Diversified Industries Ltd.

Diversified Industries Ltd.
CFR Chemicals Inc.

CFR Chemicals Inc.

May 05, 2008 08:30 ET

Diversified Industries Ltd.: CFR Chemicals Expands Its Distribution and Sales Force

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 5, 2008) - Diversified Industries Ltd. ("Diversified") (TSX VENTURE:DVS) is pleased to announce that CFR Chemicals Inc. ("CFR") has expanded its market area into north eastern British Columbia by signing a distribution agreement with Troyer Ventures Ltd. (Troyer). Troyer is based in both Fort St. John and Fort Nelson, British Columbia and is a well established oil and gas service company with an excellent reputation. Troyer provides various chemical and production fluids handling services, tank, pressure, vacuum and steam truck services to the oil and gas markets. This is a significant move for CFR as it will allow rapid growth into a new area. North eastern British Columbia is a very active market with a strong demand for CFR's chemicals. It is anticipated that both locations will be operational by the middle of June 2008.

In addition, CFR has recently expanded its sales force by hiring Glenn Barre. Glenn brings with him extensive experience in chemical marketing to the Alberta market place and the company is very excited to have him as part of the team. Glenn is based out of the Red Deer office and will be handling the expansion of sales to eastern and southern parts of the province of Alberta. These areas are relatively untapped by the company and as a result significant growth is expected over the upcoming months and years.

Diversified and CFR President / CEO Darren Lamothe commented: "We continue our strategy of exploring new markets and expanding the products and services that we offer. The agreement with Troyer is an excellent example and establishes a presence and the means for CFR to expand into the north eastern British Columbia marketplace. Attracting and retaining quality individuals such as Glenn Barre within our organization is key to our ongoing strategy. The company is growing quickly and there are a lot of exciting opportunities for people who have strong sales and operational skills.

The company would like to take this time to formally welcome Troyer Ventures Ltd. as our exclusive distributor in north eastern British Columbia and Glenn Barre to our sales team. We extend our warmest wishes to them and for their success both personally and professionally."

Troyer Ventures Ltd. President Steve Troyer commented:

"We are very pleased to become a distributor for CFR products and services. Our knowledge of this market area combined with the extensive range of CFR chemicals and customer solutions makes this an excellent, strategic partnership. This is an exciting opportunity for both our companies to provide more complete services to our customers going forward."

CFR is a supplier of specialty chemical products primarily to the oil and gas industry. Additional services provided by CFR include custom blending, storage of chemical products and third party logistics. CFR's growth is generated from management's ability to capitalize on opportunities in the chemical market and to provide competitive advantages to its clients. An integral part of this strategy is an ongoing program in R & D of new and unique chemical products.

Diversified currently owns 50% of CFR Chemicals Inc. with the option to purchase the remaining 50%. For more information visit www.cfrchemicals.com.

On behalf of the Board of Directors:

Darren J. Lamothe, President/CEO

Statements made in this news release that relate to future plans, expectations, events or performances are forward-looking statements. Such statements involve risks and uncertainties and are based on current expectations. Consequently, actual results could differ materially from the expectations expressed in these forward-looking statements.

The TSX Venture Exchange has in no way passed upon the merits of the proposed acquisition and has neither approved nor disapproved the content of this press release.

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