Re Agreement

Stanelco PLC 07 April 2005 7 April 2005 Stanelco plc ('Stanelco') Agreement signed with Premier Technology. Inc. Stanelco plc, the RF (radio frequency) applications group, is pleased to announce that it has entered into a binding agreement with Premier Technology Inc., (www.premiertechnology.cc), a leading US engineering and support company which will enable rapid roll out and adoption of Stanelco's revolutionary GREENSEAL tray-lidding technology in a number of markets in North America. Premier Technology (Premier) has agreed to commit its rapid response engineering capabilities which cover the United States, Canada and Mexico, to the retro-fitting of GREENSEAL technology at user sites in those territories. Premier will apply its resources to the non RF aspects of retro fitting of traylidding and thermoforming machines with GREENSEAL technology. Premier is sending a contingent of engineers to Stanelco for an extended period of training and familiarisation. It is anticipated that Premier will be ready to support a roll out of Stanelco's GREENSEAL technology across North America within three months. Whilst Stanelco is yet to sign licence agreements for its GREENSEAL technology in North America, the agreement with Premier means that Stanelco will soon be in a position to fulfil the roll out of the technology following the award of a contract from potential customers in the region without significantly increasing its own infrastructure. Stanelco is currently concentrating on rolling out the technology in the UK and Ireland in support of its recently announced agreement with ASDA Stores. Premier will receive a minority interest in Stanelco's conversion and licence fees for each machine it helps to retrofit and support. Ian Balchin, CEO of Stanelco plc said: 'This agreement forms part of a strategic roll out programme that Stanelco is developing in order to attain simultaneous retrofitting in different territories. The alliance with Premier Technology will enable us to have customers' machines, throughout North America, prepared for RF engineers to attach the revolutionary GREENSEAL technology. The agreement also covers repairs and maintenance by Premier. Premier has a pool of in excess of 150 engineers that can be called upon at any given time. This agreement substantially enhances our capacity to achieve an accelerated roll out. We anticipate further such alliances in the near future. We are delighted that a company of Premiers' stature is as excited about this technology as we are.' Mike Nelson, Vice President of Operations for Premier Technology said: 'We are delighted to be involved with this exciting technology and look forward to a rapid expansion of our capabilities to meet the needs of this project.' Ends For further information please contact: Ian Balchin, Chief Executive Stanelco PLC Tel: +44 (0)2380 867100 Jonathon Brill/Billy Clegg Financial Dynamics Tel: +44 (0)20 7831 3113 Notes to Editors About Stanelco Stanelco was founded in 1953 and is a world leader in the development of radio frequency technologies for processing polymers for edible and packaging applications and the design and manufacture of optical fibre technology, induction heating and dielectric welding equipment. The Company's current core business is the manufacture of optical fibre using Radio Frequency (RF) technology. Stanelco has been applying its technology to other markets. Current developments include biodegradable air cushion packaging, sealing of low-cost conventional plastics for food packaging, water-soluble detergent capsules, foamed starch trays, edible sachets and waste packing. GREENSEAL is a trademark of Stanelco plc. About Premier Technology Inc. Premier Technology, Inc., located in Pocatello, Idaho, USA, is known for their ability to supply the highest quality turnkey engineering, custom fabrication, system integration, and field installation solutions to a variety of industries. They are able to consistently innovate and improve design and engineering applications customized for specific client applications. Since 1995, they have performed custom process equipment engineering, design, fabrication, testing, and installation. Premier Technology has also completed process plant upgrades and new construction nationally and internationally. The key to their success is a commitment to develop Premier Technology employees into the leaders of the industry, while providing their customers with the highest quality service. This information is provided by RNS The company news service from the London Stock Exchange
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