CCGC RECEIVES $19.6 MILLION CONTRACT TO SUPPLY PERSTORP COMPONENTS THROUGH 1998.

SIMCOE, ONTARIO--(BUSINESS WIRE)--APRIL 27, 1995--CUSTOM CRYOGENIC (Alberta Stock Exchange:CR) Custom Cryogenic Grinding Corporation (CCGC) today announced it has signed an agreement to supply Perstorp Components (Canada) Inc., of Kitchener, Ontario with about 21 million pounds of cryogenically reprocessed PVC compounds per year for the next three and one half years. CCGC estimates that the supply agreement will generate revenues of about $5.6 million per year over the life of the contract.

"The signing of this contract reflects the evolution, and growth of our relationship with Perstorp Components during the past year when we supplied it with about nine million pounds of recycled PVC under a $2 million contract," said, Dan Heffernan, President and CEO of CCGC.

"This larger, longer-term contract with Perstorp Components confirms that the automotive industry is moving toward more recycled content in the manufacturing process of parts. We believe that this is definitely a rapidly growing trend and feel that CCGC is uniquely positioned to capitalize on this growing market. Perstorp is a large international manufacturer of automotive parts.

"In addition to this three and one half year agreement with Perstorp's Kitchener plant, CCGC currently is negotiating further supply agreements, similar in terms of volumes of materials, with Perstorp's plants in Tennessee and Mexico," said Mr. Heffernan.

"Because our business is growing at a rapid pace, and to ensure that this growth is managed adequately, we have made significant progress towards securing the expertise of additional key personnel. CCGC has hired Mr. Edward Terry, as Design/Project Engineer, and Mr. Robert Kover as Sales and Marketing Manager. Both individuals have extensive experience and will be instrumental as we roll out our new dedicated cell manufacturing approach, and ramp up towards more aggressive sales and marketing activities," Mr. Heffernan added.

"We are very pleased with CCGC's reliability and unique ability to process such high-quality materials. Our Kitchener, Ontario plant will use the CCGC materials in the production of our automobile noise attenuation systems. We are pleased to continue working with CCGC as our own production requirements continue to increase," said Mr. Greg Paupst, Vice President, of Perstorp Components (Canada), Inc.

Perstorp Components (Canada) Inc., is a subsidiary of Perstorp AB, a Swedish-based diversified chemical company. Total corporate sales exceed US$1 billion annually, with more than 7,500 employees working in 14 countries around the world.

Custom Cryogenic Grinding Corporation 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 as well as providing R&D and engineering services. The company is the leading North American manufacturer of cryogenically ground rubber and plastic powders due to 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-

NOTE: Custom Cryogenic Grinding Corp. has retained the consulting services of Wertheim & Company Inc., of Toronto, with respect to corporate and investor communications.

NOTE: The Alberta Stock exchange has neither approved nor disapproved the information contained herein.

CONTACT: Daniel Heffernan, President and C.E.O., 519/426-5544

Lynda Kosalle, Controller, [phone]

or

Anne Lachance, Wertheim & Company, [phone]