Bri-Chem Continues to Build USA Infrastructure: Key Supply Arrangement Opens Ninth New Warehouse

EDMONTON, ALBERTA--(Marketwire - March 13, 2012) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

Bri-Chem Corp. ("Bri-Chem" or "Company") (TSX:BRY), a leading North American wholesale distributor and manufacturer of oil and gas drilling fluids, steel pipe and piping products is pleased to announce that it has established a wholesale drilling fluid supply arrangement with a rapidly growing Texas based drilling fluids engineering company. As part of the supply arrangement, Bri- Chem will take over and lease their drilling fluids warehouse located in Tyler, Texas, and assume its product distribution operations, employees and approximately one million dollars of drilling fluids inventory.

The addition of the Tyler, Texas warehouse further expands Bri-Chem's National distribution footprint in the USA wholesale drilling fluids market and provides coverage to service the Haynesville Shale, East Texas, Southeast Oklahoma and Northwest Louisiana oil and gas plays. The Tyler facility has approximately 12,000 square feet of warehousing space, offices and yard with a rail spur on the property which provides the ability to load and off load railcars to the warehouse. Bri-Chem now has a total of nine warehouse locations in the USA to service its growing National drilling fluids engineering customer base.

"This type of supply arrangement is essential in the evolution of becoming a National wholesaler of drilling fluids to key customers in the United States" commented Don Caron, Chief Executive Officer of Bri -Chem, "There is considerable opportunity to acquire new customer supply arrangements as we continue our aggressive expansion into strategically positioned fully stocked warehouse locations across the United States."

About Bri-Chem

Since our formation in 1985, Bri-Chem has established two primary segments of business through a combination of internal growth and acquisitions: Bri-Chem's Drilling Fluid Division is North America's largest independent wholesale supplier of drilling fluids for the oil and gas industry. We provide over 350 critical drilling fluid products, cementing, acidizing and stimulation additives from 25 strategically located warehouses throughout Canada and the United States; Bri-Chem's Steel Pipe Division is one of only two companies in North America that can manufacture and supply large diameter seamless steel pipe for the energy industry. Bri-Chem is the first company to introduce Thermal Pipe Expansion (TPE) and testing in North America. Additional information about Bri-Chem is available at www.sedar.com or at Bri-Chem's website at www.brichem.com.

Forward Looking Statements

Certain information set forth in this news release contains forward-looking statements or information ("forward-looking statements"), including statements which may contain words such as "could", "should", "expect", "anticipate", "believe", "will", and similar expressions and statements relating to matters that are not historical facts are forward looking statements. By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond the Company's control, including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, environmental risks, demand for oilfield services for drilling and completion of oil and natural gas wells; volatility in market prices for steel, oil, natural gas, and natural gas liquids and the effect of this volatility on the demand for oilfield services generally, competition from other industry participants, the lack of availability of qualified personnel or management, stock market volatility and the ability to access sufficient capital from internal and external sources. Although the Company believes that the expectations in our forward-looking statements are reasonable, our forward-looking statements have been based on factors and assumptions concerning future events which may prove to be inaccurate. Those factors and assumptions are based upon currently available information. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward looking information. As such, readers are cautioned not to place undue reliance on the forward looking information, as no assurance can be provided as to future results, levels of activity or achievements. The risks, uncertainties, material assumptions and other factors that could affect actual results are discussed in our Annual Information Form and other documents available at www.sedar.com. Furthermore, the forward-looking statements contained in this document are made as of the date of this document and, except as required by applicable law, the Company does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.

To receive Bri-Chem news updates send your email to ir@brichem.com.