NEWS FROM CNW GROUP
18:28 EDT Friday, April 29, 2005

PharmEng Technology Inc. (TSXV - PII) ("PharmEng") is pleased to announce the acquisition of a five acre property in the Northside Industrial Park, North Sydney, Nova Scotia, on which the company plans to build a second pharmaceutical manufacturing facility. The five acre site was acquired from the Cape Breton Regional Municipality, together with a five-year purchase option in respect of the adjacent five acres. Site survey and soil testing have begun, with a construction start date scheduled for June 1, 2005.

"This state of the art, FDA compliant facility will create an additional $50 million of annual manufacturing capacity for our subsidiary Keata Pharma when it becomes operational in the second quarter of 2006" stated Alan Kwong, Chief Executive Officer of PharmEng.

Training Developments

In other company news, PharmEng, in conjunction with the Cape Breton University kicked off their Biotechnology and Pharmaceutical Technology Certificate program on Monday, April 25, 2005. The program is divided into three terms, each 14 weeks in length, with breaks between semesters. During two terms, participants will attend program courses at the Cape Breton University taught by PharmEng instructors. The third term will be devoted to co-operative training, under the supervision of industry experts at PharmEng sites in Nova Scotia and Ontario. Upon successful completion of the program, including courses and co-op training, participants will receive a Certificate in Biotechnology and Pharmaceutical Technology, issued jointly by PharmEng and the Cape Breton University. This course will provide the vertical integration of human resources required for the aggressive growth plans of both PharmEng and Keata Pharma. Gross revenue to PharmEng from this undertaking is expected to be approximately $500,000 over the next twelve months.

In other training news, the University of Toronto was awarded a contract from Health Canada to conduct the Pharmaceutical and Biotechnology Certificate Training Program to the staff of the Bureau of Pharmaceutical Science in Ottawa. The training will commence in May 2005. PharmEng Technology staff will conduct the training for the University of Toronto.

"The strength of our training program and our experienced instructors have given us another opportunity to expand our training activity to a very important segment of the pharmaceutical sector" said Mr. Kwong.

Additions to Senior Management Team

PharmEng wishes to welcome the following individuals to its senior management team:

Zahir Popat, Senior Vice-President, Business Development. Mr. Popat brings 25 years of experience in the area of international pharmaceuticals, biotechnology and neutraceuticals. His experience includes past service on the Board of Directors of PharmaSave. Since 1986 he has been instrumental in setting up distribution of generic pharmaceuticals in the Middle East, South East Asia and Africa.

Alex Della Mora, Director, Business Development, Keata Pharma Inc. Mr. Della Mora comes to the company from the Katz Group/DC Labs, where he worked for over 15 years, most recently in the position of Director of Operations.

Jack Basarke, Senior Director, Management Consulting Division. Mr. Basarke has over 30 years with Health Canada and was the former Head of the Drug GMP Unit of Therapeutic Products Directorate at Health Products and Food Branch Inspectorate. He has been involved in all aspects of activities carried out by the division. He has made numerous presentations on GMP and related topics to industry professionals at the local, national and international level.