EFTA01115194.pdf

& ProSep Together, creating pure oil, gas and water. SELECTED PRESS RELEASES The press releases featured below are excerpts. For the complete versions, please visit the News and Investor Center section of ProSep's website (www.prosep.com). PROSEP AWARDED $5.5 MILLION GAS TREATMENT CONTRACT MONTREAL, QUEBEC - February 14, 2011- ProSep announced it was awarded a $5.5 million contract to provide a gas dehydration system to a super major international oil and gas producer operating in the South China Sea. This system will be installed on an offshore field being redeveloped using enhanced oil recovery ("EOR") technology to extend its production life. Delivery is scheduled for the first quarter of 2012. PROSEP AWARDED $9 MILLION GAS TREATMENT CONTRACT MONTREAL, QUEBEC - February 3, 2011 - ProSep announced it was awarded a $9 million contract to provide an additional gas membrane system to a large independent North-American customer. This new system is designed to treat higher gas volumes and inlet CO2 content. Delivery is scheduled mid-2011. PROSEP PURSUES JOINT DEVELOPMENT OF PROPRIETARY GAS DEHYDRATION TECHNOLOGY - Receives additional funding to pursue Phase IV pilot testing of ProDry with JIP partners Total, Statoil and ConocoPhillips - MONTREAL, QUEBEC - December 23, 2010-ProSep announced it was awarded additional funding to pursue the development of its proprietary gas dehydration technology "ProDry" under a Joint Industry Project (JIP) carried-out with Total, Statoil and ConocoPhillips. The JIP partners together with The Research Council of Norway provided additional funding of approximately $0.4 million (CAD) to pursue a Phase IV pilot testing project, an extension of Phase III announced on May 28, 2009. After successful performance testing at Total's gas processing plant in Lussagnet (France), JIP partners agreed to extend testing to identify scale-up capacity, performance and operational robustness of the ProDry. Phase IV development is expected to conclude in the second quarter of 2011. EFTA01115194 PROSEP CONCLUDES PARTNERSHIP WITH LARGE KOREAN DIVERSIFIED GROUP - Secures $2 million financing to fund this venture - MONTREAL, QUEBEC — December 8, 2010 - ProSep announced that it expects to enter into, within the next week, a Joint Venture Agreement with the chairman and controlling shareholder of Kolon Group, a large South-Korea-based integrated construction, chemical and advanced materials company and Korea's largest water treatment group. Operating under the name of ProSep Kolon Company Limited ("ProSep Kolon"), this new joint venture initiative will commercialize ProSep's process solutions to the growing Korean and Chinese oil and gas supply industries. PROSEP CONCLUDES MILESTONE AGREEMENT IN SAUDI ARABIA MONTREAL, QUEBEC - November 29, 2010 - ProSep announced it has signed a collaboration agreement with Bandariyah International Group, a leading supplier to the Saudi Arabian oil & gas and petrochemical industries. This agreement will provide ProSep with a strong local partner to support the Company with its marketing, sales and after sales activities for its produced water, oil and gas treatment technologies in the region. PROSEP REPORTS 2010 THIRD QUARTER FINANCIAL RESULTS MONTREAL, QUEBEC - November 11, 2010 - ProSep announced its financial results for the three and nine- month periods ended September 30, 2010. All amounts are reported in Canadian dollars unless otherwise stated. Selected highlights of the quarter and subsequent events: Financial: • Revenues of $8.1 million, a decrease of 11% when compared to $9.2 million for the corresponding period of 2009. Year-to-date, revenues amount to $26.2 million, a 17% reduction from the $31.7 million generated during the first nine months of 2009. • Gross margin of $2 million (24% of revenues) compared to $2.7 million (29%) for the corresponding period of 2009. Year-to-date, gross margin stands at $7.1 million (27%) compared to $9.6 million (30%) for the same period last year. • Net loss of $1.5 million compared with a net loss of $3.4 million for the corresponding period of 2009. Year-to-date, net loss amounts to $3.2 million compared to $12.6 million for the same period last year. Included in the 2009 year-to date net losses were a $6.5 million goodwill impairment and debt conversion and settlement cost amounting to $2.1 million. Operational and corporate: • Announced approximately $11 million in new contracts during the quarter including the Company's first significant sale for the Canadian Oil Sands market. • Appointed two industry veterans to the Company's executive committee: o Douglas A. Campbell, P. Eng., M.B.A. was appointed Executive Vice President of Sales and Business Development. Mr. Campbell was previously Vice President Marketing and Business Development at NATCO Group where he was intimately involved in the group's international success until its acquisition by Cameron, a leading equipment supplier with over $5 billion in sales. EFTA01115195  o Parag P. Jhonsa was promoted to Executive Vice President Operations. Mr Jhonsa previously led the American business unit's engineering and operations teams. • Ranked for a second consecutive year among the Deloitte Technology Fast 50TM, received a third Green Fifteen award and ranked fourteenth fastest growing company in Deloitte's North American Fast 500 edition based on percentage of revenue growth over the last 5 years. • Sales backlog stood at $12.9 million on October 1, 2010, an increase of 32% from the last quarter. Subsequent to quarter-end, ProSep announced an additional US$1.5 million in new contracts. PROSEP ANNOUNCES NOMINATION OF TWO NEW EXECUTIVES MONTREAL, QUEBEC November 4, 2010 - ProSep announced the nomination of two new executives. Douglas A. Campbell P. Eng., M.B.A., as Executive Vice President of Sales and Business Development and Parag P. Jhonsa, as Executive Vice President Operations. PROSEP WILL SUPPLY $1.5 MILLION OF ADDITIONAL EQUIPMENT TO SOUTH AMERICAN CUSTOMER MONTREAL, QUEBEC October 7, 2010 - ProSep announced it will supply $1.5 million of additional equipment associated with a CO2 gas membrane treatment plant currently being delivered to a South American customer. Additional equipment includes the supply of spare gas membranes. PROSEP SIGNS $2 MILLION IN AFTER MARKET CONTRACTS MONTREAL, QUEBEC September 27, 2010 - ProSep announced it will supply $2 Million in after market services and spare parts to clients located in Kuwait and the United-States, for produced water and gas treatment systems. PROSEP RANKED SEVENTH FASTEST GROWING TECHNOLOGY COMPANY IN CANADA IN THE DELOITTE TECHNOLOGY FAST 50TM - ProSep also receives third consecutive Technology Green 15TM award - MONTREAL, QUEBEC September 23, 2010 - ProSep announced that it ranked for a second consecutive year among the Deloitte Technology Fast 50TM, a ranking of the 50 fastest growing technology companies in Canada, based on the percentage of revenue growth over five years. ProSep ranked seventh with a 10,203 percent revenue growth from 2005 to 2009. The Company also received for the third consecutive year, a Technology Green 15TM Award created in 2007 to showcase 15 Canadian companies that are leading the way to create major breakthroughs in the field of green technology. EFTA01115196 PROSEP SIGNS $2.4 MILLION (US) IN NEW CONTRACTS - High level of bidding activities and improving backlog - MONTREAL, QUEBEC - August 24, 2010 - ProSep announced that it has received new contracts in the United States, South America and Asia Pacific for a total of $2.4 million (US). EFTA01115197