Canadian Forces Increases Contract Value by $1.5M in Current Fiscal Year

OTTAWA , Sept. 23 /CNW Telbec/ - Seprotech Systems Inc., a Canadian Environmental Technology Company and manufacturer of water and wastewater treatment systems, is pleased to announce that the Canadian Department of National Defence (DND) has increased the value of the Repair and Overhaul Services Contract for water purification systems by $1.5M in the current fiscal year.

"Seprotech began work on the DND contract in June of this year and the increase in the Standing Offer Agreement underscores both the urgent need for these services and the confidence DND places in the quality of Seprotech's work in executing this contract to meet tight military deadlines," said Martin J. Hauschild, President & CEO of Seprotech.

"This contract is a key element in Seprotech's strategy of generating 50% of revenues from Operations and Maintenance (O&M) within two years. The utility and services side of our business will provide a stable and consistent revenue base while water & wastewater treatment equipment sales will provide a platform for growth," concluded Mr. Hauschild .

The contract amendment is in addition to the Standing Offer announced on the 15th of January 2009 valued at up to $6M over a five-year period. The standing offer process provides the Canadian Forces with immediate response and support to their equipment requirements. Seprotech has been awarded similar Standing Offers from DND in the past including the equipment in this Standing Offer.

Seprotech is a provider of pre-engineered water and wastewater treatment plants to the land development, resource sector and military market place, including CrystalBlue(TM) membrane-based water recycling systems and the ROTORDISK(R) wastewater treatment systems.

The TSX Venture Exchange has neither approved nor disapproved of the information contained herein. Some of the statements in this press release, including those relating to the Company's strategies and other statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as "expects", "anticipates", "intends", "plans", "believes", "estimates" or similar expressions, are forward-looking statements within the meaning of securities laws. Forward-looking statements include, without limitation, the information concerning possible or assumed future results of operations of the Company. These statements are not historical facts but instead represent only the Company's expectations, estimates and projections regarding future events. The Company does not undertake any obligation to update or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this presentation or to reflect the occurrence of unanticipated events, except as required by law.

For further information: Matthew Anderson, Investor Relations, Tel: [phone], Fax: [phone]