Conporec Inc.

Conporec Inc.

March 01, 2006 10:59 ET

Negotiations continue with AEK to finalize private placement

SOREL-TRACY, Feb. 28 - Jean Beaudoin, President and CEO of
Conporec Inc. (TSX VENTURE:CNP) has announced today that negotiations
continue with Amsterdams Effectenkantoor B.V. (AEK) regarding a private
placement previously reported in press releases dated January 10th and
23rd, 2006. In effect, Mr. Beaudoin said that "Mr. Yvon Lévesque, who has just
joined Conporec's Management Team as Vice President of Finance, will examine
closely Conporec's financing strategy including the financing offer from AEK".

AEK offered to invest, via a private placement, $1.5 million in equity
and create a line of equity investments in the Company for a total amount of
$30 million, subject the terms and conditions already provided in the press
release date January 10th, 2006.

Furthermore, as a result of Mr. Lévesque's appointment and with the aim
of finalizing the administrative organization structure of Conporec,
Mr. Lévesque will also act as corporate secretary of Conporec replacing
Mr. Beaudoin who was the acting corporate secretary on an interim basis.

About Conporec

Conporec Inc. treats and recycles municipal solid waste through a
patented composting and sorting technology. This process reduces the need for
landfill disposal by treating 100% of the organic content contained in solid
waste, thus reusing and recycling up to 75% of the original waste mass. In
addition, the technology helps to reduce greenhouse gases that are typically
released through the decomposition of garbage in landfills. The company has
successfully operated a plant in Sorel-Tracy, Quebec for 13 years and recently
began start up of a second facility in New York State (United States). A third
facility is currently under construction in France near Paris. Through Biomax
Inc., a Conporec subsidiary, the company has also delivered some thirty
different composting facilities that have the capacity to produce more than
300 000 tons of compost annually. Conporec Inc. is a socially responsible
organization listed on the TSX Venture Exchange.

The statements in this release and oral statements made by
representatives of Conporec inc. relating to matters that are not historical
facts (including, without limitation, those regarding the timing or outcome of
any financing undertaken by Conporec) are forward-looking statements that
involve certain risks, uncertainties and hypotheses, including, but not
limited to, general business and economic conditions, the condition of the
financial markets, the ability of Conporec to obtain financing on favourable
terms and other risks and uncertainties.

Contact Information

  • Jean Beaudoin, President and CEO,
    (450) 449-9949, Source: Conporec Inc.,