Industry leader, Colin South joins the Board of Lignol Energy Corporation

VANCOUVER, May 27 /CNW/ - Lignol Energy Corporation (TSX-V: LEC) ("Lignol" or "the Company"), a leading technology company in the cellulosic ethanol and biorefining sector, today announced the appointment of Colin South to its Board of Directors.

Colin South is regarded as a pioneer and an industry "thought leader" in the bioenergy and alternative fuels industry, who is highly respected by government agencies and the capital markets. He was the founding President of Mascoma Corporation where he built the company to become a major force in the cellulosic ethanol industry. In addition to Mascoma, Colin has been active in the life sciences industry for over 15 years. He has held senior leadership positions in companies including Fronterra Co-Operative Group and ViaLactia Biosciences. He holds an undergraduate degree in Chemical Engineering from the University of Canterbury in New Zealand, as well as a Ph.D in Bio-process Engineering and a Masters in Engineering Management from the Thayer School of Engineering, Dartmouth College.

"I am excited to be joining Lignol's Board of Directors and look forward to the opportunity to assist Lignol in transitoning their technology to commercial scale," said Colin South. "As a leader in the development of high value biochemicals and alternate fuels from wood and other cellulosic feedstocks, Lignol is well positioned to create value for its shareholders."

"As with others in our industry, we have held Colin in high esteem for many years. He has had the vision to understand both the opportunities and the challenges facing our industry together with a talent for understanding how to best create shareholder value," said Ross MacLachlan, President and CEO of Lignol. "Colin joins our board with the expectation of playing an active role in the development of our company. We are delighted to welcome Colin to our board to help us chart an exciting future as Lignol takes its technology to the next level and brings products to the global market."

As previously announced on May 17, 2010, Mr. David Turner has re-assumed the role of Chief Financial Officer and Corporate Secretary and has accordingly agreed to tender his resignation as a Director of the Company in order to create the opportunity for the Company to increase the number of independent Directors on the Board.

"On behalf of the Board of Directors I would like to sincerely thank David for his contributions to the Board. We are enthusiaistic about David being able to continue to make an important contribution to the Company in the role of Chief Financial Officer and Corporate Secretary," said Ross MacLachlan.

About Lignol

Lignol (TSX-V: LEC) is a Canadian company undertaking the development of biorefining technologies for the production of fuel-grade ethanol and other biochemical co-products from non-food cellulosic biomass feedstocks. Lignol's modified solvent based pre-treatment technology facilitates the rapid, high-yield conversion of cellulose to ethanol and the production of value-added biochemical co-products, including high purity HP-L(TM) lignins. Lignol is executing on its development plan through strategic partnerships to further develop and integrate its core technologies on a commercial scale. Lignol also intends to invest in, or otherwise obtain, equity interests in energy related projects which have synergies with its biorefining technology. For more information about Lignol, please visit our website at www.lignol.ca.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Caution concerning forward-looking statements:

Certain statements contained in this document may constitute forward-looking information within the meaning of applicable securities laws. Such forward-looking statements or information include, without limitation, statements or information about our ability to fund our Baseline Operations, (using the definition of "Baseline Operations" as set out in Lignol's Management's Discussion & Analysis of Financial Condition and Results of Operations for the three and nine-month periods ended January 31, 2010), the development status of our fully integrated biorefinery pilot plant in Burnaby, British Columbia, the planning and development of our previously proposed cellulosic ethanol commercial demonstration plant, our ability to exploit commercial opportunities and broaden our market opportunities for a range of cellulosic derivatives and environmentally sustainable biochemicals and our ability to pursue these opportunities with strategic partners. Often, but not always, forward-looking statements or information can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes" or variations of such words and phrases or words and phrases that state or indicate that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Such statements or information reflect Lignol's current views with respect to future events and are subject to certain risks, uncertainties and assumptions including, without limitation, our ability to establish the validity of our technology at the fully integrated biorefinery pilot plant scale, our ability to satisfy the conditions of existing government grants and to obtain new additional grants, our ability to finance and complete the development of the commercial demonstration plant, our ability to develop our products, our ability to obtain requisite regulatory approvals and our ability to enter into agreements with strategic partners on terms acceptable to us. Forward-looking statements and information are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Many factors could cause Lignol's actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements or information, including among other things, the technological challenges that remain to be surpassed in obtaining the necessary operating data from our fully integrated biorefinery pilot plant that is required prior to completing the next design scale-up of the technology, the complexity of the development of the commercial demonstration plant, financial market conditions which will effect our ability to finance our operations, risks relating to the protection of Lignol's core technology from infringement and those risk factors which are discussed elsewhere in documents that Lignol files from time to time with securities regulatory authorities. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements or information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Except as required by law, the Company expressly disclaims any intention or obligation to update or revise any forward looking statements and information whether as a result of new information, future events or otherwise. All written and oral forward-looking statements and information attributable to us or persons acting on our behalf are expressly qualified in their entirety by the foregoing cautionary statements.

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For further information: Lignol Energy Corporation, David Turner, Chief Financial Officer, Tel: [phone], Email: [email protected], Email: [email protected]; The Equicom Group, James Smith, Investor Relations, Tel: [phone] ext. 229, Email: [email protected]