About

Over the past year the Company has successfully commissioned its new Daqing plant which started operations in early 2010.  The addition of this new facility, coupled with strong product prices, enabled the Company to achieve 118% growth in revenues and 428% growth in earnings during 2010.

With the successful completion of the Daqing plant, the Company has announced a product expansion into downstream markets.  This expansion will take advantage of the Company’s expertise in quality production and transportation while growing revenues and enhancing margins.

The Company’s primary product is corn starch. The Company also derives three by-products from its manufacturing process of corn starch, namely: corn germ, gluten and fibre.

Starch is the energy reserve of many plants including corn, wheat, potatoes and rice.

Corn starch is derived from the energy storage part of the corn kernel called the endosperm. The endosperm is primarily comprised of starch and protein, with the remainder consisting of small amounts of oil, minerals and trace constituents.

Starch exists as a major carbohydrate storage product in all plants containing chlorophyll. In the process of photosynthesis, green plants extract energy from sunlight to form glucose from carbon dioxide and water. Glucose fuels plant growth processes and is the primary building material for plant support structures such as cellulose and hemicellulose. When the plant reaches maturity, the reproduction cycle begins, culminating in pollination and formation of the starch- and oil-rich seed embryo. Starch and oil exist in the corn kernel to supply energy to the germinating seed. The highly structured nature of the starch granule is demonstrated by its great strength. After the pulverizing, pumping, centrifugal circulation and physical attrition in the wet phases of the corn wet milling operation, followed by drying, grinding and mechanical or air transportation of the dry starch, almost all of the granules remain intact. Isolated starch is typically a dry, soft, white powder. It is insoluble in cold water, alcohol, ether and most organic solvents. Starch, if kept dry, is stable in storage for indefinite periods.

Starch may be further processed into a number of downstream products. This further processing may take three forms; physical modification to produce pre-gelatinized starch; chemical modification to produce oxidized starch, cross linked starch or acetylated starch and finally enzyme modification to produce glucose, alcohol, lactic or poly lactic acid.

Starches have four major properties that make them useful in food and industrial applications. The first property, thickening, gives many food products such as puddings, gravies, sauces and pie fillings their desired consistency. This property is also useful in many industrial starch applications. The second useful physicochemical property is the ability of the starch paste to disperse and suspend other ingredients or particulate matter. In many foods, fats and proteins are suspended and/or emulsified in starch pastes. In the manufacturing of paper and adhesives, clay particles are suspended in thick starch pastes.

When starch pastes are allowed to cool, they thicken and can congeal into a semisolid gel. The third useful property, gel formation, provides the body typical of starch-based puddings, salad dressings and some types of adhesives. The fourth useful physicochemical property of starch paste is its ability to produce strong adhesive films when spread on smooth surfaces and dried. The major industrial uses of starch, such as paper coating and sizing, textile sizing, corrugated board manufacture and all adhesive applications utilize this property.

Corn germ is the embryo of the kernel found in its centre and is comprised of fat (50%), starch (14%) and protein (13%). The germ can be processed into corn oil, which can then be further processed into cooking oil, margarine, mayonnaise, salad dressing, soaps and a variety of other products. Corn oil contains a high level of polyunsaturated fats, which is effective in lowering cholesterol levels as compared to animal fats. After the extraction of the corn oil from the germ, the residue is used in corn germ meal as animal feed primarily for pigs and poultry.

Corn gluten is the yellow portion of the corn kernel. Corn gluten is a moderately high source of protein (about 65-70%), low in starch (about 12%), and the fibre is digestible. Because of these characteristics, cattle can be fed relatively large amounts. Despite its high portion of fibre, it can still be regarded as an energy source. The level of protein degradability is an important factor when considering protein levels in the diet of livestock. Fibre produced from the wet milling process is somewhat more digestible than in the dry form, permitting greater intakes of wet versus dry corn gluten feed.

Corn fibre is a mixture of the seed coat and remaining endosperm of the kernel after the extraction of the starch, gluten and germ. Fibre is composed of 21% protein, 18% starch and 30% fibre which makes it ideal as an ingredient for animal feed. Fibre can be mixed with concentrated steeping liquor (called Gluten Feed). Despite its high portion of fibre, it can still be regarded as an energy source. The level of protein degradability is an important factor when considering protein levels in the diet of livestock. Fibre produced from the corn wet milling process is somewhat more digestible than in the dry form.

Address:
130 Adelaide Street West Suite 2105
Toronto, Ontario
Canada M5H 3P5

Tel: (416) 603-7500

E-Mail (General Inquiries): This email address is being protected from spambots. You need JavaScript enabled to view it.

E-Mail (Investor Relations): This email address is being protected from spambots. You need JavaScript enabled to view it.

For technical issues with this website:
E-Mail (Webmaster): This email address is being protected from spambots. You need JavaScript enabled to view it.

Zhiping Wang - Chairman, President & CEO

• Chairman and Chief Executive Officer, Asia Bio-Chem Group Corp., September 14, 2007 to present; Chairman of World Products Group Inc., a supplier of technology and equipment to the starch and agricultural industries in China from June 2001 to present; President of Krauss Maffei China Company GmbH, a machine manufacturer for numerous industries including the starch industry from July 1996 to December 2000; Chief Representative and General Manager (China) of Dorr Oliver Inc. , an engineering and machine manufacturer for the starch industry from November 1984 to June 1996.

Robert Wilson - EVP & Director

• Executive Vice President, Asia Bio-Chem Group Corp., January 10, 2008 to present, Managing Director of Research Capital Corporation, an investment firms specializing in the growth capital market from April 2004 to January 2008; Independent Consultant providing consulting services to executives of public companies in relation to the making of and divestiture of investments from November 2001 to April 2004; Vice President of BMO Nesbitt Burns, an investment firm from May 1998 to November 2001.

Jeremy Kendall - Director

• Chairman and Director of SunOpta Inc., a company involved in the sourcing, processing, packaging and distribution of organic and natural foods from May 1983 to present; Chairman, Jemtec Inc., a distributor of home incarceration equipment in Canada from April 1987 to present; Chairman of Opta Inc., a producer, manufacturer, distributor and recycler of industrial minerals, abrasives, roofing shingle granules, specialty sands and related products from June 2003 to present; Chairman of BI Inc., a manufacturer of home incarceration equipment and service provider to the corrections industry from June 1983 to November 2002.

Brent Majkrzak - Director

• Vice President, Sales Marketing of MagTec Energy LLC, a manufacturer of magnetic heaters from January 2007 to present; Sales Manager of Interstate Energy Systems (a predecessor of MagTec Energy LLC), September 2006 to December 2006; Marketing Manager of Crary Industries, May 1999 to September 2006.  Mr. Majkrzak also owns and operates a family farm and is a shareholder of American Crystal Sugar Company, a farmer owned sugar processing facility that formerly operated a corn processing facility.

William Thomson - Director

• President of Thomson Associates Inc., a leading merchant banking company specializing in the areas of finance, leadership, strategic alliances and corporate development from August 1978 to present.