Biome Tech Regulatory News (BIOM)

10th January 2012

Biome Technologies plc

("Biome" or "the Company")

Contract for RF Technologies Business

Biome Technologies is pleased to announce that its Stanelco RF Technologies division has signed a contract with Durapipe UK to develop a new and innovative portable induction welding system.

This new and innovative portable welding device will work with Durapipe's new plastic pipe system which contains a steel layer and consequently allows induction heating technology to be used. The welding equipment, developed by Stanelco RF, will allow installers in the field to join pipes and fittings quickly, cleanly and without the use of adhesives.

The development contract is expected to lead to a multi-year manufacture and supply contract with Stanelco RF Technologies with first deliveries of the equipment expected to commence in early 2013. Biome Technologies anticipates this project will generate revenues in excess of £2m over a three to four year period.

This new project represents further progress in Biome's stated aim of developing new, premium, innovative lines of profitable international business.

Paul Mines, Chief Executive, commented:

"This exciting project broadens the activities of our Stanelco RF division into a new industry sector and further underpins Biome's strategy. Alongside the progress Biome Bioplastics has delivered over the past 12 months, we remain well placed to deliver value for our shareholders"

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Notes to Editor:

Admitted to AIM in July 2010, the activities of Biome operate in two divisions; Biome Bioplastics and Stanelco RF Technologies. Both divisions are underpinned by the Group's skills in the commercialisation and development of innovative technology.

Stanelco RF is a specialist designer and manufacturer of induction and heating and welding equipment. It sells its products in a wide range of geographies, including China and India. Turnover increased by 118% in the 2 years to 31st December 2010.

The Group's strategy is to develop and broaden its bioplastics business organically and is engaged with a variety of large-scale international customers and partners on a number of key commercial and development partnerships. These target applications in the food, horticulture and the electronics markets, amongst others, further enhance the Group's existing and new product development.