MPAC Industries Corporation
TSX VENTURE : MPN

MPAC Industries Corporation

September 17, 2007 13:49 ET

MPAC Industries Corporation: Corporate Update and Project Status at Soma Mine

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 17, 2007) - MPAC Industries Corp. (the "Company" or "MPAC") (TSX VENTURE:MPN) is pleased to advise its shareholders and the investment community of the following activities concerning the Soma coal mine (the "Coal Mine").

As previously reported, MPAC has taken possession of the property (the "Site") on the Coal Mine in late July of 2007 to establish there upon its intended coal refining process. The configuration of the Company's Coal Refining Plant (the "Plant") has been designed around the topography of the Site and further subtle refinements continue to be incorporated into this design to maximize the efficiency of the Plant circuit.

From the knowledge and information gained from its pilot plant in Tokat, in addition to the various test results obtained from prior contract crushing in Turkey, MPAC has concluded that, in order to closely control the input coal particle size, it would be best if the Company would itself handle this aspect of the raw coal preparation. To that end, the manufacturer of the coal crushing technology was selected and the equipment was ordered as previously advised in MPAC's July 30, 2007 News Release. The expected delivery date for this crushing equipment to the Site is slated for mid to late-October of 2007 - which is within the time-line forecast for commencement of anticipated production at the Coal Mine.

The foundations for the heavy equipment have already been designed and the construction of the same will commence on a timely basis to ensure their readiness in advance of the arrival of such equipment.

The previously identified sources for the electrical and water systems to the Site will be upgraded and extended as required in a timely manner. All of the other appropriate ancillary equipment for the Coal Mine (both newly manufactured and that moved from Tokat) is currently planned to be at the Coal Mine in late October of 2007.

Insofar as the Company's operation and administrative systems for Turkey are concerned, MPAC has now selected and / or engaged the key personnel for this purpose and the necessary administrative infrastructure and systems have also been designed / set-up to handle these aspects of the operation. The various tax and corporate concessions the Company had previously obtained for Tokat are in the process of being transferred to the Company's Soma operation: MPAC expects these to be in place before commencement of production at the Coal Mine.

According to the Company's Business Plan, full commercial production for Soma is expected to ramp-up from late November of 2007, attaining targeted minimum daily and monthly tonnages by the end of December of 2007 or soon thereafter.

Barring any unforeseen eventualities, the Company's start up phase and timelines advancing into commercial production continue to fit comfortably within the schedule set by MPAC.

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.

BY THE ORDER OF THE BOARD

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.

Contact Information

  • MPAC Industries Corporation
    J. Richard W. Hall
    Investor Relations
    (604) 644-2244
    Website: www.mpacindustries.com