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Hardide PLC (HDD)

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Friday 26 October, 2007

Hardide PLC

Gas Supply Agreement

Hardide PLC
26 October 2007



Press Release                                                    26 October 2007


                                  Hardide plc

                  ('Hardide' or 'the Company' or 'the Group')

              Hardide secures global gas supply agreement with BOC


Hardide plc (AIM:HDD), the provider of unique surface engineering technology, is
pleased to announce that it has negotiated a global supply agreement with
leading gases company BOC. The agreement will ensure the security and quality
of supply of tungsten hexafluoride, the Group's most expensive and prolifically
used raw material, at a significantly reduced price.

The global supply agreement will last from 1 December 2007 to 1 December 2010,
with the Company possessing an option to extend the agreement by a further two
years to 1 December 2012. The Hardide plc Board estimates the contract will
save the Group a minimum of £600,000 over the first three years.

The deal, which is the result of eighteen months of negotiation and testing of
supply, will also significantly reduce the Group's working capital requirement
while securing continuity of supply of the exact purity of gas required at the
Group's manufacturing plants in both the UK and US. The deal also includes all
future Hardide production facilities.

BOC, a member of The Linde Group, will hold strategic stocks of tungsten
hexafluoride on a five day lead time and will also supply Hardide with other
speciality gases used in the manufacturing process at significantly reduced
rates.

Tungsten hexafluoride is one of the key gases used in the chemical vapour
deposition (CVD) process that produces the unique tungsten carbide-based
component coating which Hardide has developed for use in high wear industries
such as oil and gas, and aerospace.

Peter Davenport, Financial Director of Hardide plc, said:  'This is an excellent
deal for the Group as this contract gives us security and continuity of supply
of such a strategically critical raw material.  BOC listened carefully to our
requirements and worked hard to develop a favourable solution.'

Martin Teller, Sales and Marketing Manager for BOC commented:  'We are delighted
at working with such an innovative company as Hardide, and we look forward to
serving their growing requirement for this important raw material.'


                                      Ends



For further information:

Hardide plc
Jim Murray Smith, Chief Executive /                  Tel: +44 (0) 1869 353 830

Jackie Robinson, Head of Communications
jmurray-smith@hardide.com                                      www.hardide.com


Seymour Pierce
Nicola Marrin                                        Tel: +44 (0) 20 7107 8000



Media enquiries:
Abchurch
Chris Lane / George Parker                           Tel: +44 (0) 20 7398 7700
chris.lane@abchurch-group.com                           www.abchurch-group.com





Notes to editors:

Hardide Coatings

Hardide provides and applies tungsten carbide-based coatings to a wide range of
engineering components.  The Company's patented technology is unique in that it
combines both abrasion and corrosion resistant properties in one coating.  When
applied to components, the technology is proven to offer dramatic cost savings
through reduced downtime and extended component life.  Customers include leading
companies operating in oil and gas exploration and production, valve and pumps
manufacturing, general engineering and aerospace.


BOC

BOC is a member of The Linde Group. An industrial and speciality gases provider,
the company supplies compressed and bulk gases, chemicals and equipment. In
fiscal year 2005, BOC achieved sales of approximately €5 billion.

For more than a century the company's gases and expertise have contributed to
advances in many industries and aspects of everyday life, including steelmaking,
refining, chemical processing, environmental protection, wastewater treatment,
welding and cutting, food processing and distribution, glass production,
electronics and health care. For more information, visit BOC www.boc-gases.com.


The Linde Group

The Linde Group is a world leading industrial gases and engineering company with
49,000 employees working in around 70 countries worldwide. Following the
acquisition of The BOC Group the company has gases and engineering sales of
approximately €12 billion. The strategy of The Linde Group is geared towards
earnings-based growth and focuses on the expansion of its international business
with forward-looking products and services. For more information, visit
www.Linde.com




                      This information is provided by RNS
            The company news service from the London Stock Exchange