Shanghai, China, 14 October 2008 -- (BUSINESS WIRE) -- China Energy Recovery, Inc. (OTCBB:CGYV - News), a leader in the waste heat energy recovery sector of the alternative energy industry, announced today the completion of a new alkali recovery boiler system for Zhuji paper mill of Guangdong Shaoneng Group in Shaoguan in Guangdong, China. Guangdong Shaoneng Group is a public industrial and energy company listed on the Shenzhen Stock Exchange (SHE:000601) of China. The contract value was RMB 5.02 million (approximately USD 735,000).

The Zhuji paper mill has long dealt with the pollution problem resulting from the residual black liquor generated from the pulp making process. The liquor is toxic to the environment and the government recently mandated that companies must provide a solution. CER was able to design and build a recovery boiler system capable of processing 160 tons of black liquor per day. It also can generate 20-25 tons of steam per hour. This is equivalent to nearly 2 MW of heat energy generation capacity and will help reduce the cost of purchasing steam from outside vendors. Additionally, the alkali recovered can be reused in the pulp making process, thus further reducing material costs.

“We’re very pleased to have completed our most recent system for the Guangdong Shaoneng Group,” stated CER chairman and CEO, Qinghuan Wu. “CER is proud that we were able to design a system to help solve this difficult and persistent problem. This latest system further demonstrates the flexibility of our systems to solve a variety of challenging power generation and emissions problems.”

About China Energy Recovery, Inc.

CER is an international leader in energy recovery systems, with a primary focus on the Chinese market. CER's technology captures industrial waste energy to produce low-cost electrical power, enabling industrial manufacturers to reduce their energy costs, shrink their emissions footprint, and generate sellable emissions credits. CER has deployed its systems throughout China and in such international markets as Egypt, Turkey, Korea, Vietnam, and Malaysia. CER focuses on numerous industries in which a rapid payback on invested capital is achieved by its customers, including chemical, petro-chemicals, refining (including ethanol refining), coke processing, and the manufacture of paper, cement, and steel. CER continues to invest in R&D and plans to build China's first state-of-the-art energy recovery system research and fabrication facility to allow it to meet the increased demand for its products and services. For more information on CER, visit: http://www.chinaenergyrecovery.com/s/Home.asp.