SONIC Completes Successful Testing and Heavy Oil Upgrading Acquistion

    NORT Chemistry Complements SONIC Sonoprocess(TM) to Achieve Pipeline

    TSX Venture Exchange Symbol: SNV

    VANCOUVER, July 23 /CNW/ - SONIC Technology Solutions Inc. ("SONIC" or
"the Company") today confirmed that it has completed its agreement to purchase
the intellectual property and patent rights to an oil upgrading oxidation
chemistry by acquiring all of the issued and outstanding shares of Northern
Oil Research Technologies Inc. ("NORT"), the Alberta based company that
developed the chemistry.
    Under the terms of agreement, NORT has now met the conditions precedent
to "fully demonstrated their process chemistry to SONIC", enabling the
agreement to be executed. NORT was able to demonstrate its upgrading process
steps utilizing a number of Athabasca and Peace River crude heavy oils and
also on international oil samples provided through SONIC. The NORT oxidation
chemistry forms part of a complete upgrading process comprising de-asphalting,
biological oxidation, chemical oxidation and solvent recovery stages. This
results in upgraded oil in terms of increased API density, reduced viscosity,
lower sulphur, lower nickel and vanadium and acceptable TAN (total acid
    The Company has now demonstrated that the NORT process chemistry can
enhance SONIC's existing de-asphalting and chemical oxidation Sonoprocess(TM)
sufficient to easily meet the requirements for a heavy sour oil (HSO) at an
API of 21 or greater on any bitumen or heavy oil starting with an API of 9 or
greater. The demonstrations were conducted in Edmonton by NORT and in
Vancouver by SONIC independently and showed that API's of 23 to 28 were
achievable with better than expected yields (the percentage ratio of the
upgraded oil volume to the starting oil volume).
    Further collaboration verified that SONIC's Upgrading Sonoprocess(TM) can
be utilized compatibly with the NORT process chemistry, enhancing the
advantages of using low solvent ratio deasphalting. This is critical to
retaining the process economics of a low temperature, low pressure process
with reduced solvent recovery costs and high processing rates. The SONIC
Sonoprocess(TM) produces a high quality asphalt product as now confirmed in
preliminary evaluation and testing by potential asphalt users and partners.
    Under the terms of the NORT agreement there are three further milestones,
the first of which involves performance evaluation to meet medium sour oil
(MSO) grades using heavy oils to achieve a minimum of 25 API and upgraded oil
quality acceptable to SONIC potential clients. The next milestone relates to a
successful field pilot plant and SONIC has commenced a preliminary review with
a potential engineering partner. The last milestone is dependent on commercial
implementation criteria.
    Mr. Frederick Boakye, NORT's Chief Scientist, has now joined the SONIC
team and is working to ensure successful implementation of these objectives.
He will be working closely with the SONIC technical team to integrate the
demonstrated advantages of the NORT process with the SONIC high amplitude, low
frequency heavy oil Sonoprocess(TM).
    The TSX Venture Exchange has confirmed that it has accepted for filing
documentation in relation to the NORT agreement with initial payment of
$250,000 plus a further $250,000 as a result of successful demonstration of
the NORT oxidation chemistry. Sonic has issued to the sellers 2,000,000 common
shares at a deemed price of $0.25 per share in satisfaction of these payments.

    About SONIC

    SONIC develops and markets Sonoprocess(TM) technologies based on the
Company's core sonic generator technology. The Company is currently focused on
the commercialization of its heavy oil upgrading Sonoprocess(TM) and has
acquired a proprietary oxidation chemistry from Northern Oil Research
Technologies Inc. to compliment the Sonoprocess(TM) developed by its joint
venture PetroSonic Energy Systems Inc., which the Company recently announced
will become a wholly owned subsidiary of SONIC.

                         Sonoprocess(TM) Technologies
                   - Sustainable - Efficient - Economic -

    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,
SONIC Technology Solutions Inc., Tel: (604) 736-2552, Email:

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