CCGC Announces Debt Financing.

SIMCOE, Ontario--(BUSINESS WIRE)--June 17, 1996--CUSTOM CRYOGENIC(Alberta Stock Exchange: CR ) Custom Cryogenic Grinding Corporation (CCGC) today announced it has accepted an offer to finance in the amount of $4.5 million from First Treasury Financial Inc. in the form of a Senior Secured Term Loan Facility.

First Treasury is acting as trustee on behalf of a single lender. The terms and details of the agreement are currently being finalized, and are subject to the usual legal requirements. The transaction is expected to be concluded on or about June 28, 1996.

The proceeds of the financing will be used to consolidate CCGC's debt; to provide capital to purchase new production equipment and to supplement the company's working capital for 1996. "With the debt restructuring in place, we will be well-positioned to fund our planned expansion program for 1996," said Dan Heffernan, President and Chief Executive Officer.

Custom Cryogenic Grinding Corporation (CCGC) is a fully integrated and diversified Canadian reprocessing company which produces and sells a variety of compounds to processing and manufacturing industries around the world. CCGC also provides its customers with R&D and engineering services. The company is the leading North American manufacturer of cryogenically ground rubber and plastic powders produced by its unique proprietary system, which uses approximately 50 percent less nitrogen than conventional methods. CCGC provides a cost-effective, environmentally friendly alternative of waste handling versus the high transportation and landfill costs currently incurred by many industries. -0- (The Alberta Stock Exchange has neither approved nor disapproved this news release.)

CONTACT: Custom Cryogenic Grinding Corporation

Daniel Heffernan, 519/426-5544, Ext. 227

or

Custom Cryogenic Grinding Corporation

Lynda Kosalle, 519/426-5544, Ext. 225

or

Wertheim + Company

Anne Lachance, 416/594-1600, Ext. 225