GLG Life Tech Corporation
CNQ : GLGT

GLG Life Tech Corporation

July 06, 2007 09:00 ET

GLG Signs Long Term Supply Agreement, Issues Warrants

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 6, 2007) - GLG Life Tech Corporation (CNQ:GLGT) announces that it has signed a five year supply agreement with Cargill, of Wayzata, MN, to provide high quality stevia extract to the company's specifications. The product must meet all Cargill's stringent quality and environmental health and safety standards. GLG has primary extract manufacturing capabilities and agricultural assets located throughout China where the majority of the world's current supply of stevia is grown. In May of 2007, Cargill announced its entry into the high intensity sweetener market with rebiana, a natural, zero calorie sweetener that is sourced from stevia. Like traditional stevia, rebiana comes from the leaves of the stevia plant. However, what makes rebiana different is that it only consists of the best-tasting components of the stevia leaf. Cargill is working to bring rebiana to consumers around the world as an ingredient in a variety of foods and beverages.

GLG will also issue to Cargill three share purchase warrants. The first warrant will allow Cargill to purchase common shares of GLG equal to 20% of GLG's total shares on a fully diluted basis before January 31, 2008 at an exercise price of $3.50 per share. The second warrant will allow Cargill to purchase common shares of GLG equal to 10% of GLG's total shares on a fully diluted basis between January 31, 2008 and March 31, 2009, and the final warrant will allow Cargill to purchase common shares of GLG equal to 5% of GLG's total shares on a fully diluted basis between January 31, 2009 and March 31, 2010. The exercise price under the latter two warrants will be equal to the average closing price of GLG's shares for the 10 trading days prior to the first day of each exercise period. The issuance of the share purchase warrants is subject to the approval of a majority of GLG's shareholders and its board of directors.

On Behalf of the Board of Directors

Brian A. Palmieri, CEO & Treasurer

About GLG Life Tech Corporation

GLG Life Tech Corporation ("GLGT") through its wholly owned subsidiary Qingdao Runde Biotechnology C. Ltd., ("Runde") is in the business of manufacturing and selling stevia. Runde has vertically integrated operations involving the development of patented seeds, planting, growing and harvesting the leaves of the stevia plant and extraction to finished product. Runde specializes in high grade RA stevia finished products. Stevia is used as a natural sweetener in some countries and as a dietary supplement in other countries. GLGT is also engaged in the distribution of various health and nutritional products in China through its exclusive distributor Shandong Yong He Tang Health Products Chain Stores Limited. The company is also the exclusive distributor in China for Weider Global Nutrition LLC products that are sold through gyms, spas and specialty stores and is involved in the development of health centres in conjunction with HZ International Health Management ("HZIHM") and Wellsource, Inc., a leader in the USA in preventative health care software and preventative health care programs. Wellsource, Inc. has also granted HZIHM and GLG Life Tech the exclusive right to use, resell and distribute the complete line of Wellsource preventative health care products in China, Hong Kong, Macau and Taiwan.

About Cargill

Cargill is an international provider of food, agricultural and risk management products and services. With 153,000 employees in 66 countries, the company is committed to using its knowledge and experience to collaborate with customers to help them succeed. For more information, visit http://www.cargill.com.

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