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Virotec Intl Ld (VTI)

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Tuesday 23 May, 2006

Virotec Intl Ld

Co-operative agreement

Virotec International Ld
23 May 2006

                            VIROTEC INTERNATIONAL LTD

22 May 2006

 Virotec enters into Co-Operative Agreement with Italian Government Ministries

The directors of Virotec International Ltd (AIM: VTI) are pleased to advise that
Virotec Italia srl (its wholly owned subsidiary) has entered into a co-operative
agreement with the Italian Ministry of the Environment and the Italian Ministry
of Industry.

The general objective of the agreement is for the parties to work together to
maximise the opportunities that exist in Italy for the use of the Virotec's
range of products and services that have been developed from the BauxsolTM
platform Technology.

Specifically the aim of the agreement will be to -

• Develop suitable ways to apply the products more and more widely in 
  environmental remediation for the treatment of waters and soils, contaminated
  by metals and/or phosphates;
• Jointly promote 'agreements of program' and/or  'contracts of
  integrated programs', in the various regional situations for the remediation 
  of polluted areas; and
• Promote analysis of the life-cycle of the products and of its final
  destination, with the objective being to minimize the amount of waste going to
  disposal sites, with the purpose of achieving sustainability within the 
  targeted industries.

 Under the agreement: -

a. Eurallumina will provide the raw material;
b. Virotec will provide the BaseconTM process to be used to manufacture the
   products and reagents;
c. Virotec will also provide technical expertise and know-how for the
   application and implementation  of its products and services;
d. Terramatica is the local partner that will assist by providing sales
   and marketing expertise; and
e. The Government Ministries will provide assistance to ensure regulatory
   support for remediation projects.

The Executive Chairman, Brian Sheeran stated 'We are very pleased to be working
with the Italian Government and the associated parties as proposed in this
agreement of Co-operation. We have invested a lot of time in promoting our
products in Italy and with the government's endorsement and regulatory support
as evidenced by this agreement; we now look forward to growing the business in
this region'

In addition to entering into the above agreement, the directors are also pleased
to advise that Virotec has obtained a grant from the Sardinian Regional
Government of approximately €954,000, towards the cost of the construction of a
new production facility near the Eurallumina refinery.

The Executive Chairman, Brian Sheeran added 'This is a great initiative to
support industry in the area and we look forward to working within the Region.'

                           VIROTEC INTERNATIONAL LTD
                               ABN 81 004 801 398
                                   PO Box 188
                            Sanctuary Cove QLD 4212

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

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