Hemptown secures $1.4 million funding (USD)


Sep 27, 2005, 01:00 ET from Hemptown Clothing Inc.

    VANCOUVER, Sept. 27 /PRNewswire-FirstCall/ - Hemptown Clothing Inc.
 (NASD OTCBB: HPTWF), a leading provider of environmentally responsible natural
 fibers and bio-technical eco-textile research, announced today the acquisition
 of USD $1.4 Million of equity financing.
     $1.3 million will be put into Hemptown's subsidiary Crailar Fiber
 Technologies Inc., and will be used to begin trials on its advanced natural
 fiber "Crailar(TM)".
     The remainder of the funds will be put into general operations and
 marketing at the parent company, Hemptown Clothing Inc.
     In 2004 the Company secured a collaboration agreement with the National
 Research Council of Canada (NRC) to expand its research with a biotech
 development of an enzyme that would unlock the economic potential of
 industrial hemp fiber as a cost competitive alternative to cotton. The name of
 this technology is called "Crailar(TM)".
     Crailar is being developed as an advanced, organic, eco friendly natural
 fiber, capable of a multitude of commercial applications due to its strength,
 softness and flexibility. The Company has begun working on licensing
 agreements to bring the new fabrics to market through a select number of top
 level manufacturing firms.
     Jerry Kroll, CEO of Hemptown, commented, "We have produced some very
 exciting results in the laboratory recently, and will now produce larger
 amounts of Crailar fiber which will be tested as spun fiber for textiles, as
 well as shorter fiber for use in advanced natural composite materials. It is
 now possible for us to run these pilot plant quantities of Crailar for these
 tests, and potentially even some low volume production runs in Canada and
 elsewhere to begin cashflow on fiber. This will allow our Crailar customer
 prospects to begin slowly introducing the fiber into their product mixes, and
 then purchase ongoing quantities from our licensees or our own Crailar
 production facilities."
     About Hemptown
     Hemptown Clothing Inc. is a bio-technology fiber producer; involved in
 ongoing research and development of quality and conservation-based textile
 bio-technology, working vertically to enhance its products and the benefits
 they provide to crop farmers, consumers and the environment. The Company
 continues to be the world's largest hemp T-shirt manufacturer and sells a line
 of hemp/cotton activewear: T-shirts, sweatshirts and ball caps to wholesalers,
 retailers and consumers.
     Please visit www.hemptown.com
     This release may contain forward-looking statements within the meaning of
 Section 27A of the Securities Act of 1933, Section 21E of the Exchange Act of
 1934 and the provisions of the Private Securities Litigation Reform Act of
 1995 and is subject to safe harbor created by these sections. Actual results
 may differ materially due to a number of risks, including, but not limited to,
 technological and operational challenges, needs for additional capital,
 changes in consumer preferences, risks associated with: market acceptance and
 technological changes; dependence on manufacturing and material supplies
 providers; international operations; and competition.
     Patrick Smyth
     Tel: 604-255-5005 or 1-866-HEMPTOWN

SOURCE Hemptown Clothing Inc.