BLUE Industries Inc. Announces Joint Venture Agreement

Feb. 4, 2002

BLUE Industries, Inc. has signed a joint venture agreement with the company M.L.T.O. for the Middle East, North African countries and Iran.

M.L.T.O. is a company specialized in investments related to the treatment of water. The Doctor Mohammed S. Al Yamani, the president and founder of M.L.T.O, is a well-known investor in the sector of environment. Among other achievements, he has been in charge of important real estate developments and investments in Lebanon, Tunisia, and Egypt. Doctor Al Yamani also managed and supervised a $600 Million development project (development of Durrat Alrous) for which he realized shopping centers and tourist villages as well as 15 real estate projects for residential complexes.

Based on the strong experience of Doctor Al Yamani in the Middle East and North African market, M.L.T.O. will start the distribution of manufactured water treatment products of the BLUE Industries line. It will also manufacture under license the BLUE Industries products and will adapt the BLUE Industries technologies to the specific markets (governmental markets). The study, redesign and industrialization of the water treatment equipment is ensured by ALTRANS Technologies.

An exclusive contract of distribution allows M.L.T.O. to distribute its products in: Saudi Arabia, Yemen, E.A.U., Oman, Quatar, Bahreim, Irak, Syria, Lebanon, Jordan, Sudan, Egypt, Libya, Morocco, Tunisia and Algeria.

As a result of this agreement, 39 pieces of equipment (35 potabilization devices + 4 clarification units) have been already ordered to BLUE Industries, Inc.

Although many areas in the world face water scarcity problems, the Middle East -- North Africa region has the most severe situation. With about 5 percent of the world's population, it has less than 1 percent of the world's renewable freshwater. The new ministry of Saudi Arabia will set up a scheme under which private investors and industrial companies will be able to fund, undertake and operate water projects in the kingdom. The Jeddah Holding Company has requested a concession to provide water and sewerage services in Jeddah and plans to spend $6 billion by 2020 to expand distribution and collection networks and to build new treatment plants.

Source: Blue Industries Inc.