Grainnet

CleanTech Biofuels Inc. Acquires Biomass North America Licensing, Inc. to Produce Cellulosic Biomass From Municipal Solid Waste for Commercial Development

St. Louis, MO---CleanTech Biofuels, Inc. (OTCBB: CLTH) announces the signing of an agreement with Biomass North America Licensing, Inc. to acquire the company via merger.

Biomass North America Licensing, Inc. owns the rights to use a proprietary and patent-pending technology for the production of cellulosic biomass from municipal solid waste in the United States and Canada.

CleanTech will issue the shareholders of Biomass North America, 2,000,000 shares of its common stock at Closing and an additional 4,000,000 shares of its common stock upon commencing a commercial development using the technology.

The agreement provides for the development of a commercial site using the licensed technology at a transfer station currently operating in Chicago, Illinois.

The proposed site for the commercial development is owned by a principal shareholder of Biomass North America.

This acquisition will complement CleanTech's existing Pressurized Steam Classification Technology for the production of fuel ethanol, and is expected to enable the Company to enter the additional business line for the production of renewable electricity from municipal solid waste.

The Biomass North America technology is currently being operated at a commercial plant in Australia where the cellulosic biomass produced from municipal solid waste is being utilized as a soil amendment.

Ed Hennessey, CEO of CleanTech Biofuels, Inc., stated: "We are very pleased to acquire this new technology and anticipate moving quickly to deploy it in a commercial setting for the production of renewable energy."

For more information, call 314.802.8670.