Development Strategy

Australian mining industry is in a downturn period, and gold prices has fallen in recent years, and all the company's current exploration projects are still in the primary stage. So investors need to realize that the company will need a considerable period of time to seek alternative projects which can make the company grow as well as increase the value of shareholder's stock. China's growing population and income growth has brought the growth of food and beverage sales and the value growth. The Board of Directors believes that the agricultural products, food and beverage produced under Australia's and New Zealand's green and clean environment will have great development potentiality in the Chinese market.

The company's strategy is developing Australia's / New Zealand's healthy agricultural products, food and beverage trade in the sustainable development of exploration projects.

General situation of agricultural products, food and beverage industry

China, with a population of over 1.3 billion, has the largest consumer market for food and beverage in the world. With the improvement of living standards and a variety of consumer choice, China's food consumption patterns have changed significantly. With the growth of China's economy and improvement of per capital income, its interest and import demand in the Australian and New Zealand food and beverage is also rising. Recently, China's food safety problem has increased consumer's demand for organic, healthy agricultural products, which can be imported from Australia and New Zealand.

The free trade agreement between China and Australia in November 2014 has strengthened and promoted their trade development.

Because agricultural products produced in changing seasons, for example: while China is in summer, Australia and New Zealand are in winter, in China and Australia / New Zealand  are different kinds, so it can be foreseen that Australia / New Zealand will have very broad market for anti-seasonal agricultural products.

With the rapid development of the Internet, online transaction is rapidly expanding. E-commerce platform can greatly promote the procurement of food, beverage and agricultural products, marketing and trading.

The government's report shows that Australia's agriculture and food industry has provided an enormous potential for food, beverage and commodity exports to Asia. Asia's growing demand for safe, healthy, high-quality food and retail raw materials has allowed Australia to further enhance its ability to provide “Pure and green” food.

Commissioned by the Australian Chamber of Commerce and sponsored by the National Australia Bank, Report of Australia and China Trade showed that Australian agricultural products and food export to China are rapidly growing in recent years, and China is Australia's largest agricultural product and food export markets. From 2012 to 2013, China's total export volume was more than 7.3 billion dollars. The main export products include wool, cotton, grain (mainly wheat), and meat, wine and dairy products.

China is still Australia's largest exporter in terms of agricultural products because of its growing demand for pure safe food. China's growing middle class will expand its export demand for Australian animals and as well as food and beverage processing products.