Outlook Announces Mortgage Financing for Agassiz Aqua Farms

Outlook Resources Inc. wishes to announce that Agassiz Aqua Farms Inc. has entered into a 3 year, fixed credit mortgage financing , valued at $1,061,415, with Transwest Financial Services Corp. at an annual interest rate of 14%. Transwest will hold a first mortgage on Agassiz’s real property, a general security interest on all of Agassiz’s current assets and will hold security interests over future property or assets acquired with the proceeds of this Mortgage Financing. As a condition of the Mortgage Financing, a personal guarantee was required of the Company’s President, Mr. John Bottomley and a cross guarantee was required of the Company.

The proceeds of the Mortgage Financing were used to repay the existing $400,000 interest only first mortgage including interest arrears to date, plus lender and broker fees of $161,415. The balance is to be used for capital expenditures on upgrades to the Company’s aquaculture operations located in Gunton Manitoba.

The Mortgage Financing was deemed necessary in that inquiries for Agassiz’s antibiotic free, farm raised Arctic Charr have increased dramatically over the last 12 months (to roughly 4 times current production capacity).

Given recent events in the Credit markets, the Mortgage Financing offered by Transwest was the Company’s best available opportunity to fund the expansion necessary to increase production capacity at its land based Arctic Charr farm. The completion of this expansion is expected to result in an increase in positive cash flow for the Company within 9 months arising from the increased production capacity.

Outlook Resources and its wholly owned subsidiary Agassiz Aqua Farms, are dedicated to the sustainable development of renewable resources, including land based, closed containment aquaculture production.