SYSCAN INTERNATIONAL INC.
TSX VENTURE : SYA

SYSCAN INTERNATIONAL INC.

December 11, 2006 08:00 ET

Syscan Breaks Into South American Market

MONTREAL, QUEBEC--(CCNMatthews - Dec. 11, 2006) - Syscan International (TSX VENTURE:SYA) announced today that it has received orders for more than 200 of its market-leading LiveTrack RFID Readers bound for the Uruguayan agricultural market. The orders follow quickly on the heels of the mid-November certification of LiveTrack by the Sistema Nacional de Informacion Ganadera (SNIG) of Uruguay.

http://www.snig.gub.uy/portal/hgxpp001.aspx?2,1,119,O,S,0,MNU;E;28;6;51;9;MNU;

These orders constitute the first phase of a multi-phase program in Uruguay to implement the Sistema de Identificacion y Registro Animal (SIRA) that came into force on September 1st of this year and mandates full animal traceability.

Over the next three years Uruguay's entire cattle herd of over 12 million head will be outfitted with RFID tags and over 7,000 operators (including farmers, transporters, feed lot operators, and slaughterhouses) will be certified by SNIG and required to track the country's cattle electronically and file the data with a central government database.

The meat export market is a multibillion dollar industry that is a vital part of the overall South American economy, and Uruguay's share amounts to over a billion dollars. Neighbouring countries, such as Brazil (170 million head) and Argentina (52 million head) are expected to follow Uruguay's lead in order to protect their huge export-based cattle markets to both NAFTA and European Union countries. Following this initial success, Syscan is expanding its marketing efforts in concert with its new South American partners Urusys Ltda. and Terko Technologias.

Mr. Axel Striefler, President of Syscan, said, "Our entry into the South American market as part of Uruguay's SIRA mandate is extremely satisfying. The approval by SNIG was largely made possible by Urusys http://www.urusys.com.uy/ a domain expert in agri-food traceability and the developer of Shadow, South America's premier enabling software. Shadow combines the highest qualities of sophistication, breadth of information and user friendliness that we have seen anywhere. Last week's win of the National Uruguayan Arroba Excellence Award by Urusys demonstrates their excellence and sets the benchmark for best practices. Urusys' prestigious endorsement of LiveTrack, fuelled by its compatibility with Shadow, is accelerating our push into neighbouring South American export-based markets."

Terko Technologias http://www.terko.com.uy/ , a well known supplier of electronic solutions to the agricultural industry, will handle the marketing and distribution of Syscan's products in Uruguay.

About Syscan International Inc.

Syscan is a world class supply chain solution provider that delivers integrated real-time tracking and tracing systems that improve business efficiency through Radio Frequency Identification (RFID). Its standardized supply chain solutions include traceability, temperature monitoring and quality control methodologies for the food, pharmaceutical and military sectors. Shares of Syscan trade on the TSX Venture Exchange under the symbol SYA. There are approximately 39.4 million shares outstanding.

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