MPAC Industries Corporation

MPAC Industries Corporation

March 26, 2007 09:52 ET

MPAC Industries Corporation: Closes Private Placement & Corporate Update

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 26, 2007) - MPAC Industries Corp. (the "Company" or "MPAC") (TSX VENTURE:MPN) is pleased to advise that it has closed the previously announced Non-Brokered Private Placement (News Release dated February 7, 2007) and the Company also wishes to provide the following update as to its activities in Turkey since the last News Release of March 5, 2007.

This Non-Brokered Private Placement has now closed and will result in the Company issuing 2,755,000 common shares (the "Shares") of MPAC at ten cents ($0.10) per share to thirteen (13) placees yielding gross proceeds of $275,500. The Shares are subject to a hold period of four months for all placees, expiring four months from the issue date, which is July 25, 2007. The Company has also paid finders fees of $5,000 on this Placement, according to the rules of the Exchange, by way of issuing 50,000 shares at $0.10 each.

With regards to the Coal Refining Plant (the "Plant") located at Tokat/Zile, the progress continues steadily but slowly. The weather conditions at the Plant have not been conducive to completing everything in accordance with the earlier time-line planned and anticipated by the Company.

Whilst Ankara is experiencing comparatively warm weather for this time of year, Tokat/Zile, situated some five hours East-North-East from Ankara, has either been below zero Celsius, experiencing snow, or rain. This has impeded the progress at the Plant site. However, the weather conditions in Tokat/Zile have been improving in the last few days, and with continued improvement, the Company expects to have everything set up for testing and the ramp-up production in the coming weeks.

Notwithstanding this delay, the Company has availed itself of this time by focusing on ways of expediting the ramp-up to full production once the testing has been successfully completed. MPAC has, in particular, been concentrating its attention on the critical Plant circuit equipment that may require resizing, adjustment, or possibly replication once the overall Plant performance has been observed during the testing phase.

This news release contains forward-looking statements, which are based on MPAC Industries' current internal expectations, estimates, projections, assumptions and beliefs, which may prove to be incorrect. The forward-looking statements are not guarantees of future performances and undue reliance should not be placed on them. Actual results may differ materially as a result of any number of factors and uncertainties, many of which factors are beyond the Company's control. MPAC Industries Corporation undertakes no obligation to revise any forward-looking statements except as required by applicable securities laws.


Firoz Lakhani, President & CEO

The TSX Venture Exchange neither approved nor disapproved the contents of this news release. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.

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