Delta-Omega Technologies, Inc. Receives Initial Purchase Order for New Demil Technology Process.

LAFAYETTE, La.--(BUSINESS WIRE)--Aug. 5, 1998. Delta-Omega Technologies, Inc. (OTC: symbol DOTK) in conjunction with Gradient Technologies, Navarre, MN, today announced the award of $97,000 for Phase One of a $1.67 million demilitarization contract from the Crane Division of the Naval Surface Warfare Center. The contract is to develop and demonstrate a mobile system capable of producing higher order commercial products from ammonium picrate. Ammonium picrate, commonly known as Explosive D, is a major propellant for conventional ordnance.

In the Phase One research effort Delta-Omega and Gradient will validate the proprietary technology, that has been licensed to Delta-Omega, for converting unwanted excess explosives to high value added specialty chemicals. The technology is notably efficient and is capable of producing multiple derivative products from the ammonium picrate feedstock while generating virtually no waste products. The "follow-up," or Phase Two, contract is with respect to a commercial demonstration of this technology to convert 1 million pounds of ammonium picrate to picric acid and/or other derivatives.

L. G. Schafran, Delta-Omega's Chairman said, "This is the first of a family of proprietary processes that are currently being developed by Delta-Omega and Gradient to convert ammonium picrate, TNT and other unwanted surplus ordnance to specialty chemicals."

Delta-Omega is a performance chemical company involved in the research, development and manufacturing of environmentally safe products that have applications in soil remediation, the recycling of the constituent elements of spent oil-based drilling mud, commercial, military and industrial cleaning, firefighting and emergency response. These products replace many hazardous, flammable, toxic and ozone depleting chemicals in specific applications for commercial, military and Industrial users.

Safe Harbor Statement:

Any statements contained in this release that relate to future plans, events or performance are forward-looking statements that involve risks and uncertainties, including, but not limited to, risks of product non-approval or product development and market acceptance risks, the impact of competitive products and pricing, the results of current and future licensing and other collaborative relationships, the results of financing efforts, developments regarding intellectual property rights and litigation, and other risks identified in the Company's Securities and Exchange Commission filings. Actual results, events or performance may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to release publicly the results of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

CONTACT: Delta-Omega Technologies Inc.

L. G. Schafran or D. Andrew Gordon, 800/717-9922