Mr. Charles Larsen reports

Global Hemp Group Inc. has closed a first tranche of $27,000 of its $250,000 non-brokered private placement of unsecured convertible debenture units.

The debenture will have an annual interest rate of 15 per cent per annum. No interest will be paid during the three-year term but will accrue until maturity or conversion. Each $1,000 of the debenture will come with 20,000 warrants exercisable at a price of five cents for a period of three years. The debenture is convertible into shares of the company at 1.5 cents at any time during the three-year period of the note.

The proceeds of the CD will be used for working capital and general corporate purposes. The first tranche consists of $10,000 cash and $17,000 in exchange for forgiveness of indebtedness for moneys previously paid on behalf of the company. No finder's fee was paid on this transaction. All securities issued in connection with the offering will be subject to a statutory four-month hold period.

We seek Safe Harbor.