Xebec receives another milestone order for a Chinese biogas upgrading project

Leading landfill gas developer purchases XEBEC system for Changsha landfill gas-to-CNG project

SHANGHAI, China, July 22 /CNW Telbec/ - Xebec Adsorption Inc. (TSX: XBC) ("Xebec"), a provider of biogas upgrading, natural gas and hydrogen purification solutions for the clean energy market, announced today that it has received its first order for a landfill gas upgrading system from Huiming EP&CE Co., Ltd, a leading developer of landfill gas to energy projects in China.

Xebec's system will purify landfill gas at a municipal landfill located in Changsha County, Hunan Province. The system will remove impurities and carbon dioxide from the raw landfill gas, producing renewable methane for use as compressed natural gas (CNG) vehicle fuel.

"The municipal landfill market is an exciting growth market in China for renewable CNG projects of this kind, with over 300 landfill sites identified across China with sufficient landfill gas production to support commercially viable landfill gas purification projects such as the Changsha project. These landfills offer a convenient, local source of renewable CNG vehicle fuel for Chinese cities that are looking to convert their fleets of buses and garbage collection trucks to clean-burning CNG fuel," said Andrew Hall, Xebec Vice President of Asia Pacific. "We see significant potential for further development of biogas to CNG projects in China, and Xebec is very well positioned to benefit from this trend," added Mr. Hall.

"Furthermore, in July the National Development and Reform Committee (NDRC) of the Central Chinese Government announced increases in the price of natural gas and CNG ranging from 10-20%. These price increases improve the economics of recovering fuel-grade CNG from landfill gas, further encouraging the development of these types of projects across China," Hall noted.

Commissioning and start-up of this plant is expected to take place in the first quarter of 2011. Terms of the agreement were not disclosed.

About Xebec Adsorption Inc.

Xebec Adsorption Inc. is a global provider of clean energy solutions to corporations and governments looking to reduce their carbon footprints. With more than 1300 customers worldwide, Xebec designs, engineers and manufactures innovative products that transform raw gases into marketable sources of clean energy. Xebec's strategy is focused on establishing leadership positions in markets where demand for biogas upgrading, natural gas dehydration and hydrogen purification is growing. Headquartered in Montreal (QC), Xebec is a global company with two state-of-the-art manufacturing facilities in Montreal and Shanghai, an R&D facility in Vancouver (BC) as well as a sales and distribution network in North America, Asia and Europe. Xebec trades on the TSX under the symbol XBC. For additional information on the company and its products and services, please visit the Xebec web site at www.xebecinc.com.

Caution Concerning Forward-Looking Statements

Certain statements in this press release may constitute "forward-looking" statements within the meaning of applicable securities laws. This forward looking information includes, but is not limited to, the expectations and/or claims of management of Xebec with respect to information regarding the business, operations and financial condition of Xebec. Forward-looking information contained in this press release involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Xebec or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. This list is not exhaustive of the factors that may affect forward-looking information contained in this press release. When used in this press release, such statements use such words as "anticipate", "believe", "plan", "estimate", "expect", "intend", "may", "will" and other similar terminology. These statements reflect current expectations regarding future events and operating performance and speak only as of the date of this presentation. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements.

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For further information: Kurt Sorschak, President and Chief Executive Officer, 450-979-8701, [email protected]; Ginette Gagné, Vice President, Finance and CFO, 450-979-8721, [email protected]; Andrew G. Hall, VP, Asia Pacific Operations, [phone], [email protected]