SOURCE: MSE Enviro-Tech Corp.

September 05, 2007 16:00 ET

MSE Enviro-Tech Corp. and Megola Inc. Sign Letter of Intent With WoodSmart Solutions, Inc. Regarding Hartindo AF21 Fire Inhibitor

BRENTWOOD, TN--(Marketwire - September 5, 2007) - MSE Enviro-Tech Corp. (PINKSHEETS: MEVT) is pleased to announce that it and AF21 supplier Megola have jointly signed a Letter Of Intent "LOI" with WoodSmart Solutions, Inc. to test the feasibility of incorporating the extraordinarily effective Hartindo AF21 Fire Inhibitor into WoodSmart's BluWood® treated wood products.

WoodSmart Solutions, Inc.'s BluWood® (http://www.bluwood.com)

In 2000, WoodSmart Solutions, Inc. embarked upon a plan to develop an innovative wood coating technology that would surpass all other wood treatment technologies in addressing what had become a mounting concern in construction of new residences: mold and moisture control associated with wood framing components.

Developed by a team of highly respected scientists under the direction of WoodSmart Solutions, Inc., headquartered in Boca Raton, Florida, the unparalleled success of WoodSmart's endeavor led to the trade marking of BluWood®, a family of products coated with a proprietary two-part Infusion Film and DOT (Disodium Octaborate Tetrahydrate) wood preservative technology. BluWood® components are coated at any one of a network of WoodSmart Solutions, Inc. authorized and licensed coating application facilities across the United States.

BluWood® components now provide the building industry with a new level of defense for protection of above ground, covered structure wood framing components against the costly, damaging effects of mold fungus growth; rot fungi and wood ingesting insects; as well as limiting moisture absorption, a key necessary element for mold growth. Numerous species of mold are now widely recognized as serious health hazards.

LOI HIGHLIGHTS

The highlights of the Letter Of Intent as they pertain to each Party are as follows:

WoodSmart Solutions, Inc. is interested in:

Exclusive use of the Hartindo Fire Inhibiting AF21 product ("AF21") including all subsequent improvements and modifications thereto, to use, apply and have sold for application to or protection of any wood based product(s) utilizing AF21 individually and/or in conjunction with BluWood® product to any wood based building product(s) or derivative product including but not limited to dimensional lumber, plywood, OSB (oriented strand board), EWP (engineered wood components), all millwork applications such as doors, windows, moldings and other related products in North America and to automatically include any additional territory for which MSE Enviro-Tech Corporation and/or Megola Inc obtain rights for the AF21 product.

MSE Enviro-Tech Corp. and Megola Inc. are interested in:

Supplying WoodSmart Solutions, Inc. with the AF21 fire inhibitor product on an exclusive basis for the Territory as described above with minimum guaranteed monthly and annual purchase commitments, beginning at such time as the required AF21 certifications have been obtained and application testing for the BluWood® and AF21 products when individually or jointly applied to the same wood products has been successfully completed.

In support of ongoing testing of the BluWood®/AF21 combination, the Parties have agreed to establish AF21 pricing and sales volumes commitments following Product Certification, and to provide the Purchaser with exclusive use of AF21 for use on wood products as described above.

"We look forward to working with MSE Enviro-Tech and Megola in bringing the combined proprietary technologies to the wood industry. The combination will establish a new benchmark for environmentally responsible performance in protecting wood from the costly effects of excessive moisture, mold fungus growth, rot fungi decay, wood ingesting insects and fire," states Charles A. Morando, President/CEO of WoodSmart Solutions, Inc.

Mike Robinson, CEO of MSE Enviro-Tech Corp., adds, "We view this opportunity as being the first among many opportunities that MSE Enviro-Tech and Megola will have to pursue together. We believe that AF21 has the potential to bring a major added advantage -- Fire Safety -- to WoodSmart's widely acclaimed BluWood® treated wood products. With initial product testing proving very encouraging, we are excited at the prospects of the Hartindo line of Anti-Fire products establishing themselves in the North American marketplace."

Environmentally Friendly Hartindo AF21

AF21 is a water-based, environmentally friendly, multi-purpose, non-toxic and non-corrosive fire inhibitor. As opposed to the numerous, and oftentimes toxic fire retardants on the market that simply delay the spread of fire, AF21 renders materials non-flammable, thereby preventing the spread of fire. It can be applied to all natural fibers and many synthetic materials. A few of the many applications include the treatment of furniture, carpet, clothing, mattresses and building materials, both onsite or during the manufacturing process, to completely eliminate the possibility of these materials catching fire.

Recent Testing

On August 29, 2007, MEVT announced that the Hartindo AF21 Fire Inhibitor fully met the requirements for the Class A Interior Wall and Ceiling Finish Category. In addition to this successful burn test, which was carried out on Douglas Fir, further burn tests are planned for other AF21-treated materials, including a variety of fabrics and textiles commonly found in houses and other buildings. For further details on AF21 Testing, see press release dated August 29th, 2007 (http://biz.yahoo.com/iw/070829/0296424.html)

MSE Enviro-Tech Corp.

MSE Enviro-Tech Corp. holds the United States Agency Rights to the exciting Hartindo line of products which will be manufactured and supplied by Megola Inc. in Canada. MSE intends to aggressively pursue market share through a nationwide marketing and distribution network that is currently being established. The product line presently includes the AF21 Fire Inhibitor, the AF11E 1:1 Halon replacement product and AF31 Fire Extinguishing product, the Titan 21 Fire Blanket, as well as the revolutionary rust converter and priming agent, Dectan.

For more information on MSE Enviro-Tech, please visit us at www.mseenviro-tech.com

For more information on Megola, Inc, please visit them at www.megola.com

In compliance with the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, MEVT notes that statements contained in this announcement that are not historical facts may be forward-looking statements that are subject to a variety of risks and uncertainties. Accordingly, MEVT wishes to caution readers of this announcement that its future actual results may differ materially from those that any forward-looking statements may imply. There is no assurance that the above-described events will be completed. There can be no assurance of the ability of the Company to achieve sales goals, obtain contracts or financing, consummate acquisitions or achieve profitability in the future.

Contact Information

  • Contact Information:
    Michael S. Robinson
    President & CEO
    MSE Enviro-Tech Corp
    mrobinson@mseenviro-tech.com
    www.mseenviro-tech.com

    MSE Enviro-tech Corp USA offices
    330 Franklin Rd
    Suite 135A
    Brentwood, TN 37027
    615.478.2322 (Cell)
    615.373.0472 (Fax)
    615.376.5601 (Office)