Royal Caribbean Places $9.2 Million Hydroxyl CleanSea Environmental Technology Order

August 24, 2006

Hydroxyl Systems, Inc. was awarded contracts totaling $9.2 Million CAD from Royal Caribbean Cruise Lines, Ltd. of Miami to design and build four CleanSea environmental water process systems.

Under the terms of the contracts, Hydroxyl will deliver CleanSea environmental systems for the treatment of all black and grey water generated onboard Royal Caribbean’s Brilliance of the Seas and Jewel of the Seas cruise ships as well as Celebrity Cruises’ Millennium and Constellation vessels. Prior to delivery, Hydroxyl will design and build all CleanSea systems for each vessel’s unique shipboard layout. This customized engineering design approach will ensure optimum environmental process functionality, seamless integration with ship operations and enhanced treatment reliability.

“Royal Caribbean selected Hydroxyl for these projects as a result of their environmental technology leadership, proven track record, and excellent working relationship with Royal Caribbean’s management and operations staff,” said Peter Fetten, Royal Caribbean vice president of Newbuilding and Fleet Design. “Strong relationships with business partners such as Hydroxyl greatly enhance our “Above and Beyond Compliance” policies and are integral to Royal Caribbean’s goal of meeting and exceeding environmental laws and regulations.”

The CleanSea systems supplied for this order will employ Hydroxyl’s ActiveCell biofilm carrier process for high-rate biodegradation performance as well as its patent-pending ActiveFloat dissolved air flotation equipment. Both proprietary technologies enhance process reliability as well as decrease space requirements and system lifecycle costs. Comparable CleanSea systems are operating or are in the process of installation onboard Royal Caribbean’s Enchantment of the Seas, Radiance of the Seas, as well as Celebrity Cruises’ Celebrity Summit.

“Royal Caribbean continues to lead the cruise industry in adopting state-of-the-art environmental technologies, and Hydroxyl is proud to be selected as the environmental technology partner of choice for these projects,” said Carolyn Rogers, Hydroxyl president and CEO. “This order is strategically important for Hydroxyl and is a testament to our past performance and dedication in providing world-class water process technology, service, and support to Royal Caribbean.”

“Hydroxyl CleanSea technology enables cruise vessels to economically reduce the impact of operations on the environment,” said Steve DePoli, Hydroxyl vice president, Marine. “Our integrated treatment system approach ensures Royal Caribbean will continue to set the cruise industry standard by consistently exceeding the most stringent marine discharge regulations currently in place throughout the world.”

Hydroxyl will begin parallel delivery of the first two CleanSea systems under the contract during the third quarter of 2006 for installation onboard Royal Caribbean’s Jewel of the Seas and Brilliance of the Seas. In the first quarter of 2007, Hydroxyl will provide CleanSea equipment for loading onboard two Celebrity Cruises vessels, Constellation and Millennium, while the vessels are in dry-dock at European shipyards.

The vessels are scheduled to operate in coastal regions throughout the world including Europe, Canada, the U.S., Mexico and the Caribbean. By equipping its vessels with Hydroxyl CleanSea technology, Royal Caribbean will reliably meet or exceed stringent regulations for safe effluent discharge within the sensitive coastal environments its operates.

Source:

Hydroxyl Systems, Inc.

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