Sancon Reprocess Waste Materials from Veolia Environment.

SHANGHAI, China -- Sancon Resources Recovery Inc (OTCBB:SRRY) a growing industrial waste recycling company with operations in China and Australia, today announced it will reprocess Expanded Polystyrene (EPS) waste materials from Veolia Environment Services (Collex) in Australia.

Veolia Environment (NYSE:VE) is a world leader in environmental services specializing in all facets of resources recovery, waste management, industrial cleaning and maintenance. Sancon will charge a fee for every bin filled with EPS waste materials delivered and reprocesses the waste materials for reuse by its manufacturing customers in China. Expanded Polystyrene or EPS is among the biggest commodity polymers produced in the world. EPS is used in applications such as thermal insulation board in buildings, lightweight fill in road building, packaging, cushioning of valuable goods and food packaging.

"We are pleased to be working with Veolia, the world leader in environmental services, to recycle as much EPS as possible," states Jack Chen, CEO of Sancon. "EPS waste can be recycled to make new foamed products, and can be melted and extruded to make compact polystyrene for items such as plant pots, coat hangers and wood substitutes or medium toughened polystyrene for products from which sheet or thermoformed articles can be made. As part of mixed plastic waste, EPS can be recycled to make fence posts and road signs ensuring plastic waste have a long and useful new life. Sancon working with world's leading companies strives to provide innovative waste management solutions for industrial plastic wastes and is very proud to help to reduce environmental impacts."

About Sancon Resources Recovery Inc

Sancon Resources Recovery, Inc. (OTCBB:SRRY) collects and processes industrial and commercial waste plastics and sells them to manufacturing customers in China. Sancon also trades in recycled plastics originated from countries such as the US, Japan, UK and Australia. The company's operating facilities are in Guangdong Province in China, Australia, and Hong Kong. Today, Sancon serves many industrial clients throughout Asia and Australia, and exports more than 25,000 tons of recycled industrial waste materials annually to its customers in China. The use of recycled materials is both environmentally friendly and an important part to lowering raw material costs. The high cost of raw materials resulting from high oil prices has created tremendous demand for recycled waste materials. For more information visit: www.sanconinc.com.

Forward-looking statements:

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