Regarding Forward-Looking Statements
This news release may include forward-looking statements within the meaning of certain securities laws, including the "safe harbour" provisions of the Securities Act (Ontario) and other provincial securities laws in Canada. These forward-looking statements include, among others, statements with respect to our objectives and goals, and strategies to achieve those objectives and goals, as well as statements with respect to our beliefs, plans, objectives, expectations, anticipations, estimates and intentions. 

By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, which give rise to the possibility that predictions, forecasts, projections and other forward-looking statements will not be achieved. Certain material factors or assumptions are applied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. We caution readers not to place undue reliance on these statements as a number of important factors, many of which are beyond our control, could cause actual results to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates and intentions expressed in such forward-looking statements. These factors include, but are not limited to: risks related to raw materials; execution of the business plan; dependence on key personnel; key relationships; dependence on key customers; dependence on key suppliers; competition; market factors and volatility of commodity prices; environmental risks and hazards; operating risks; proprietary rights; infrastructure; future capital requirements; technical substitution; exchange rate fluctuation; insurance; foreign operations; weather conditions and natural disasters; control by management; seasonality; dividends; conflicts of interest; state ownership; government sector intervention; foreign investment; repatriation of profit and currency conversion; tax; shareholders' rights and enforcement of judgements; developing legal system; protection of intellectual property rights; permits and business licenses; appropriation; and availability of land. Should one or more of these factors materialize, or should our estimates or underlying assumptions prove incorrect, actual results, performance or achievements may vary materially from those described in forward-looking statements.

We caution that the foregoing list of important factors that may affect our future results is not exhaustive. When reviewing our forward-looking statements, readers should carefully consider the foregoing factors and other uncertainties and potential events. Additional information about factors that may cause actual results to differ materially from expectations, and about material factors or assumptions applied in making forward-looking statements, may be found under the "Risk Factors" sections in our Annual Information Form and annual MD&A and elsewhere in our filings with Canadian securities regulatory authorities. Except as required by Canadian securities laws, we do not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time by us or on our behalf; such statements speak only as of the date made. We cannot assure readers that actual results will be consistent with these forward-looking statements, and the differences may be material. The forward-looking statements included herein are expressly qualified in their entirety by this cautionary language.

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