American Ecology Announces Pennsylvania Clean-Up Project Contract

BOISE, ID -- (MARKET WIRE) -- February 20, 2007 -- American Ecology Corporation (NASDAQ: ECOL) today announced that Molycorp, Inc. has awarded the Company a contract to transport and dispose of approximately 100,000 to 140,000 tons of contaminated soil from an environmental remediation project site in Washington, Pennsylvania. Waste shipments are expected to commence in the first quarter of 2007 and continue until project completion sometime in 2008.

"We are extremely proud that Molycorp has added American Ecology to its team for the Washington project," stated American Ecology President and Chief Executive Officer Stephen Romano. "The Molycorp award highlights our proven ability to deliver cost-effective on-site support, rail transportation and disposal services on complex environmental remediation projects. We believe our investments in rail infrastructure, the superior geology of our Idaho site as well as our outstanding regulatory record and customer service make us an excellent choice for companies looking to cost-effectively manage environmental risk."

The soil at the Pennsylvania remediation site, which contains very low levels of uranium and thorium, is being excavated in accordance with license requirements and remediation plans approved by the U.S. Nuclear Regulatory Commission. Under the terms of the contract, American Ecology will provide on-site logistics and radiation safety services, arrange transport of the material by rail from Pennsylvania to Idaho, and dispose of the material at its disposal site in the Owyhee desert near Grand View, Idaho.

About American Ecology Corporation

American Ecology Corporation, through its subsidiaries, provides radioactive, PCB, hazardous, and non-hazardous waste services to commercial and government customers throughout the United States, such as steel mills, medical and academic institutions, refineries, chemical manufacturing facilities and the nuclear power industry. Headquartered in Boise, Idaho, the Company is the oldest radioactive and hazardous waste services company in the United States.

This press release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995 that are based on our current expectations, beliefs and assumptions about the industry and markets in which American Ecology Corporation and its subsidiaries operate. Because such statements include risks and uncertainties, actual results may differ materially from what is expressed herein and no assurance can be given that the Company will receive estimated waste volumes from the Molycorp contract, meet its 2007 earnings estimates, or successfully execute its long-term growth strategy. For information on other factors that could cause actual results to differ materially from expectations, please refer to American Ecology Corporation's December 31, 2006 Annual Report on Form 10-K and other reports filed with the Securities and Exchange Commission. Many of the factors that will determine the Company's future results are beyond the ability of management to control or predict. Readers should not place undue reliance on forward-looking statements, which reflect management's views only as of the date such statements are made. The Company undertakes no obligation to revise or update any forward-looking statements, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise.

Contact Information: Contact: Alison Ziegler Cameron Associates (212) 554-5469 Email Contact