The Company primary land holdings are called Fazenda Jatuarana, which is located 389_kilometers from the city of Manaus, Brazil in the State of Amazonas. On December 14th, 2010, the Company commenced development of carbon studies on the land. This Fazenda Jatuarana represents 90,108 acres and has been recently appraised by EB da Amazonia, a certified appraisal company that specializes in the valuation of rural forest properties in Northern Brazil. The land was valued at BRL $ 77 Million which, at the time of the appraisal, was based on the concurrent exchange rate, equivalent to approximately USD$ 44 Million. The appraisal methods used were in line with acceptable GAAP principles to determine the actual fair market value of the land and the netback to stumpage methods widely acceptable to calculate the net value of a forest resource.
Lago Preto Dos Ramos I Lago Preto I has 979.12 hectares with an approved license for the extraction of 10,086.548 cubic meters of various species of semi-hard and hardwoods of commercial demand, both in the region and worldwide. Through the Operation License number 371/10, as authorized by IPAAM (Instituto de Protecao Ambiental de Amazonas).
Lago Preto Dos Ramos –II
Lago Preto II has 1,351.79 hectares and contains 4,701.947 cubic meters of timber authorized for extraction through the IPAAM license number 538/10.
The Forest Engineer who managed the studies for the Company was the Company retained Ricardo Ludke, who was responsible for all of the technical and management aspects of the projects. Mr. Ludke’s responsibility, working closely with IPAAM- Instituto de Proteccao Ambiental da Amazonas, the State of Amazonas, (the government agency that regulates and controls all such sustainable projects in the state), together with IBAMA, (the Brazilian EPA, in the approval and enforcement of all laws that govern such projects in Brazil), is to ensure that all of the filling and extraction is done in compliance with the low impact logging criteria that is described and as specified on the project literature as conditional for its approval by IPAAM. Mr. Ludke has a thorough background in the management of
such projects have worked with several dozen such projects in the past with IBAMA in congruence with such platforms at a government level.
Additional Forestry Properties
The company has options to purchase another 303,000 hectares of virgin rainforest and from related parties to management and another 203,000 hectares from business associates of management and their families in Brazil.