10 May 2006 Joint Venture to Market Products in Southern USAThe...

10 May 2006

Joint Venture to Market Products in Southern USA

The directors of Virotec International Ltd (AIM: VTI) are pleased to advise that
it has established Virotec Aquasolve LLC. ("Aquasolve"), a new joint venture
company in the USA. Virotec owns two thirds of Aquasolve with one third owned by
the Wade Craven Group, who has been instrumental in achieving regulatory
acceptance of Virotec's products and who have established important links with
water companies and other industries in several southern states of the USA.

Aquasolve will be licenced to market and distribute the following ViroFlowTM
products in the states of South Carolina, North Carolina, Georgia and Virginia.

1. Radium ProActivTM - a Virotec product approved by the National Sanitation
Foundation (NSF) for removal of radioactive radium from drinking water to
meet stringent statutory requirements;
2. Ars enic ProActivTM - a Virotec product approved by NSF for removal of
ars enic from drinking water. Ars enic ProActivTM can reduce the level of
ars enic in drinking water to meet the new standards introduced in the USA;
and
3. ViroPhosTM - a Virotec product that is able to reduce the levels of
phosphate from industrial wastewater ponds.

The key terms of the licence include:-

1. The licence will be an exclusive licence for the above products within
the stated Territories;
2. In addition to its two third share of the Joint Venture's profits,
Virotec will receive a 10% royalty on all sales generated by Aquasolve; and
3. Virotec is able to expand the scope of the licence to cover additional
applications and Territories should Aquasolve identify additional
commercial opportunities.

The Executive Chairman, Brian Sheeran stated "We are very pleased with the
completion of this next step in the commercialisation of the above products in
the USA. The Wade Craven Group has demonstrated a 'can do' attitude which is
consistent with the Virotec culture and we are confident that together, through
Aquasolve, we will achieve great success in the significant water markets in
southern USA."




VIROTEC INTERNATIONAL LTD
ABN 81 004 801 398
PO Box 188
Sanctuary Cove QLD 4212
Australia
www.virotec.com