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NEWS RELEASE

Enerkem Expands Executive Management Team

MONTREAL, Aug. 28 /CNW Telbec/ - Enerkem Inc., a leading second generation biofuels technology company, announced today the appointment of two new Vice-Presidents to its executive team: Mr. Denis Arguin, Vice-President, Engineering & Implementation and Mrs. Marie-Hélène Labrie, Vice-President, Government Affairs and Communications. "I am thrilled to add these seasoned executives to our management team," said Mr. Vincent Chornet, President and Chief Executive Officer of Enerkem.

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"They bring additional expertise to the company as we are growing our activities towards becoming a world leader in the emerging market of second generation transportation fuels." Denis Arguin, our Vice-President, Engineering & Implementation, has extensive expertise in petrochemicals and process engineering, as well as in implementing plants internationally.

Before joining Enerkem, Mr. Arguin was Director of Process Technology at Minerals Technologies Inc. (MTI) in Pennsylvania (USA), one of the world's largest producers of inorganic chemicals. Prior to that, he worked from Brussels as Director of European Operations in a division of MTI to develop their international business activities. He also held the position of Regional Manager for the Northeast Canada and U.S. region at Mintech Canada Inc. and worked for Montreal-based petrochemical companies, such as Kemtec, Union Carbide, and Gulf Oil Refinery Ltd. Mr. Arguin holds an Executive MBA and a Bachelor's Degree (B. Science) in Chemical Engineering. He will be based in Sherbrooke, Quebec, where he will be leading Enerkem's engineering team. Marie-Hélène Labrie, our Vice-President, Government Affairs and Communications, began her career working for the Government of Canada. She occupied roles in the Department of National Defense, Industry Canada, and Privy Council Office. She has also held the position of Director of Marketing and Strategic planning for CAE, a world leader in aviation simulation and training. In this position, she was responsible for marketing communications, strategic planning, market analyses, and competitive intelligence. Prior to joining Enerkem, she worked as a Strategy and Marketing Consultant for Enerkem and other companies. She holds a Master's Degree in International Business (M.Sc.) and a Bachelor's Degree in Business Administration (BBA). She will be based in our Montreal, Quebec head office.

About Enerkem ------------- Enerkem (www.enerkemweb.wpengine.com) is a leader in the development and production of next generation biofuels. The company is headquartered in Montreal, Quebec, and has engineering offices in Sherbrooke, Quebec. Enerkem's gasification, sequential gas conditioning and catalysis technology converts sorted municipal solid waste (MSW), as well as agricultural and forest residues into second generation ethanol and other advanced biofuels.

The company has a pilot plant in operation since 2003 and is currently building a commercial-scale cellulosic ethanol production plant in Westbury, Quebec. Enerkem will soon begin the construction of a third plant in Canada.

The MSW-to-ethanol plant will be located in Edmonton, Alberta. << /NOTE TO PHOTO EDITORS: A photo accompanying this release is available on the CNW Photo Network and archived at http://photos.newswire.ca. Additional archived images are also available on the CNW Photo Archive website at http://photos.newswire.ca. Images are free to accredited members of the media/ >>

Marie-Hélène Labrie, Vice-President, Government Affairs and Communications, Enerkem Inc., (514) 875-0284, x231, mlabrie@enerkem.com

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