June 12, 2006

Marsulex to install FGD system at 1,200 MW Texas power plant

TORONTO, ONT-Marsulex's power generation group has been awarded a contract by the Lower Colorado River Authority (LCRA) to install wet limestone-gypsum flue gas desulfurization (FGD) systems at its Fayette power project near La Grange, Texas. Marsulex will supply technology, engineering and FGD equipment for Units 1 and 2 (each rated at 600 megawatts) to reduce sulfur dioxide and other air emissions. The contact is valued at more than $60 million (U.S.). Engineering will begin immediately, with delivery of components slated to start in June 2007. Substantial completion is expected in late 2008 for Unit 1 and in early 2009 for Unit 2. Marsulex president and CEO Laurie Tugman, said the win signals the re-entry of Marsulex into the U.S. FGD market. More information is available on the company's Web site, www.marsulex.com.

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