Re Contract

18 February 2008

                            Surface Transforms plc                             

                    ("Surface Transforms" or "the Company")                    

                                 New Contract                                  

Surface Transforms (AIM:SCE) is pleased to announce the award of a 3 year
contract with a value of £150,000 from MBDA, which is owned jointly by BAE
Systems, EADS and Finmeccanica and is one of the largest missile manufacturers
in Europe.

The contract with MBDA is linked to the development of a novel attitude control
system applicable to a range of future European missiles. The work will
characterise material design properties of carbon-ceramics in missile
components including at very high temperatures and develop alternate low-cost
manufacturing routes culminating in the manufacture of test component
demonstrators.

The work will be supported jointly by the UK and French Ministries of Defence
as part of the Innovation and Technology Partnership ("ITP") on Materials and
Components for Missiles.

Commenting, Kevin Johnson, Chief Executive of Surface Transforms, said:

"Earlier work with MBDA over the past two years has shown that carbon-ceramic
is now a strategic material which gives significant performance advantages over
carbon-carbon and huge weight savings over advanced metal alloys. We can
deliver distinct cost benefits with improved performance using our proprietary
technology."

The Directors believe Surface Transforms is the only UK supplier of this
strategic material. The material is derived from the Company's core business in
automotive ceramic brakes. The desire for lower cost high quality products has
led the Company to invest significant time and money in its technology in order
to improve the manufacturing process while reducing the material production
cost. The IPR for the Company's carbon-ceramic products relates to the
combination of three key process stages: carbon fibre pre-forms, carbon matrix
CVI, and silicon melt infiltration. The Directors believe whilst there are two
European competitors in automotive ceramic brakes neither use this high
mechanical integrity 3-stage route developed by Surface Transforms.

-ends-

For further Company details visit www.surface-transforms.com

Enquiries:                                                                   
                                                                             
Surface Transforms plc                              Tel: [phone]
Dr Kevin Johnson/Geoff Hall 
                                                                             
John East & Partners Limited (Nomad and Joint       Tel: [phone]  
Broker)                                                                      
Simon Clements/David Worlidge                                                
                                                                             
Redmayne Bentley (Private client broker)            Tel: [phone]  
Lucy Clapham/Simon Flather                                                   
                                                                             
Hansard Group                                       Tel: [phone]  
John Bick/ Chris Roberts