This Management's Discussion and Analysis of Financial Condition and Results of Operations includes a number of forward-looking statements that reflect Management's current views with respect to future events and financial performance. You can identify these statements by forward-looking words such as "may," "will," "expect," "anticipate," "believe," "estimate" and "continue," or similar words. Those statements include statements regarding the intent, belief or current expectations of us and members of its management team as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risk and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements.

Readers are urged to carefully review and consider the various disclosures made by us in this report and in our other reports filed with the Securities and Exchange Commission. Important factors currently known to Management could cause actual results to differ materially from those in forward-looking statements. We undertake no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes in the future operating results over time. We believe that our assumptions are based upon reasonable data derived from and known about our business and operations. No assurances are made that actual results of operations or the results of our future activities will not differ materially from its assumptions. Factors that could cause differences include, but are not limited to, expected market demand for our services, fluctuations in pricing for materials, and competition.

PLAN OF OPERATION

The Company's plan of operation for the next twelve months is to locate, integrate and implement leading waste management, recycling and renewable energy technologies with the objective of creating a cleaner and healthier global environment and capitalizing on profitable opportunities for our shareholders. The Company is currently evaluating several projects in North America and China related to waste management and alternate power. No agreements have been concluded and therefore capital requirements remain unknown.

Over the next twelve months, the Company estimates that it will require approximately $5,000,000 to pursue its stated plan of operation. Of this amount approximately, $3,500,000 will be comprised of overhead expenses. The actual amounts required will depend on whether the Company commences building waste facilities under its joint venture agreement with CJCE or elsewhere in the next twelve months. It is important to note that our actual expenditures and financial requirements during this period may be greater than or less than the amounts that we have estimated herein. The Company is also continuing to seek out new business opportunities, and may find new opportunities which have not been accounted for in the Company's budget estimates.

RESULTS OF OPERATIONS

Summary of Year End Results

                               Year Ended September 30,          Percentage
                                 2008            2007        Increase/(Decrease)

      Revenue                $          --   $         --                    N/A
      Operating Expenses        (5,633,922 )   (3,449,890 )                 62.0 %
      Other Income (Expense)        (3,088 )      329,880                (100.9) %
      Net Income (Loss)      $  (5,637,009 ) $ (3,120,010 )               (79.1) %

Revenue

We do not anticipate earning revenues until such time as we have completed commercial development of planned products and businesses. We are presently in the development stage of our business and we can provide no assurance that we will be able to complete commercial development or successfully sell or license our planned products once development is complete.

Operating Costs and Expenses

The Company incurred total operating expenses of $5,633,922 for the year ended September 30, 2008, which was an increase of $2,184,032 over the operating expenses incurred by the Company for the year ended September 30, 2007.

An analysis of the major operating items shows the following changes:

(1) Consulting and professional fees for the year ended September 30, 2008 increased to $4,885,093 from $2,846,752 for the same period in 2007, as a result of increase in the use and cost of management consultants retained to locate, research, conduct feasibility studies with respect to leading waste management, recycling and reusable energy technologies.

(2) General and administration expenses for the year ended September 30, 2008 increased to $748,829 from $603,137 for the same period in 2007, as a result of increase in advertising cost, office & administration, investor relations & communications expenses, and decrease in travel expenses.

(3) Interest expense for the year ended September 30, 2008 was $3,088 compared to $90,466 for the same period in 2007. Interest expense decreased due to repayment of short term notes payable to related parties during the year ended September 30, 2008 as compared to the same period in 2007.

As the Company anticipates that its business operations will continue at approximately the same level during the next twelve months, the Company expects its expenses to continue to remain at the same level during the next fiscal year.

LIQUIDITY AND FINANCIAL CONDITION

    Cash Flows                                        Year Ended September 30,
                                                        2008             2007
    Net Cash used in Operating Activities           $ (4,832,140 )   $ (1,861,248 )
    Net Cash used in Investing Activities               (172,715 )         (8,206 )
    Net Cash provided by Financing Activities          4,399,738        2,438,419
    Effects of Foreign Currency Translations              (6,577 )        130,050
    Net Increase (decrease) in Cash During Period   $   (598,540 )   $    699,014



  Working Capital                 At                At
                             September 30,     September 30,           Percentage
                                 2008              2007           Increase/(Decrease)
  Current Assets             $     436,836     $     891,923                      (51.0 )%
  Current Liabilities           (2,351,355 )      (4,456,611 )                     47.2 %
  Working Capital Deficit    $  (1,914,519 )   $  (3,564,688 )                     46.3 %

The Company had cash on hand of $162,825 as of September 30, 2008 compared to $761,365 as of September 30, 2007. As of September 30, 2008, the Company had a net stockholders' deficit of $1,003,519 with accumulated losses of $24,860,259 including a net loss of $5,637,009 for the year ended September 30, 2008. Due to the Company's substantial working capital deficit and its current inability to generate revenues, there is no assurance that the Company will be able to continue as a going concern or achieve material revenues or profitable operations. In addition, there can be no guarantee that financing adequate to carry out the Company's business plan will be available on terms acceptable to the Company, or at all.

The Company is indebted the following amounts to related parties, as described in greater detail in Item 12 of this Annual Report on Form 10-K:

    Related Parties - Creditors            As of                    As of
                                     September 30, 2008       September 30, 2007
    Dynasty Farms (ALTA) Ltd.       $            539,374     $                  -
    Sanclair Holdings Ltd.                       111,439                  249,484
    Rene Branconnier                              17,839                   28,449
    Milverton Capital Corporation                  1,087                1,521,773
       Total                        $            669,739     $          1,799,706

FINANCING NEEDS

The Company anticipates that it will require approximately $5,000,000 to finance its stated plan of operation which is being implemented in the fiscal year ending September 2009. These cash requirements are in excess of the Company's current cash and working capital resources. Accordingly, the Company will require additional financing in order to pursue its plan of operation. The Company plans to complete equity financings through private placements of the Company's common stock in order to raise the funds necessary to enable the Company to proceed with its plan of operation. The Company is seeking governmental environmental funds investment or institutional and or private debt financing for the purposes of achieving its goals in North America and China. The Company has no arrangements in place for any additional financing and there is no assurance that the Company will be able to acquire the necessary financing when and if required. There is no assurance that any party will advance additional funds to the Company in order to enable it to sustain its plan of operation.

The Company plans to utilize a combination of sale of additional equity and potential debt to fund its longer-term growth over a period of two to five years, subject to the Company obtaining the necessary business assets to achieve this financing. The availability of future financing will depend on market conditions. The forecast of the period of time through which the Company's financial resources will be adequate to support operations is a forward-looking statement that involves risks and uncertainties. The actual funding requirements may differ materially from this as a result of a number of factors including plans to rapidly expand its new operations. There can be no assurance that financing adequate to carry out the Company's business plan will be available on terms acceptable to the Company, or at all.

APPLICATION OF CRITICAL ACCOUNTING POLICIES

Effect of Fluctuations in Foreign Exchange Rates

The Company's reporting and functional currency is the US dollar. Currently, the Company's primary operations are located in Canada. Transactions in Canadian dollars have been translated into U.S. dollars using the current rate method, such that assets and liabilities are translated at the rates of exchange in effect at the balance sheet date and revenue and expenses are translated at the average rates of exchange during the appropriate fiscal period. As a result, the carrying value of the Company's investments in Canada is subject to the risk of foreign currency fluctuations. Additionally, any revenues received from the Company's international operations in other than U.S. dollars will be subject to foreign exchange risk.

Revenue Recognition Policy

The Company recognizes revenue as the services are provided. The Company follows the guidelines in compliance with Staff Accounting Bulletin (SAB) 104. Payments received before all of the relevant criteria for revenue recognition are satisfied are recorded as deferred revenue. The Company has not earned any revenues during the years ended September 30, 2008 and 2007, respectively.

Stock-Based Compensation

The Company adopted SFAS No. 123 (Revised 2004), Share Based Payment ("SFAS No. 123R"), under the modified-prospective transition method on January 1, 2006. SFAS No. 123R requires companies to measure and recognize the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value. Share-based compensation recognized under the modified-prospective transition method of SFAS No. 123R includes share-based compensation based on the grant-date fair value determined in accordance with the original provisions of SFAS No. 123, Accounting for Stock-Based Compensation, for all share-based payments granted prior to and not yet vested as of January 1, 2006 and share-based compensation based on the grant-date fair-value determined in accordance with SFAS No. 123R for all share-based payments granted after January 1, 2006. SFAS No. 123R eliminates the ability to account for the award of these instruments under the intrinsic value method prescribed by Accounting Principles Board ("APB") Opinion No. 25, Accounting for Stock Issued to Employees, and allowed under the original provisions of SFAS No.
123. Prior to the adoption of SFAS No. 123R, the Company accounted for our stock option plans using the intrinsic value method in accordance with the provisions of APB Opinion No. 25 and related interpretations.

Issuance of Shares for Services

The Company accounts for the issuance of equity instruments to acquire goods and services based on the fair value of the goods and services or the fair value of the equity instrument at the time of issuance, whichever is more reliably measurable.

Recent Accounting Pronouncements

In December 2007, the FASB issued SFAS No. 141 (Revised 2007), "Business Combinations". The objective of this statement will significantly change the accounting for business combinations. Under Statement 141R, an acquiring entity will be required to recognize all the assets acquired and liabilities assumed in a transaction at the acquisition date fair value with limited exceptions. Statement 141 applies prospectively to business combinations for which the acquisition date is on or after the beginning of the first annual reporting period beginning on or after December 15, 2008. The Company does not expect the adoption of SFAS No. 141R to have a material impact on the consolidated financial statements.

In December 2007, the FASB issued SFAS No. 160, "Non-controlling Interests in Consolidated Financial Statements-An Amendment of ARB No. 51". The objective of this statement is to establish new accounting and reporting standards for the Non-controlling interest in a subsidiary and for the deconsolidation of a subsidiary.. Statement 160 is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2008. The Company does not expect the adoption of SFAS No. 160 to have a material impact on the consolidated financial statements.

In March 2008, the FASB issued Statement of Financial Accounting Standards ("SFAS") No. 161, Disclosures about Derivative Instruments and Hedging Activities, an amendment of FASB Statement No. 133, which requires additional disclosures about the objectives of the derivative instruments and hedging activities, the method of accounting for such instruments under SFAS No. 133 and its related interpretations, and a tabular disclosure of the effects of such instruments and related hedged items on our financial position, financial performance, and cash flows. The Company does not expect the adoption of SFAS No. 161 to have a material impact on the consolidated financial statements.

In May 2008, FASB issued SFASB No.162, "The Hierarchy of Generally Accepted Accounting Principles". The pronouncement mandates the GAAP hierarchy reside in the accounting literature as opposed to the audit literature. This has the practical impact of elevating FASB Statements of Financial Accounting Concepts in the GAAP hierarchy. This pronouncement will become effective 60 days following SEC approval. The Company does not believe this pronouncement will impact its financial statements.

In May 2008, FASB issued SFASB No. 163, "Accounting for Financial Guarantee Insurance Contracts-an interpretation of FASB Statement No. 60". The scope of the statement is limited to financial guarantee insurance (and reinsurance) contracts. The pronouncement is effective for fiscal years beginning after December 31, 2008. The Company does not believe this pronouncement will impact its financial statements.

Off Balance Sheet Arrangements

None.