Advanced Recycling Sciences Inc. Announces Launch of Tires2Oil Development in Germany; Patented Technology Creates Advancements in Scrap Tire Recycling.

Business Editors

TUSTIN, Calif.--(BUSINESS WIRE)--Jan. 31, 2002

Advanced Recycling Sciences Inc. ("ARS")(OTCBB:ARYC), a leader in the field of acquiring and marketing innovative products and technologies to solve scrap tires problems, announced the signing of a Memorandum of Understanding with German Environmental Investment firm N.E.W. (Natur-Energie-Wertstoffrecycling) Umwelt AG, Munich (www.new-umwelt.de), for the development of the ARS Tires2Oil(TM) technology in Germany.

Dr. Erich W. Merkle, N.E.W. managing director, stated: "The arrangement will allow N.E.W. to pursue several investment opportunities in Germany to facilitate the building of a full scale state-of-the-art Tires2Oil(TM)plant, which is anticipated during the second half of next year."

The N.E.W. Umwelt AG, a leading investment company in Germany in the area of environmental technology, is focused on investments in recycling technologies. They are a lead investor HASOPOR AG, a company producing "foam glass" out of waste glass including light bulbs and fluorescent tubes.

N.E.W. Umwelt AG is in negotiations with ARS to acquire a 5% share in the new industrial venture in Penkun, Germany where a state-of-the-art rubber recycling facility will be established.

In the Tires2Oil(TM) process, scrap tires are shredded and granulated and the steel and fabric used in the tires is removed. The resulting crumb rubber is processed in a hydrocarbon-based solvent at a thermodynamically critical condition to depolymerize the crumb rubber and allow for recovery of oil and carbon black.

Incorporating a purification system to remove sulfur and zinc from the oil and carbon black, it is anticipated that the Tires2Oil(TM) process will produce a premium grade No. 2 crude oil with less than 15-PPM sulfur content.

ARS believes the purified carbon black will be suitable for activated carbon production. The mixture of oil, carbon black with sulfur, zinc and silica will be ideally suitable to produce new tires and other rubber products.

Annually, 1 billion scrap tires are produced worldwide. The company knows of no known environmentally clean system that recovers the quality materials, which can be used for high value applications. The Tires2Oil(TM) process provides an economical and practical solution to fulfill this window of opportunity.

The Tires2Oil(TM) process can also handle plastic waste, solving another major environmental problem.

Advanced Recycling Sciences provides solutions to alleviate the worldwide environmental dilemma of scrap tires and industrial rubber waste. Through acquisition and development of new technologies, ARS is focused on establishing itself as a leader in the worldwide environmental technology and crumb rubber modified asphalt-paving arenas.

By continually expanding core activities, the company intends to create compelling applications to generate worldwide demand for its products. As an example, the acquisition of a worldwide exclusive license for the ground surface applications of a revolutionary ice adhesion modification system has potential applications in de-icing driveways, bridges, roadways and airport runways.

For more information on Advanced Recycling Sciences, visit the corporate Web site at www.arsciences.com.

No stock exchange or Securities Commission has approved nor disapproved the statements in this release. Any statements that are not strictly historical are "forward-looking statements" made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 and within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Although the company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. These statements are subject to a number of risks and uncertainties that may affect actual events or results materially. These include, but are not limited to the company's ability to obtain adequate financing to further its current and future business strategies; the company's historical lack of profitability; the effects of business and economic conditions generally; and, other risks associated with a development stage company. All such forward-looking statements, whether written or oral, and whether made by or on behalf of the company are expressly qualified by these cautionary statements. In addition, the company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.