OAKDALE, Calif., May 31, 2006 (PRIMEZONE) -- Itec Environmental Group, Inc., (the "Company" or "Itec") (OTCBB:ITECE) announced today that it has begun recycling operations at its plant located in Riverbank, California. After three (3) months of extensive equipment and product testing as well as several successful trial runs of its patented Eco2(tm) plastic recycling system, the Riverbank plant has begun operating eight (8) hours a day, five (5) days a week, producing 14,300 pounds of recycled PET flakes per day. Assuming the Company continues to achieve these production levels, the Company will achieve positive cash flow on a month to month basis.
The Company expects to increase production to twenty-four (24) hours a day, seven (7) days per week over the next two (2) months and add additional capacity, increasing daily production to 19,100 pounds of recycled PET flakes per day.
Over the next eight (8) months, Itec expects to acquire and install additional equipment that will improve daily output to 198,000 pounds of recycled PET flakes per day. During this time, Itec also anticipates the installation of a pellet production system. The processing of the PET flakes into pellets will increase the overall value of the recycled product and generate greater universal return on the recycled PET sold by the Company. To date, the Company has approximately 160,000 lbs of PET flakes.
"This is a very exciting time for the Company. After 6 years of research and development, we have completed the design of the Eco2(tm) System. This system uses no water and produces acceptable and clean product with no negative environmental impact. The Eco2(tm) System has outperformed our expectations. Taking the time to do the trial runs has proven to be time well spent," stated Gary M. DeLaurentiis, Chief Executive Officer of Itec.
About the Company
Itec Environmental Group offers solutions to environmental problems faced by public agencies and private entities involved in the recycling of plastics. In a research partnership with Honeywell FM&T, Itec has developed and successfully commercialized a new system for the recycling of plastic containers. Its proprietary Eco2(tm) System costs thirty percent (30%) less to operate, uses no water, removes all contaminates and odors from the finished flake, is closed-loop and thus non-polluting, and produces no toxic by-products.
Please visit our web site at http://www.iteceg.com. Any interested parties wishing to be included in Itec Environmental Group's mailing list, please email your request to info@iteceg.com or contact: Gary M. DeLaurentiis at 209-863-8076.
Cautionary Warning Regarding Forward-Looking Statements
This press release may contain "forward-looking statements." In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "could," "expects," "plans," "intends," "anticipates," "believes," "estimates," "predicts," "potential" or "continue" or the negative of such terms and other comparable terminology. These forward-looking statements include, without limitation, statements about our market opportunity, our strategies, competition, expected activities and expenditures as we pursue our business plan, and the adequacy of our available cash resources. Although we believe that the expectations reflected in any forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Actual results may differ materially from the predictions discussed in these forward-looking statements. Changes in the circumstances upon which we base our predictions and/or forward-looking statements could materially affect our actual results. Additional factors that could materially affect these forward-looking statements and/or predictions include, among other things: (1) our limited operating history; (2) our ability to pay down existing debt; (3) our ability to attract and retain key executive officers and the professional advisors necessary to guide us through our corporate restructuring; (4) unforeseen costs and expenses; (5) potential litigation with our shareholders, creditors and/or former or current investors; (6) the Company's ability to comply with federal, state and local government regulations; (7) the Company's ability to secure raw plastic, and produce and sell a large quantity of its PET and HDPE flake; and (8) other factors over which we have little or no control.