October 10, 2005

Conporec to provide composting services for Toronto program

Conporec has signed a three-year, $12.5 million contract with the city of Toronto to provide transportation and processing of up to 35,000 tonnes per year of organic waste into compost. The contract, which stipulates a guaranteed minimum of 25,000 tonnes per year, includes an additional two-year option valued at $9.1 million. It comes just as North York is about to join Toronto's other districts in participating in the Green Bin program for source separation of organic wastes.

The company received the contract as a result of a successful pilot project, conducted with the city in 2004 to measure the performance of Conporec's technology as applied to source-separated organics. The technology proved effective from both an economic and environmental standpoint.

Conporec says the Toronto contract confirms the promising potential of the organic waste market, and will enable the company to expand its business base beyond the mixed solid waste market.

"This contract with the City of Toronto paves the way for similar agreements with municipalities in Canada looking to transform organic waste into a value-added and marketable product," said president and CEO Jean Beaudoin, who noted that the contract will be implemented at new premises using the technologies developed by Biomax, a newly-acquired company.

Conporec treats and reclaims municipal solid waste using a proprietary, patented technology. The company says its process can reduce landfilling by 75%, reclaim up to 100% of organic content and contribute to reducing greenhouse gas emissions. The resulting compost, which contains a very high level of organic matter, is then marketed for a wide range of uses, such as landscaping, agricultural and horticultural soil amendment, soil conservation and erosion control, closing of landfills, mining and sand pit sites, and as an absorbing material for contaminants.

Conporec has been operating a 35,000-tonne-per-year plant in Sorel-Tracy, Quebec for over ten years and last month completed construction of a new intensive treatment building at this location. The $2-million investment is intended to improve both equipment durability and daily operations at the facility, including odour control. The new treatment area has been designed and built to provide better processing efficiency and corrosion resistance. Specific improvements include new building material, an improved lighting system, enhanced compost turning equipment and upgraded odour control systems.

These upgrades were also incorporated into Conporec's second, 42,000-tonne-per-year facility, which just opened in New York State last month. A third plant, which will process 65,000 tonnes per year, is under construction in suburban Paris, France.

More information is available from Jean Beaudoin at Conporec, 450/449-9949, Web site www.conporec.com.

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