1-Apr-2009

Other Events

On March 27, 2009, Mantra Energy Alternatives Ltd. ("Mantra Energy"), Mantra Venture Group Ltd.'s wholly owned subsidiary entered into a Memorandum of Understanding (the "MOU") with Blue Bird Co. Ltd. ("Blue Bird") dated March 24, 2009 pertaining to a cooperation between Mantra Energy and Blue Bird on Mantra Energy's electro-reduction of carbon dioxide ("ERC") technology.

Pursuant to the terms of the MOU, Mantra Energy and Blue Bird will begin a three phase co-operation to develop and commercialize Mantra Energy's ERC technology. The MOU contemplates the signing of a definitive agreement by May 31, 2009 which will contain all terms of the agreement between the parties. The material terms of the MOU, and the terms which are anticipated to form the basis of the definitive agreement, are as follows:

� Blue Bird will provide Mantra Energy with approximately $3,000,000 (CAD $3,500,000) in funding for the development and construction of ERC facilities in Korea.

� Mantra Energy and Blue Bird will cooperate in the development and construction of a 1-kg of CO2 per day ERC reactor which is to be delivered to Blue Bird in Korea by November 2010.

� Mantra Energy and Blue Bird will cooperate in the development and design of a 1-tonne of CO2 per day ERC reactor to be constructed in Korea at a location chosen by Blue Bird.

� Blue Bird will become the exclusive licensee, distributor and manufacturing partner for the ERC technology in Korea as well as other territories within Asia to be specified in the definitive agreement.