Environmental Safeguards Completes Financing Arrangement

new.stockwatch.com 2003-03-20 14:10 ET - News Release

HOUSTON, March 20 /PRNewswire-FirstCall/ -- Environmental Safeguards, Inc. (BULLETIN BOARD: ELSF) said today that it completed the implementation of its financing arrangement with a private investor group.

The $1,500,000 loan is payable in equal quarterly principal payments plus interest and matures in May, 2008. The loan has an interest rate of 12%. Warrants for the purchase of 1,500,000 shares of the company's common stock at $0.01 were issued in connection with this transaction.

The Company said that the proceeds of the financing would be used for working capital in its expanding environmental cleanup and recycling operations and for other corporate purposes.

In an unrelated matter, Environmental Safeguards noted that it generally responds to bids in the normal course of business, and that it currently has numerous bids for cleanup outstanding, including several bids for equipment to be used in oilfield operations in the Middle East. The Company emphasized, however, that it is currently not operating in the region, nor has it received any response from the US Government or private concerns to whom bids have been submitted.

The Company's patented ITD technology uses a heat jacketed rotating chamber that vaporizes hydro-carbons and hydrocarbon derivatives from contaminated materials, and a condenser that liquefies the vapor into hydrocarbon liquids of better than 99% purity, for reuse. A single ITD unit can process one to 10 short tons of waste per hour, depending on its content. In addition to the United States, soil remediation and hydrocarbon recycling operations have been successfully conducted in Mexico, Colombia, Venezuela, Scotland and the U.A.E. The Company has processed more than 750,000 tons of contaminated waste, recovering in excess of 15 million gallons of hydrocarbon fluids. More information on Environmental Safeguards and its subsidiary, OnSite Technology, can be found at www.onsite2.com .

The Forward Looking Statements or Projections contained herewith involve risks and uncertainties which could cause actual results or outcomes to differ materially from those expressed and, accordingly, should be read in conjunction with the Company's 10-K for the year ended December 31, 2001, with particular reference to Information Regarding and Factors Affecting Forward Looking Statements in the Management Discussion and Analysis of Financial Condition and Results of Operations.

Environmental Safeguards, Inc. CONTACT: James S. Percell, Chairman and President of Environmental Safeguards, Inc., +1-713-641-3838

Web site: www.onsite2.com