Source: DSA Corporate Services Inc.

IWS Announces Joint Venture in Australia and New Zealand

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 26, 2016) - International Wastewater Systems Inc. (the "Company") (CSE:IWS) (FRANKFURT:IWI) (OTC PINK:INTWF) is pleased to announce a Joint Venture agreement ("JV") with Environmental Technology Solutions ("ETS") of Australia, a leading provider of energy efficiency and sustainability solutions with offices in Canberra and Melbourne.

ETS is already representing IWS products in Australia and New Zealand and is currently completing its inaugural project, a SHARC thermal heat recovery system to be installed for the Australian Wool Testing Authority in Melbourne (for details on this project see IWS press release dated March 16, 2016).

IWS and ETS have jointly established SHARC Energy Systems Australasia Pty Ltd., a JV company through which IWS and ETS will design, build, operate and maintain IWS's proprietary thermal heat recovery equipment in Australia and New Zealand under the SHARC and PIRANHA brands.

ETS is uniquely positioned in the region with the ability to manufacture and assemble custom equipment in Australasia using IWS's intellectual property. Through its regional networks ETS has generated significant interest from potential customers for various commercial and industrial applications of IWS products.

Lynn Mueller, CEO of IWS commented: "We are pleased to have found in ETS a partner with the proven capability to build, install and service SHARC an PIRANHA projects in the region and look forward to developing the pipeline of identified projects in Australia and New Zealand."

ON BEHALF OF THE BOARD

Lynn Mueller, Chairman and Chief Executive Officer

About International Wastewater Systems Inc.

International Wastewater Systems Inc. is a world leader in thermal heat recovery. IWS systems recycle thermal energy from wastewater, generating the most energy efficient and economical systems for heating, cooling & hot water for commercial, residential and industrial buildings. IWS is publicly traded in Canada (CSE:IWS), the United States (OTC:INTWF) and Germany (FRANKFURT:IWI).

The CSE does not accept responsibility for the adequacy or accuracy of this release.

Contact Information:

Yaron Conforti
CFO and Director
(416) 716-8181
yaron.conforti@iws-sharc.com