PIRACICABA, Brazil, December 3 /PRNewswire/ --     Dedini S/A Indústrias de Base and Vaperma Inc. signed a cooperation 
agreement to introduce Vaperma's Siftek(TM) dewatering and dehydration 
systems in Brazilian ethanol market. The agreement involves the construction 
of a first commercial plant in an operating ethanol plant in Brazil by Q3- 
2008.

This relationship was developed following many months of
collaboration between both Dedini and Vaperma to validate the technology and
its benefits to the Brazilian market. The application of Siftek(TM)
technology is especially beneficial for the Brazilian sugarcane to ethanol
producer as it provides a cost effective method for the alcohol production in
order to increase power production from the significant steam savings.
Vaperma has developed a breakthrough solution to remove water from ethanol
blends by entirely replacing rectification column and/or dehydration unit
such as molecular sieve and cyclohexane. Conventional alcohol distilleries
are known to consume huge amounts of steam which might be more wisely used to
produce additional revenue from the sale of bio-electricity.

"To find new technologies to improve the efficiency of the
transformation of sugarcane into ethanol is one of the great challenges for
maintaining Brazilian competitiveness in the international market," said Mr.
Jose Luiz Olivério, Senior VP Technology of Dedini. "Being the world's
largest producer of fuel alcohol from sugarcane, Brazil possesses cutting
edge technologies at the lowest manufacturing cost and is also the largest
exporter of fuel-grade ethanol".

"Vaperma's Siftek(TM) system is being tested successfully for
over a year in an operating corn-based ethanol plant in Canada and offers
Brazilian sugarcane ethanol producers an immediate return on investment with
additional bio-electricity revenues generated by the significant reduction of
steam consumption," said Claude Létourneau, President & CEO of Vaperma.

Dedini continues to evolve and expand as one of the leading
global technology providers in the ethanol market. This latest partnership
with Vaperma confirms Dedini's commitment to stay at the forefront on
innovation in the sugar/alcohol sector.

About Dedini

Dedini S/A Indústrias de Base manufactures parts, components,
equipment, complete plants and units for different market segments. With
headquarters in Piracicaba and units in Sertãozinho (SP), Maceió (AL) and
Recife (PE), the group was founded 86 years ago and is a world leader in the
supply of equipment and complete plants for the sugar/alcohol sector. At
present, the distilleries designed and set up by Dedini are responsible for
80 per cent of the national production of alcohol and around 25 per cent of
world production. The company has already furnished 120 complete factories,
at a rate of about 24 per year.

Dedini develops new technologies through research projects and
partnerships, to offer higher productivity and lower costs to its customers,
such as those of integrated biodiesel and ethanol factories and alcohol
distilleries.

The company's team of professionals is trained to offer a
variety of services, such as viability studies, initial process evaluations,
engineering projects, manufacture of equipment, supervision of assembly,
assembly and installation of industries in a variety of areas such as: sugar
and ethanol; foods, juices and drinks; biodiesel; cellulose and paper;
breweries; cement; energy and cogeneration; fertilizers; hydroelectrics;
mining and metallurgy; petroleum, gas and petrochemicals; chemicals and
effluent treatment.

Dedini today employs 4,800 staff and exports 10 per cent of
its turnover to 25 countries such as the United States, Jamaica, Mexico,
Canada and Sweden, among others.

http://www.dedini.com.br

About Vaperma

Vaperma is a Canadian company specializing in the development,
manufacturing and commercialization of a new hollow fiber polymeric
Siftek(TM) membrane allowing high selective separation of water from various
gas mixtures and organic vapors. Vaperma membranes are heat and solvent
resistant. Membrane technology offers an alternative to conventional alcohol
distilleries processes for the dewatering and dehydration of fuel ethanol.
Vaperma Siftek(TM) technology provides enhanced value to its customers'
products through higher performance and economic returns. Vaperma's growth
strategy is to focus on continuously improving its membrane separation
technologies to meet the broadest needs of its customers.

http://www.vaperma.com