Basin Water Appoints Robert Gorgol to Run Industrial Services Business.

New business unit uses company's existing technologies+service business model and will target growing trend in manufacturing industries for outsourcing technology-based water and wastewater services

RANCHO CUCAMONGA, Calif. -- Basin Water Inc. (NASDAQ:BWTR) announced today that Mr. Robert Gorgol has been appointed Vice President of Industrial Operations and will head the newly-formed Industrial Services business of Basin Water, using the technology, process design expertise and customer base from its recent acquisition of Mobile Process Technologies, Co. to expand into systems and services for the industrial market.

Before joining Basin Water, Gorgol served as Vice President and General Manager of Process Solutions for Veolia Water North America - a leading provider of treatment services in both municipal and industrial applications. In this position, he was responsible for the complete P&L of the $40 million Process Solutions division of the company. He was also responsible for sales and engineering integration of a number of outsourcing-services acquisitions made by Veolia and predecessor company United States Filter Operating Services (USFOS), as well as new technology acquisition and licensing for the industrial services market.

In his new role, Mr. Gorgol is expected to oversee the integration of the MPT business into Basin Water and be responsible for the formation and direction of the Industrial Services offering of the company. Key aspects of the new Industrial Services business of Basin Water will include process development and engineering, waste stream elimination, resource recovery, and groundwater remediation. The new business unit will function with the same technology+services model that has characterized Basin Water's activities in the municipal drinking water market.

According to Stark, the addition of Gorgol to the Basin Water team brings management strength and vision to complement the MPT technology and process design expertise that comes as a part of the recent acquisition. "Bob Gorgol has more than two decades of experience in the development of sophisticated business and technology solutions for the industrial services market. He brings broad experience in industrial outsourcing activities including operations and maintenance, asset acquisition and design, build, own and operate projects. His experience also includes the acquisition of companies with specialized industrial services based on a technology strategy,' he said. "Bob's experience will help Basin Water develop the culture, the expertise and the project development skills that will make us successful in this market segment," he added.

Industrial Services business targets trends in manufacturing

The Basin Water business model of solution development - providing proprietary, customized technology on a service basis supported by a performance guarantee - has achieved acceptance in the municipal drinking water treatment industry. This same approach will now be applied to the needs of industrial companies wanting to enhance process efficiency without the risks of extensive capital outlay and technology development. The acquisition of MPT's resources represents a significant addition in chemical process and system design skills, while the appointment of Gorgol brings many benefits from his distinguished career developing and delivering a wide range of process solutions to a variety of industries.

According to Stark, the Basin Water approach to Industrial Services targets the trend in the manufacturing sector toward outsourcing activities to gain expertise, manage cost and ensure performance. "As businesses become more competitive on a global basis, it is increasingly important for them to optimize performance at the same time as they reduce costs," he stated. "This frequently calls for a more aggressive technological approach to such issues as waste reduction, process optimization and resource recovery. For many companies in the industrial sector, it simply makes good sense to outsource these complex process engineering needs to an expert group using a guaranteed-performance service model to deliver solutions," he said. "With the combination of MPT's superior process design capabilities and Basin's versatile, customer-friendly business model, we can immediately offer a high level of technology and services to a range of industries. The appointment of Bob Gorgol to coordinate this effort strongly underlines Basin's commitment in this respect," Stark continued.

Before his positions with Veolia North America and USFOS, Mr. Gorgol was a General Manager at Wheelabrator, Memtek and also spent over a decade in sales, marketing, project management and process engineering positions in the pulp and paper industry. He is married with three children, and currently resides in Humble, TX.

About Basin Water

Basin Water, Inc. is a provider of reliable, long-term process solutions for a range of clients, which includes designing, building and implementing systems for the treatment of contaminated groundwater as well as waste reduction and resource recovery. Basin Water employs treatment technologies including its own proprietary, scalable ion-exchange wellhead treatment system, along with a host of other treatment technologies designed to meet customer needs in an efficient, flexible and cost effective manner. Additional information may be found on the company's web site: www.basinwater.com.

Forward Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements, including expectations relating to future revenues and income, the company's ability to gain new business and control costs, involve risks and uncertainties, as well as assumptions that, if they prove incorrect or never materialize, could cause the results of the company to differ materially from those expressed or implied by such forward-looking statements. Actual results may differ materially from these expectations due to various risks and uncertainties, including: the company's ability to successfully integrate the operations of MPT and achieve expected synergies, the company's ability to increase revenues after the expected acquisition, the company's ability to expand into and compete in new markets, the company's limited operating history, significant operating losses associated with certain of the company's contracts, the company's ability to identify and consummate other acquisition opportunities that improve the company's revenues and profitability, significant fluctuations in its revenues from period to period, its ability to effectively manage its growth, the success of the company's strategic partners, its long sales cycles, market acceptance of its technology, the geographic concentration of its operations and customers, its ability to meet customer demands and compete technologically, the company's ability to protect its intellectual property, regulatory approvals of the company's systems, changes in governmental regulation that may affect the water industry, particularly with respect to environmental laws, the company's ability to attract and retain qualified personnel and management members and the company's ability to manage its capital to meet future liquidity needs and the timing of the company's stock repurchases, if any. More detailed information about these risks and uncertainties are contained in the company's filings with the Securities and Exchange Commission, including the company's Annual Report on Form 10-K for the year ended December 31, 2006 and subsequent Quarterly Reports on Form 10Q. The company assumes no obligation to update these forward-looking statements to reflect any change in future events.