SONIC heavy oil upgrader project with Mirex



    TSX Venture Exchange Symbol: SNV

    VANCOUVER, June 2 /CNW/ - SONIC Technology Solutions Inc. ("SONIC" or
"the Company") is pleased to announce today that it has entered into a joint
venture agreement ("JV") with Mirex Energy Inc. to construct and operate the
first PetroSonic heavy oil upgrader in Canada. Mirex is an oil production and
services company operating in the Lloydminster region and will be the
operating partner in the JV. The project will initially be designed for a
1,000 barrels per day (bpd) facility to be located on the Elizabeth Metis
Settlement in Alberta. The PetroSonic facility will be designed to upgrade
local heavy oil supplies to meet the minimum API requirements for Canadian
pipelines.
    Mirex will provide facilities for the installation and initially manage
the operating contracts. SONIC will grant a license for its proprietary
PetroSonic upgrader technology and manage the installation and start-up. Mirex
and SONIC will be equal partners exclusive of any interest in the project by
the financing partners. Capital financing for the project will be provided as
debt and/or equity into the project.
    This will be the first PetroSonic upgrader in Canada and will allow SONIC
to fully implement the process in a modular plant design which allows the
process to be run in various configurations to allow for process optimization
and data. The PetroSonic upgrader is a low temperature and pressure process
utilizing a SONIC reactor for de-asphalting and an oxidation process to
further upgrade the oil. The economics of the project improve as the price
differentials between heavy oil and pipeline specification - predominantly
viscosity and density driven. Successful operation of the first installation
would anticipate expansion to 3,000 bpd on a self-financed basis.
    The license granted to the JV is exclusive for all Metis settlements in
Canada and allows Mirex and SONIC to expand the operations of the JV to other
locations or to enter into new agreements for each location. Heavy oil will be
supplied in part by related parties and supplemented by independent local
production. Upgraded oil will be sold into the pipeline system.
    Archie Collins, Chairperson for the Elizabeth Metis Settlement, commented
"We have a very successful partnership with Mirex and this project offers
local oil producers, Metis and others alike, the opportunity to build our
local oil processing facilities. We have plans for related oil services which
may integrate very well with the upgrading facility."
    Energy Invest Ltd. are reviewing the project under their marketing and
financing agreement with SONIC, either to provide part of the financing for
the project or as part of a more comprehensive financial proposal they have
recently presented to SONIC. Local financial participation will also be
accommodated. Energy Invest have identified several projects where they would
like to utilize the PetroSonic upgrader technology. Energy Invest is also a
major shareholder and fully supports this first project in Canada to ease the
logistics of technical support. The project will commence with detailed
engineering and permitting this summer. Preliminary engineering for the
upgrader has been completed and design data from an extensive test program on
Lloydminster oils is already available. SONIC and Mirex have made application
under the Alberta Energy Research Institute program and the project is
directly in line with recent initiatives by the Alberta Government to
encourage more processing within the province. SONIC may also be eligible
under other Canadian grants in place to improve efficiencies in heavy oil
production.

    About Mirex Energy Inc.

    Mirex is a private company providing oil services in the Lloydminster
area. Mirex has diverse operations and interests including oil production and
oil field operations and services. The Elizabeth Metis Settlement is a major
shareholder in Mirex.

    About SONIC and PetroSonic

    PetroSonic upgrading technology utilizes a proprietary oxidation process
and the SONIC reactor technology in a deasphalting process developed by SONIC.
The PetroSonic upgrading process incorporates de-asphalting and oxidation
stages in a low temperature and pressure process specifically targeted to
allow smaller scale low energy upgrading for regional and independent
producers of heavy oil.

    About Energy Invest Group

    Energy Invest Group is a private UK company that identifies cutting edge
energy and environmental technologies and deploys them in industrial scale
projects (See www.energyinvestgroup.com). Energy Invest is one of SONIC's
largest shareholders and is actively planning additional projects for SONIC.

    The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. Statements in
this release that are forward-looking statements are subject to various risks
and uncertainties concerning the specific factors disclosed under the heading
"Risk Factors" and elsewhere in the Company's periodic filings with Canadian
securities regulators. Such information contained herein represents
management's best judgment as of the date hereof based on information
currently available. The Company does not assume the obligation to update any
forward-looking statement.





For further information:

For further information: Chief Executive Officer, Adam Ranjit Sumel at:
Tel: (604) 736-2552, Email: info@SONICTSI.com, asumel@SONICTSI.com,
www.SONICtsi.com

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