Xebec Adsorption Inc.
TSX : XBC

Xebec Adsorption Inc.

June 09, 2010 17:00 ET

Xebec Announces Order for Natural Gas Upgrading System in Indonesia

MONTREAL, QUEBEC--(Marketwire - June 9, 2010) - Xebec Adsorption Inc. (TSX:XBC) ("Xebec"), a provider of biogas upgrading, natural gas and hydrogen purification solutions for the clean energy market, announced today that it has received an order for a M-3200 Pressure Swing Adsorption ("PSA") system to upgrade natural gas at a chemical plant located in Cikampek, Indonesia.

Xebec's PSA was purchased by PT Indo Raya Kimia, a leading producer of carbon disulphide ("CS2") in Asia Pacific. Xebec's PSA will upgrade lower quality natural gas used as a feed stock in the production of CS2.

"This is Xebec's first sale of an M-3200 PSA for natural gas upgrading in South East Asia, following our successful installations at both offshore and on-shore gas processing facilities in California. We aim to build on this first project in Indonesia to expand our PSA sales in the gas process market across South East Asia," said Andrew Hall, Xebec Vice President for Asia/Pacific.

"In many countries in South East Asia, including Indonesia, the quality of commercial natural gas is quite variable, and gas supplies can be contaminated with carbon dioxide as new lower-quality gas wells and fields are brought on stream. Xebec's M-3200 PSA is a compact, reliable and cost effective solution to remove carbon dioxide from sub-quality natural gas, increasing the methane content to meet the stringent specifications required by industrial consumers of natural gas. In this specific application, Xebec's PSA will assist our customer to increase the productivity and reduce the maintenance downtime of their CS2 synthesis process," said Hall.

Commissioning and start-up of the M-3200 PSA is expected to take place in the first quarter of 2011. Terms of the agreement were not disclosed.

About the Xebec M-3200

Xebec's M-3200 purifies methane-containing gas streams to high purity methane, removing contaminants such as CO2, water vapor and C2+ hydrocarbons. Xebec's PSA process and proprietary rotary valve technology deliver higher efficiency than conventional PSA systems in a more compact, reliable and cost-effective package. Xebec's rotary valve PSA is installed at offshore and onshore natural gas processing installations in California. The M-3200 system can upgrade up to 10 million cubic feet of feed gas per day.

About Xebec Adsorption Inc.

Xebec Adsorption Inc. is a global provider of clean energy solutions to corporations and governments looking to reduce their carbon footprints. With more than 1300 customers worldwide, Xebec designs, engineers and manufactures innovative products that transform raw gases into marketable sources of clean energy. Xebec's strategy is focused on establishing leadership positions in markets where demand for biogas upgrading, natural gas dehydration and hydrogen purification is growing. Headquartered in Montreal (QC), Xebec is a global company with two state-of-the-art manufacturing facilities in Montreal and Shanghai, an R&D facility in Vancouver (BC) as well as a sales and distribution network in North America, Asia and Europe. Xebec trades on the TSX under the symbol XBC. For additional information on the company and its products and services, please visit the Xebec web site at www.xebecinc.com.

Caution Concerning Forward-Looking Statements

Certain statements in this press release may constitute "forward-looking" statements within the meaning of applicable securities laws. This forward looking information includes, but is not limited to, the expectations and/or claims of management of Xebec with respect to information regarding the business, operations and financial condition of Xebec. Forward-looking information contained in this press release involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Xebec or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. This list is not exhaustive of the factors that may affect forward-looking information contained in this press release. When used in this press release, such statements use such words as "anticipate", "believe", "plan", "estimate", "expect", "intend", "may", "will" and other similar terminology. These statements reflect current expectations regarding future events and operating performance and speak only as of the date of this presentation. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward- looking statements.

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