Mr. Jeff Allison reports

HTC PURENERGY INC. (DBA "HTC EXTRACTION SYSTEMS") ANNOUNCES PROPOSED PRIVATE PLACEMENT

HTC Purenergy Inc., doing business as HTC Extraction Systems, conditional upon TSX Venture Exchange approval, will issue 29.3 million units at a price of 10 cents per unit, for the gross proceeds of $2.93-million. Each unit will consist of one common share and one common share purchase warrant. Each warrant will entitle the holder to purchase one common share of HTC at 15 cents per common share for a period of five years after the date of issuance. Warrants are convertible by HTC, in its discretion, into common shares at the conversion price of 15 cents per common share in the event that the common shares trade at 80 cents or more for 20 or more consecutive trading days on the TSX Venture Exchange.

The private placement is a non-brokered private placement. Currently, HTC has 38,663,741 common shares issued and outstanding. After issuance, HTC will have 67,963,741 common shares issued and outstanding.

Proceeds of the private placement will be used for business development, including hemp biomass toll extraction, processing and general corporate purposes.