SLUP Solucorp Industries Ltd (CE)

Solucorp Industries (OTC: SLUP) today announced it has signed a contract for the sale of 5.5 Million U.S. dollars of its MBS(R) heavy metals remediation products from Syndial, a company of the ENI Group, an Italy based International Conglomerate. The MBS(R) will be used to remediate mercury contaminated soil on a five plus acre site in Ravenna, Italy. The Ravenna site is the first project to commence under the Exclusive Agreement signed with Ambiente, in February 2004. This agreement which was previously discussed in our news releases of February 26, 2004 and March 3, 2004, grants Ambiente, now called Snamprogetti S.p.A., the exclusive right to market and apply the MBS(R) technology. Snamprogetti agrees to exclusively use Solucorp's MBS(R) Technology for the ENI Group and its customers, limited to the Country of Italy. Discussions have already begun between Solucorp and Snamprogetti for, the sale of MBS(R) products for additional projects containing heavy metals contaminated soil, sludge and industrial ash. The contract also includes a $300,000 payment to be made to Solucorp for its efforts in the approval of the basic engineering of the treatment plant, preparation of an operational manual and the technical specifications for the MBS(R) reagents, bringing the total revenues from the contract to 5.8 Million U.S. dollars. The signing of this contract culminates eight years of working with Ambiente, an ENI Group Company whose annual revenues averaged more than EURO 47 billion during the years 2000 through 2004. The work included traveling to Italy by Solucorp personnel to assess the site and its contamination problems, along with conducting studies to optimize the ratios necessary for the most efficient treatment of the site's contamination issues. Solucorp provided the "know how" and technical support to Syndial for the development of an on site treatment plant, including processing plans and procedures, formulations and operation manuals. Solucorp also assisted Syndial in the obtaining of Italian regulatory approvals for the project and will train Syndial personnel on site to run the treatment plant. The contract calls for Solucorp to supply its patented MBS(R) formulation reagents, supervisory and technical advice, and appropriate Solucorp staff throughout the duration of the project. Syndial now expects the project to commence immediately and Solucorp has agreed to specific requirements. As a matter of policy Solucorp guarantees that its Environmental Protection Agency (EPA) Superfund Innovative Technology Evaluation "SITE" proven technology will achieve desired remediation results. Solucorp has consistently proven the efficacy and cost effectiveness of its MBS(R) products. Solucorp will be shipping product to the Ravenna site, beginning in July for commencement of the actual cleanup in August. "Working with Syndial and other companies within the European remediation market is an exciting major step and represents a major revenue stream for Solucorp.The Ravenna project will serve as a blueprint of Solucorp's ability to effectively remediate toxic metal contaminated sites for reuse. We expect the European market to expand rapidly in light of new European Community regulations (Council Directive 1999/31/EC of 26 April 1999) that will go into effect in July prohibiting hazardous waste being disposed in landfills. The Ravenna site contaminant is mercury and while the MBS(R) technology is proven to remediate all heavy metals, we believe our MBS(R) technology treats mercury waste better than any other technology on the market today. Mercury contamination as well as the mercury emissions issue for coal fired plants continues to be a major concern worldwide, as evidenced by regular news reports on this subject. MBS(R) is the answer (see press release dated 05/22/2005) for remediating this hazard," said Rich Runco, President of Solucorp Industries. ENI is one of the World's energy giants. Based in Rome, ENI is one of Europe's largest companies employing more than 80,000 employees in more than 70 countries, providing Solucorp with a worldwide alliance for its innovative technologies. ENI is active in chemical production and marketing, natural gas exploration and production, petrochemicals, engineering and oil services. Snamprogetti is an environmental servicing provider and leader in Italy in the areas of industrial waste treatment and environmental rehabilitation and serves as the Environmental Consulting Group for the ENI Group. About Solucorp Solucorp Industries, Ltd., a Canadian corporation is parent to three U.S. corporations including: Solucorp Industries, focusing on the metals remediation and pollution prevention industries. Solucorp's patented MBS(R) technology began development over twenty years ago and offers a permanent solution to heavy metals pollution problems. Solucorp's MBS(R) has also undergone U.S. EPA MEP (Multiple Extraction Procedure) testing demonstrating its ability to prevent the return of metal pollution for in excess of 1,000 years. Since being patented, MBS(R) has been used throughout the United States and Canada as well as the UK, Italy, China and Argentina. Solucorp's MBS(R) technology can be reviewed on the EPA website at www.epa.gov by typing in the New Search Space, "Molecular Bonding System." This technology is also presented in a publication produced by the EPA titled Superfund Innovative Technology Evaluation (SITE) Program, Technology Profiles 10th Edition, and Demonstration Program. The Integrated Fixation System (IFS) technology was developed from Solucorp's EPA SITE Program proven MBS(R) process. The IFS technology deals with pollution prevention rather than existing contamination problems. IFS can be integrated into many types of product applications. IFS prevents future contamination from metals such as lead, mercury, arsenic, chromium (hex or tri), cadmium, zinc, nickel, selenium, antimony, barium, beryllium, silver, thallium and vanadium. IFS can be added to pollutant-bearing products such as batteries, paint strippers, bullets, filters, computers, lamps, switches appliances, etc. IFS can be applied through a multitude of delivery systems both as solids and non-solids. The solid compound delivery systems include, for example, blocks, tablets, spikes and flakes. Some examples of non-solid delivery systems include laminates, inks, pastes, powders, gels, and slurries. IFS can be designed to activate and release under conditions such as exposure to light, pressure, acids, natural oxidation, etc. IFS has no limitations in how and where it can be integrated into metal containing products. Customized products can be designed and manufactured to meet specific needs. WITS Inc., founded in 2001 and purchased by Solucorp in June 2004, is capable of supplying package systems to treat contaminated wastewater as low as 20 gallons per minute and upwards of 200 gallons per minute. By installing multiple package systems, flows greater than that can be achieved. In addition to pricing advantages, the WITS package produces a better water end result without using harmful chemicals. The major water/wastewater areas where the WITS' package can be utilized with significant benefits includes water utilities; wastewater utilities; sludge processing; combined sewer overflows; industrial pretreatment; offshore oil rigs; livestock industry and in food & beverage industry wastewater, automotive/metal processing discharging, recyclable water recovery and phosphorous removal. WITS also has a network of representatives throughout the Country to promote their technology. This wide range of uses provides Solucorp with the ideal complement to its remediation and metals pollution preventive proprietary technologies. The foregoing discussion contains forward-looking statements, which are based on current expectations. Actual results, including the timing and amount of revenues recognized, contracts awarded and performed and net income may differ due to such factors as: delays in payment on contracts due to dealings with governmental and foreign entities; fluctuations in operating costs associated with changes in project specifications; economic and other conditions affecting the ability of prospective clients to finance projects; and other risks generally affecting the financing of projects. Investors are cautioned to perform a proper due diligence and consult licensed professionals prior to making an investment decision.