ALANCO Environmental Manufacturing awarded major contract.

SCOTTSDALE, Ariz.--(BUSINESS WIRE)--April 1, 1997--

Dust control in world's largest fiberboard plant

Alanco Environmental Resources Corp. (NASDAQ:ALAN) Tuesday announced its wholly owned subsidiary, Alanco Environmental Manufacturing Inc., has been awarded a major dust control contract for the world's largest fiberboard plant, currently under construction in Eldorado, Ark.

In a contract valued in excess of $600,000, Alanco will provide the Del-Tin Fiber, LLC Medium Density Fiberboard Plant with 13 state-of-the-art RLP cartridge filters for capturing wood dust in the processing plant. The Alanco filters will process and clean approximately 436,000 cubic feet of air per minute.

Alanco Environmental Manufacturing Inc. President Ron Krebs said, "We are proud to be a part of this world class project and attribute our participation to our demonstrated ability to perform, as well as our engineering expertise, application knowledge and reputation for service."

Del-Tin is a joint venture between Deltic Timber Corp. and Temple Inland Forest Products Corp. Deltic Timber owns about 350,000 acres of southern yellow pine in Arkansas and Louisiana, while Temple Inland owns and operates wood processing plants throughout the United States. The Del-Tin joint venture will have an annual capacity of 150 million square feet of medium density fiberboard, and will begin production in early 1998.

Alanco Environmental Manufacturing Inc., located in Falls City, Neb., designs and manufactures industrial air pollution control filters for nuisance or hazardous dusts and associated peripheral equipment, as well as agricultural aeration and drying equipment and systems, and pneumatic conveying packages and systems to handle bulk commodities. The company also offers custom design and fabrication of specialized equipment.

CONTACT: Alanco Investor Relations, 602/607-1010