SLV

active

The Company is a recently re-organized newly established Bolivian forest products company which produces hardwood veneers for regional and international markets. Under the proposed investment the Company will increase veneer drying capacity and add a plywood production line which will reduce waste and increase wood recovery at its milling facility in Warnes, Santa Cruz. The proposed investment would also provide working capital to increase the Company’s internal harvesting capacity so the Company can reduce the use of independent harvest operators and contract directly with 8-10 IFAs operating within two Indigenous Territories (TCOs) in the Santa Cruz Department. Through an expanded and reciprocal relationship the Company proposes to assist these IFAs to establish forest management practices which will comply with strict national laws and achieve step-wise conformity with internally-recognized forest management practices through FSC certification. By late 2012, SLV intends to be sourcing 50,000 m3 of logs from indigenous-managed communities, 80% of which will be extracted directly by SLV under long-term contracts with the communities and the remaining 20% provisioned through third party contractors providing legal verification of all wood.