Bri-Chem Receives Stage One Api Audit Approval for Steel Manufacturing Facility

EDMONTON, ALBERTA--(Marketwire - April 5, 2012) -

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Bri-Chem Corp. ("Bri-Chem" or "Company") (TSX EXCHANGE:BRY) a leading North American wholesale distributor and manufacturer of oil and gas drilling fluids and steel pipe is pleased to announce that its large diameter steel pipe manufacturing facility has received stage 1 audit approval from the American Petroleum Institute (API).

The stage 1 audit was performed onsite and the API auditor reviewed procedures, control features, internal audit reports, management review records, staff responsibilities and the facility layout. The onsite stage 2 audit will now be scheduled to verify the Company's conformance with API Spec Q1, 5L, ISO 9001, ISO/TS 29001. API will make the certification decision on the basis of an evaluation of the audit findings and conclusions, and evidence of effective implementation of corrective actions by the Company, if required.

Facility Update

Bri-Chem expanded it 1000^th pipe on February 28, 2012 and has successfully completed the installation of its upgraded in-line automated Eddy Current testing system implemented to enhance production testing efficiencies. The facility is currently operating one 12-hour shift four days per week utilizing two full production lines, and management anticipates adding an additional shift in late Q2 or early Q3 to increase production capacity for the balance of fiscal 2012.

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) 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.

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