Organic Resource Announces Second Exclusive Agreement with Anaerobic Digester



    Recycling process will convert organic waste into renewable energy

    TSX Symbol: ORI

    WOODBRIDGE, ON, Aug. 20 /CNW/ - Organic Resource Management Inc. ("ORMI")
today announced that it has signed an exclusive, 20-year agreement to supply
organic residuals to a farm-based Anaerobic Digester ("AD") at Ledgecroft
Farms Inc. ("Ledgecroft") located north of Kingston at Seeley's Bay, Ontario.
This is the second Ontario farm-based AD to contract with ORMI to receive
off-farm organic residuals for conversion into energy.
    During the term of the agreement ORMI will deliver a minimum of 5,000
cubic metres per year of organic residuals. ORMI will pay a processing cost
("Tip Fee") that will be adjusted downward based on the actual performance of
biogas renewable energy produced from the ORMI feedstock. The resulting net
Tip Fee is expected to be significantly more competitive than other organic
residual recycling options currently available.
    The 1500 cubic metre AD, which will produce renewable biogas energy, is
scheduled to be operational in the summer of 2009. Once fully functional, the
AD is expected to generate about 500 kW, 24 hours per day, 7 days per week -
enough energy to supply roughly 400 households. Ledgecroft will be energy
self-sufficient and sell electricity to the Hydro One distribution grid under
the Ontario Power Authority's Renewable Energy Standard Offer Program.
    "We are pleased to once again be playing a part in making on-farm AD
projects viable and look forward to participating in additional projects
within this fledging renewable energy industry," said Charles Buehler,
Chairman & CEO of ORMI.
    "Our agreement with ORMI secures additional farm income from the energy
generated by recycling the organic residual ORMI harvests from its urban
customer base," said Ben Green of Ledgecroft. Ben his wife Laura and son Glenn
have owned and operated Ledgecroft Farms since 1971. Their AD will be
integrated into their 470 animal unit dairy farm operations. The manure
available on a farm even of this size requires the addition of ORMI's
high-energy-potential organic residual to make the AD project economically
viable. ORMI's feedstock will generate in excess of 75% of the energy
produced.

    This press release is available on the Company's official on-line
investor relations site. For investor commentary, feedback and questions,
please visit the investor relations section of the Company's website at
http://www.ormi.com/ORMI_Investor.asp. Alternatively, investors are asked to
e-mail all questions and correspondence to info@ormi.com where they can also
request addition to the Organic Resource investor e-mail list to receive all
future press releases and updates directly.

    About Organic Resource Management Inc.

    Organic Resource Management (TSX Symbol: ORI) is Canada's largest
provider of vacuum truck services for the collection, treatment and disposal
of organic and other non-hazardous liquid waste. ORMI services in excess of
8,000 commercial, industrial, institutional and residential customers in
Ontario, Quebec, and British Columbia. Further information about ORMI may be
obtained at the Company's web site: www.ormi.com.

    Cautionary Note: Certain information contained in this press release is
forward-looking and therefore subject to unknown risks or uncertainties. The
AD expansion, and thereby the resulting cost savings announced herein, are
reliant on many factors that are not under the Company's control, including
but not limited to various regulatory requirements and technical factors. The
actual results, performance or achievements of Organic Resource Management
Inc. may differ materially from the results, performance or achievements of
the Company expressed or implied by such forward-looking statements.

    %SEDAR: 00005494E




For further information:

For further information: Corporate Inquiries, Charles H. Buehler,
Chairman & Chief Executive Officer, info@ormi.com, (905) 264-7700 Ext. 112

Organization Profile

Organic Resource Management Inc.

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