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eResearch

April 21, 2008 16:12 ET

eResearch Initiates Coverage on Homeland Energy Group Ltd.

TORONTO, ONTARIO--(Marketwire - April 21, 2008) - Homeland Energy Group Ltd. is a public company focused on the exploration and development of coal in southern Africa. The Company owns interests in three advanced development/pre-development stage coal projects in South Africa and a number of earlier-stage exploration properties. In addition, management has been negotiating to acquire interests in additional properties in South Africa and neighboring Swaziland and Botswana.

Homeland Energy Corporation was originally incorporated in 2004. In 2007, Homeland completed a spin-off of its uranium assets to a newly formed Canadian company, Homeland Uranium Inc. in which it holds a strategic 39% equity stake. Homeland Uranium owns 18 uranium exploration properties - 10 located in Utah and Colorado, and 8 exploration permits located in Niger, West Africa. Homeland Uranium has filed a prospectus and has applied to list its shares with the TSX Venture Exchange.

Homeland Energy is planning to become a mid-tier coal producer, producing both thermal and metallurgical coal. The Company is focused on generating and managing significant early-stage coal resource identification and development opportunities. Homeland Energy's operating strategy is to move its lead development properties into production as soon as possible and use the resulting cash flow to fund further coal exploration and development in southern Africa.

eResearch has initiated coverage of Homeland Energy Group Ltd. with a Speculative Buy rating and a 12-month Target Price of $2.15 per share.

This Press Release was prepared by eResearch and was not vetted by Homeland Energy Group Ltd. Further, the Recommendation and Target Price contained in this report are strictly those of eResearch and, due to securities laws, are not endorsed by Homeland Energy Group Ltd.

eResearch is Canada's primary source for independent, quality, investment research, focused primarily on small- and mid-cap companies. Our research and analysis is of institutional quality, and has the potential of reaching millions of global investors through our extensive electronic distribution network.

Homeland Energy Group Ltd. paid eResearch a fee of $20,000 + GST to conduct research on the Company, on an Annual Continuous Coverage basis.

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