June 09, 2008 09:38 ET

Forterra Environmental Launches New Worm Tea Organic Soil Enrichment Product

- Development of new container delivery system extends worm tea product life, making it commercially viable - Timely introduction in Ontario market to meet demand for organic fertilizer products following pesticide ban - While cost-effective for customers, product offers Forterra excellent profit margin - Company working with potential commercial customers; expects to sign contracts within weeks with selected companies to sell worm tea in Ontario

TORONTO, ONTARIO--(Marketwire - June 9, 2008) - Forterra Environmental Corp. (TSX VENTURE:FTE), an emerging leader in the production and sale of premium organic soil enrichment products based on worm castings, today announced that it is launching the marketing and sales of Forterra Worm Castings Tea, focusing initially on markets in Ontario.

"We have developed a new system that can deliver Forterra Worm Castings Tea to users in an aerated container enabling them to realize the maximum benefits when deploying this soil enrichment product as a spray or soil drench," said Richard Denyes, President and Chief Operating Officer. "We expect this will make the worm castings tea product attractive to landscapers, golf courses, householders, and other users seeking entirely organic fertilizer solutions.

"The launching of this product in Ontario is particularly timely both because we are entering the peak season for the use of fertilizers and because of the pesticide ban that the province and municipalities are enforcing. We are working with commercial customers to show them how they can effectively apply the worm castings tea product and also expect to announce within weeks contracts with selected companies to sell this product in Ontario," Mr. Denyes added.

"We are establishing commercial and retail pricing for Forterra Worm Castings Tea that we believe will prove attractive to contractors, other commercial users, and householders," said Don Green, the company's Chairman and Chief Executive Officer.

"While price competitive, Forterra Worm Castings Tea also will yield an attractive profit margin for our company, significantly higher than we realize from our solid soil enrichment Worm Castings product. Current pricing models will give us a revenue of $96.00 a pound, which is much higher than the $0.55 -0.60 per pound currently for worm castings," Mr. Green said.

Scientific studies have confirmed that worm castings contain beneficial soil microorganisms. When brewed in highly oxygenated water, the soluble micronutrients and beneficial organic compounds are extracted, producing the worm castings tea. The tea must be used within three days of production for maximum effectiveness. Benefits and uses of worm castings tea include:

- yield increases, resistance to diseases and insect pests, improved drought tolerance, and enhanced crop quality;

- for setting blossoms, blooms or development of fruit and vegetables;

- quick recovery from lack of moisture, damage from wind, and poor foliage color;

- enrichment of soil structure (when used as a drench) and increased nutrient source when roots cannot provide enough nutrients for maximum yields;

- better use of water and soil to deliver needed nutrients and nourishment to plants throughout their life cycle;

- absolutely no toxins, pesticides or synthetic chemicals to harm plants or contaminate the water supply or environment in any way;

- safe around children, animals, and homes; and

- virtually odorless.

Forterra recently announced that its Toronto (Downsview) production plant has achieved an approximately 250 percent increase in its production rate from the level of two months ago. By the end of June, the company expects to be producing more than 25 tons of worm castings per week. In July, it plans to double this 100-tons-per-month output and expect to increase it again in August to 400 tons, then 800 tons in September, and so on.

The success that Forterra now is achieving with its breeding program for the red wiggler worms that produce the worm castings for its products provides the company with the ability to increase its production levels virtually exponentially. Forterra believes that it now is positioned as leader in the rapidly growing market for organic soil enhancement products.

About Forterra Environmental Corp.

Forterra manufactures and markets powerful and environmentally friendly soil enhancers, using worm castings, which boost fertility while restoring the soil with organic matter for sustainable, longer-term benefits, including stronger root growth, and drought and pest resistance. Forterra products contain only organic material. They are ideal for golf courses, sports fields, lawn care, parks, nurseries, orchards, and vineyards. Forterra produces commercial quantities of premium worm castings year round at its Toronto plant. Essentially, Forterra uses red wriggler worms to convert organic waste into vermicompost or worm castings. Worm castings contain micronutrients, which are required for healthy plant development. Worm castings also contain microbes, which increase the rate at which plants take up available macronutrients and micronutrients. Further information is available on the company's website at

Forward-Looking Statements

This news release contains forward-looking statements based on current expectations. These forward-looking statements entail various risks and uncertainties that could cause actual results to differ materially from those reflected in these forward-looking statements. Such statements are based on current expectations, are subject to a number of uncertainties and risks, and actual results may differ materially from those contained in such statements. These uncertainties and risks include, but are not limited to, availability of resources, competitive pressures, changes in market activity, and regulatory requirements. Risks and uncertainties about Forterra's business are more fully discussed in the company's disclosure materials, including its annual information form and MD&A, filed with the securities regulatory authorities in Canada. Forterra assumes no obligation to update any forward-looking statement or to update the reasons why actual results could differ from such statements.

The TSX Venture Exchange Inc. has neither approved nor disapproved of the contents of this news release.

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