QL'S VENTURES IN INDONESIA AND VIETNAM ON TRACK FOR COMPLETION AND MANAGEMENT, SAYS OSK

KUALA LUMPUR, Jan 13 (Bernama)-- QL Resources Bhd's new ventures in Vietnam
and Indonesia are all on track for completion and management with the third
quarter financial year 2011 results to be in line with consensus estimates, says
OSK Research.

QL has set up in Indonesia a surimi and fishmeal plant and at the same time,
constructed, breeder and layer farms. In Vietnam, it is setting up a layer farm.

The company has nine marine manufacturing plants and six poultry farms in
Malaysia. This includes one marine manufacturing plant in Kota Kinabalu and
three poultry farms in Kota Kinabalu, Tawau and Kuching.

Its marine manufacturing plant and poultry farm in Kota Kinabalu produces
20-30 per cent of its total surimi and fishmeal production and 17 per
cent of total broilers production annually.

In a research note today, OSK said all the expansion plans are on track for
completion and to achieve the targeted production volume between end
of financial year 2011 to the first quarter financial year 2013.

Meanwhile, the group has planted 8,20O hectares of its new palm oil estate
in Kalimantan,Indonesia, It aims to finish planting 15,000 hectares by
financial year 2014.

The company is also targeting to commence production of its biogas and palm
pellet plants by early February this year.

"We maintain our buy call on the stock, with a target price of RM6.88,
based on 16 times calendar year 2012 earnings per share," it said.

Meanwhile, QL has proposed to acquire a 51 per cent stake in Pilihan Mahir
SB, an associate of QL Endau Marine, for RM500,000 (US$163,934).

Upon completion, QL Endau will own 100 per cent of Pilihan Mahir SB.
-- BERNAMA