Press Release

BluMetric Awarded Contract With Canadian Navy Valued At Up To $11.5 Million

Ottawa, Ontario – November 26, 2012 – BluMetric Environmental Inc. (TSX-V: BLM; “BluMetric” or the “Company”), an integrated product and service organization providing intelligent solutions to complex environmental problems in Canada and abroad, is pleased to announce that the Department of National Defence has awarded a Contract to the Company valued at up to $11.5 million. BluMetric was selected to provide Repair and Overhaul Services, Engineering support and Field Service support for the Canadian Navy’s Shipboard Reverse Osmosis Desalination (SROD) systems for up to 5 years.

“Our work with the Canadian Forces is an excellent opportunity to highlight our expertise in the highly technical water treatment field, and provides us with additional base business in a growing international market” said Harry Marshall, President of the BluMetric Water and Wastewater division.

The Contract is for a three-year period totalling $6.9 million with two possible one-year extensions of up to $ 2.3 million each year. The total potential value of the five-year Contract is $11.5 million. The final amount spent in any given year is at DND’s discretion, such amount varying according to the Navy’s needs. The Contract process provides the Canadian Forces with immediate response and support to their equipment requirements. The Company has been awarded similar Contracts by DND in the past, including for the equipment in this new Contract and for the Army’s Reverse Osmosis Water Purification Units (ROWPU).

The Canadian Navy operates around the world under demanding conditions. Each frigate has a starboard and port SROD that produces drinking water and general-purpose water for the ship. The Canadian Navy’s water standards are extremely high, and it is essential that during deployments a reliable supply of high quality water is available. The SRODs are based on Reverse Osmosis (RO) technology and require repair and overhaul on a periodic basis.

About BluMetric

BluMetric is an integrated product and service organization providing sustainable solutions to complex environmental issues in Canada and abroad. The Company serves clients in many industrial sectors, and at all levels of government, both domestically and internationally.

  • a professional services division, focussed on environmental earth sciences and engineering, contaminated site remediation, water resource management, industrial hygiene, occupational health & safety, environmental assessment & regulatory permitting, and renewable energy. This division operates under the names “WESA”, “Envir-Eau”, and “OEL-HydroSys”;
  • a water & wastewater division, providing both design-build and pre-engineered product solutions to industrial/commercial water and wastewater treatment needs. This division operates under the names “WESAtech” and “Seprotech”.

More information can be obtained at www.blumetric.ca

Forward-Looking Statements

This news release contains certain “forward-looking statements”within the meaning of applicable securities laws. Readers are cautioned that the plans, intentions or expectations disclosed in any forward-looking statements, and the underlying assumptions may not be achieved and that readers should not place undue reliance on any forward-looking statement, each of which is expressly qualified in its entirety by this cautionary statement. Although BluMetric believes that the expectations conveyed by the forward-looking information are reasonable based on information currently available to it, these statements are not guarantees and involve a number of risks and uncertainties, both known and unknown, and assumptions. The results or events depicted in these forward-looking statements may differ materially from actual results or events. Many factors could cause results to differ materially from those stated, including the ability of BluMetric to retain existing customer contracts; risks related to integration upon the completion of the Transaction; and the ability to retain and obtain qualified staff as well as various other factors which are discussed in filings with applicable securities regulatory authorities at www.sedar.com. Any forward-looking statement speaks only as of the date of this news release and, except as may be required by applicable securities laws, BluMetric disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.

The TSX.V has in no way passed upon the merits of the Transaction, and neither TSX.V nor its Regulation Services Provider (as that term is defined in the policies of the TSX.V) accepts responsibility for the adequacy or accuracy of this release. The TSX.V has neither approved nor disapproved of the information contained herein.

For further information, please contact:

Ian Malone, CFO
Tel: (613) 523-1641
Fax: (613) 731-0851
Email: imalone@blumetric.ca

Robin M. Sundstrom
IRonside Investor Relations
Tel: (647) 822-8111
Email: robin@ironsideir.com