Statement re. Press Comment

Stanelco PLC
03 October 2006


Stanelco Response to SPhere Press Release


The board of Stanelco plc ('Stanelco') wishes to clarify statements made in a
press release by SPhere S.A. ('SPhere') yesterday concerning Stanelco and its
joint venture subsidiary Biotec Holding GmbH ('Biotec')


Stanelco believes that SPhere made the announcement to allay concerns that
Stanelco would be transferring Biotec's intellectual property to third parties
in the United States ('US'). As previously announced, Stanelco intends both to
optimise the Biotec facility in Germany and to proceed with the exploitation of
Biotec's technology in the US.


Stanelco's announcements of 17th August and 8th September do not refer to
licensing in the US and Stanelco has several mechanisms open to it for forming
joint ventures in the US. Stanelco has certain rights, agreed with SPhere,
enabling it to compound Biotec materials anywhere in the world including the
establishment of manufacturing facilities in the US.


Contact:


Martin Wagner

Chief Executive

02380 867 100


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