VANCOUVER, British Columbia, July 21, 2005 (PRIMEZONE) -- Pinnacle Developments Inc. (Pink Sheets:PNCV) announces the 100% acquisition of Cantech Fibre Corporation, a British Columbia company specializing in the manufacturing of hardwood and softwood cants and specialized wood products. On January 10, 2005, a merger agreement was entered into by the board of directors for the purchase of Cantech Fibre Corporation, and subsequently Cantech was merged into Pinnacle. All of the common stock in Cantech was exchanged for 2,000,000 shares of Pinnacle Developments Inc. Cantech has been actively negotiating for Timber Tenures from the Ministry of Forests in British Columbia, Canada. With 5,000,000 cubic meters of Mountain Pine Beetle infested wood up for bids, out of an approximate 200,000,000 cubic meters, Cantech has submitted applications for 50,000 cubic meter allotments. In addition to this Cantech is in negotiations to purchase milling assets from a major financial institution for $558,000 with a replacement value of $4,946,151. These assets and property will be used for wood milling and remanufacturing for sale to the U.S.A., China and Japan. Cantech has a current contract with a major wood milling and remanufacturing company to provide 800,000 bft per month of hardwood cants. This equates to approximately $2,000,000 in earnings per year.
A five-year management agreement was entered into with President Carl Baker and CFO Scott Cramer to manage the day-to-day operations of Cantech. This agreement provides for salaries and reimbursement of business expenses.
Certain statements contained herein are "forward-looking" statements (as such term is defined in the Private Securities Reform Act of 1995). Because such statements include risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements.