Listen to this articleHeadquartered in Miami, Florida, Amazonas Florestal (OTC: AZFL) is a natural resources company dedicated to innovative, sustainable management of large tracts of land in the rainforests of Amazonas, Brazil, that include the certification and sale of carbon credits. The preservation of the native forests has proven to be not only an invaluable contribution to the environmental integrity of the Earth but also a substantially profitable activity through the certification and sale of carbon credits on the voluntary market. Below is our interview with Paul Knopick, from Amazonas Florestal:
Q: Paul, tell us something more about the company and your history?
A: Amazonas Florestal was founded in 2009 as a private wood products concern, producing hardwood sleepers from several native species that had been previously unused for market and with the intention of securing native forest properties for preservation purposes. The preservation of the native forests has proven to be not only an invaluable contribution to the environmental integrity of the Earth but also a substantially profitable activity through the certification and sale of carbon credits on the voluntary market. From the inset this was the primary objective of the company’s initial partners.
This business direction has been favored by recent World news with regards to the emission reduction commitments undertaken by more than 180 nations at the COP20 in Paris last December. Worldwide governmental authorities are now taking a more active and serious approach to the necessary changes that the planets inhabitants need to make if we are to minimize the effects of the dramatic global climate changes that are occurring throughout the globe as a result of uncontrolled carbon emissions. The new way is basic and the message is to everyone that pollutes. The message is mostly important to all large industries: If you continue polluting the environment you must pay to offset the damage that you are inflicting and it affects all of us. The easiest form of payment is rapidly becoming the purchase of carbon credits on the voluntary market. Amazonas is in poised to enter into this new and exciting field with the use of its acquired properties in the Amazon rainforest.
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Q: What were the main challenges you faced in developing the company?
A: The main hurdles have been keeping the company current while achieving funding to properly oxygenate our wood business and get the carbon credit work going. From that difficulty is it that our Industrial Hemp subsidiary was created to find opportunities in the natural resources field stateside and that focus also strengthened on the company’s carbon upside. Changes in policy in the European Union in 2014 restricted the amount of business potentially available from the company’s main customer there, Trackwork Ltd of Doncaster, the largest rail contractor in the world. The company had to find some new direction. Errors by previous managers also made the public loose some credibility and our shareholders lost value. This compounded the need for change. New management began turning things around only last year.
The company was audited fully in the 3rd quarter and appeared to gain more respect. We are presently on a solid platform and the company is truly poised to become fully reporting this first quarter of 2016 and activate an Equity Line that will fund the Wood products business with orders expected to India for hardwood sleepers during the this year, carbon studies beginning in February and a Hemp Plantation in Colorado on 160 acres of company owned land that will be planted around Mothers Day and harvest just before Holloween producing stateside revenues for the company for the first time ever.
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Q: How does Amazonas Florestal differ from other forest management and preservation companies?
A: Amazonas differs in its forest preservation policy. Although the company owns substantial amounts of acreage in the Amazon, the products manufactured since its onset have come from sustainable forest management projects that belong to others. In essence the company properties have remained intact.
This was done by design with the intention that the company forests will eventually find vehicles to be dedicated to preservation programs that provide revenue for this important activity. The availability to enter these programs opened up late last year during the negotiations to purchase EPL that comes with its division in Brazil – Amazonas Sustainable Development.
This new subsidiary now has precisely those vehicles in line through several foundations in northern Brazil, namely the FAS and IAS, that waltz land owners through the necessary out sourcing of the carbon studies necessary to certify and market the credits. We may very well become the first USA-based public company to certify substantial amounts of carbon credits generated through the preservation of native forests. A model to show how emission reductions, carbon offest and by consequence climate improvements worldwide can be achieved for profit.
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Q: What are your plans for next six months?
A: Our plans are to become a fully reporting public company and activate the necessary financing to develop our wood products business, opening a sleeper market in India, the country that spearheaded the new carbon agreement, while moving forward with the carbon studies and planting of the Industrial Hemp plantation in Colorado. All of these activities will provide increased shareholder value this year and bring the company to see substantial revenue for the first time since going public.
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