Daleco Resources Finalizes Agreement with PSNet Communications, Inc.

WEST CHESTER, Pa. -- Daleco Resources Corporation (OTC.BB:DLOV)

Dov Amir, Chairman of the Board and Chief Executive Officer, announced today that the Company has finalized an Asset Purchase & Sales Agreement P&S Agreement for the sales of its information technology holdings to PSNet Communications, Inc. (P.K.A. Data Base Control Systems Inc.) ("PSNet") located in Las Vegas, Nevada. Mr. Amir stated that the transaction with PSNet provides the Company with another opportunity to align itself with highly qualified individuals and to monetize another portion of its existing asset base. Under the P&S Agreement the Company will receive 3,000,000 shares and warrants to acquire an additional 15,000,000 share of PSNet common stock. The shares and warrants will be included in a registration statement currently being prepared by PSNet for filing with the Security and Exchange Commission. PSNet anticipates having the registration statement approved by the SEC in the first quarter of 2005.

Gary Novinskie, President of Daleco, stated that the transaction affords Daleco the opportunity to realize the untapped value that is imbedded in its information technology assets. He noted that the Company's plans to distribute a portion of the registered shares its receives to its common stock shareholders. This will allow the holders of Daleco's common stock opportunity to directly participate in the value proposition provided by PSNet and its growth opportunities. The Company's plan is to distribute approximately two million (2,000,000) "Units" consisting of one (1) share and a warrant to purchase five (5) shares of PSNet common as a special dividend to the Daleco common shareholders of record as of January 6, 2005.

Chad L. Sayers, Chief Executive Officer of PSNet, Inc. stated that transaction with Daleco represents an unique opportunity for his Company to capitalize on its extensive background in the development and commercial implementation of data mining and storage applications and wireless communication technologies. PSNet's core "crawl" technologies, patent pending ACT technology and its PLANet Navigator (TM) ("NAV") personal communication digital assistant ("PCDA") device provides a strong platform for the company's future within the domestic and international market place.

Daleco Resources Corporation is an international asset and technology aggregation and monetization company with operating subsidiaries active in oil and gas, timber, minerals and technology.

PSNet, Inc. is an information technology company focusing on data base management and wireless communication applications and hardware both domestically and Internationally.

Safe Harbor for Forward-Looking Statements: Except for historical information contained herein, the statements in this Press Release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause the Company's actual results in the future periods to differ materially from forecasted results. These risks and uncertainties include, among other things, product price volatility, product demand, market competition, risk inherent in the Company's domestic and international operations, imprecision in estimating product reserves and the Company's ability to replace and expand its holdings.