Bio-Extraction Inc.

Bio-Extraction Inc.
Viterra Inc.

Viterra Inc.

May 14, 2008 07:04 ET

Viterra and BioExx Execute Long-Term Supply Agreement

REGINA, SASKATCHEWAN and TORONTO, ONTARIO--(Marketwire - May 14, 2008) - Viterra Inc. (TSX:VT) ("Viterra") and Bio-Extraction Inc. (TSX VENTURE:BXI) ("BioExx") are pleased to announce that they have entered into a long-term Canola Supply Agreement under which Viterra will supply canola seed to the BioExx Saskatoon extraction facility.

"We are very pleased to have concluded this Agreement, and established both a firm and secure source of supply for the plant, as well as a great long-term business partner in Viterra," said Chris Carl, BioExx Chief Executive Officer. "This agreement represents another in a continuing series of successful and important steps towards start-up of the Saskatoon plant in January 2009, and moreover to the realization of our plan to become a leading producer of specialized, high value products from oilseeds such as canola."

The Agreement is effective immediately, with a term of ten years, including two automatic renewals of two years each from the date the BioExx facility reaches full capacity, and provides for the annual supply of the required 40,000 metric tonnes of canola feedstock at commercially competitive rates. Viterra will be the exclusive canola supplier to the facility and will have a right of first offer to supply future BioExx facilities.

Viterra is Canada's largest handler of grains and oilseeds, with over 40% market share, about 100 elevators (including one eight kilometers from the BioExx Saskatoon facility) and approximately two million metric tonnes of storage capacity. Viterra also operates 275 agri-products retail outlets across Western Canada.

"Participating in innovative and high value-added seed processing opportunities is an important component of our business strategy, and fits well with our background in research and innovation," said Fran Malecha, Viterra's Chief Operating Officer. "We are pleased to proceed with this Agreement and look forward to supplying this facility as part of our long-term business partnership."

About Viterra

Viterra Inc. is Canada's leading agri-business, with extensive operations and distribution capabilities across Western Canada, and with operations in the United States and Japan. The new company is diversified into sales and services of crop inputs and equipment, grain handling and marketing, livestock feed, agri-food processing and financial products. These operations are complemented by value-added businesses and strategic alliances, which allow Viterra to leverage its pivotal position between Prairie farmers and destination customers. The Company's common shares are listed on the Toronto Stock Exchange under the symbol VT.

About Bio-Extraction Inc.

The global demand for ever higher food value from agriculture is growing at an unprecedented pace, driven by population growth and economic growth. At the same time, food supply constraints are increasing, due to urban development of arable land, alternate uses of crops for bio-fuel and other industrial purposes, and many crops having already maximized yields. The result is an alarming imbalance between over-demand and under-supply.

BioExx owns patented technology which allows for much lower temperatures to be used for the extraction of active ingredients and oils from biomass. This makes BioExx particularly well suited to process oilseed crops in a manner that allows for the production of much higher value additives to the food chain, in the form of higher yields of high value proteins which tend to be temperature sensitive. While forming just a small, but very valuable part of the solution to prominent global agricultural problems, BioExx has a mandate to rapidly grow the company through the construction and operation of extraction facilities around the world - and because of its much lower energy requirements, to do so in a very environmentally responsible manner.

To find out more about Bio-Extraction Inc. (TSX VENTURE:BXI), please visit our website at

The TSX Venture Exchange has not reviewed this press release and neither approved nor disapproved the information contained in this press release. The statements made in this press release include forward-looking statements that involve a number of risks and uncertainties. These statements relate to future events or future performance and reflect management's current expectations and assumptions. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements, such as the economy, generally, the demand for BioExx' products, the availability of funding, and the anticipated costs of BioExx' plant construction and operation. These forward-looking statements are made as of the date hereof and BioExx does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the BioExx' expectations and projections.

Contact Information

  • Bio-Extraction Inc.
    Chris Schnarr
    Chief Financial Officer
    (416) 588-4442, x.111
    Investor Relations:
    Brisco Capital Partners
    Scott Koyich
    (403) 262-9888
    Viterra Inc.
    Peter Flengeris
    Media Relations, Investor Relations and Corporate Affairs
    (306) 569-4810