Further to the announcement made on 15 March 2011 with regards to the disposal of the land to a related party, QL Resources Berhad ("QL") wish to provide further information as follows:-
1. The land disposed is a leasehold land with tenure of 99 years, which will expire by 31 December 2050.
2. Net Book Value of the land based on the latest audited accounts is RM183,223.31.
3. The land is planted with oil palm aged about 2 to 2 1/2 years old. Hence, no production so far.
4. The valuer has adopted the Comparison Method of Valuation.
5. Mr Chia Seong Fatt and Mr Chia Seong Pow are Directors and major shareholders of Farsathy Holdings Sdn. Bhd. ("Farsathy") and QL.
Mr Chia Seong Fatt holds 324,000 ordinary shares of RM0.25 each and free warrants of 16,200 in QL. He also indirectly holds 110,071,540 ordinary shares of RM0.25 each and free warrant of 5,503,577 via his interest in Farsathy and his childrens interest in QL shares.
Mr Chia Seong Pow holds 1,880,000 ordinary shares of RM0.25 each and free warrants of 94,000 in QL. He also indirectly holds 111,082,740 ordinary shares of RM0.25 each and free warrant of 5,554,137 via his interest in Farsathy and his spouse & childrens interest in QL shares.
6. The related party transaction is to dispose its land that is not use as its acreage is too small for livestock farming.
