Q2Power Provides Information on Its Business Extension Into Composting and Engineered Soils

LANCASTER, OH--(Marketwired - Jun 21, 2016) - Q2Power Technologies Inc. (OTCQB: QPWR) provided today additional information on its expansion plans into the compost and engineered soils industry, an extension of its work developing environmentally sustainable cost cutting solutions for waste water treatment facilities.

Q2Power's expansion strategy is supported by a Research & Markets report published May 2016 stating that the global engineered soils market is projected to reach $7.8 Billion by 2021, at a CAGR of 6.7% from 2016 to 2021. The growth of this market is being driven by soil productivity and water conservation concerns in the United States and worldwide. According to these and other reports, 99 million acres (28% of all cropland) in the U.S. are eroding above soil tolerance rates, meaning the long-term productivity of the soil cannot be maintained and new soil is not adequately replacing the lost soil. This erosion reduces the ability of the soil to support plant growth and hold water, adding significant pressure on this critical depleting resource. Further, soils produced with compost are being used with more frequency in construction, infrastructure and land reclamation projects to reduce costs, accelerate permitting, and create more sustainable landscapes.

"We see a major opportunity in the composting and engineered soils markets to build a strong, cash flowing company, while doing good for the environment," stated Kevin Bolin, Q2Power's Chairman. "Q2Power intends to partner with and possibly acquire established businesses in this sector over the following year. Expanding this business is a matter of manufacturing consistently high-quality products, creating robust marketing and educational programs, and possibly consolidating companies in strategic locations throughout the United States. We believe we can be successful with this plan."

According to the U.S. Composting Council, as quoted in a July 2014 report: "If agriculture ever realizes the significance of compost from its value as a source of organic matter for its water holding capacity and its ability to reduce chemical fertilization, there won't be enough composting in the United States to begin to start satisfying that need."

Q2Power announced last month the beginning of a partnership with ERTH Products, a leading manufacturer of compost and engineered soils from waste water treatment biosolids. "We intend on completing our agreement with ERTH in the short term, and working with their experienced management to expand the sales channels and marketing efforts for their exceptional quality products. We will work with ERTH to secure new agreements with waste water treatment plants to receive tipping fees to transport biosolids to partnering compost sites, and intend on selling both compost and upgraded soil products through current and new distribution channels," stated Christopher Nelson, Q2Power's CEO.

The Company has also taken steps to reduce its R&D overhead over the previous weeks, including scaling back personnel, to dedicate more resources to this plan which is expected to get Q2Power to revenue and profitability quicker and increase shareholder value over the short and long term.

"We believe there is value to combining our proprietary technology with a low-tech cash flowing business like composting and sustainable soils manufacturing. As we grow the revenue side of our business, we can dedicate more resources to important long-term R&D programs," Mr. Nelson added.

About Q2Power: Q2Power seeks to become a leading provider of waste management services for small-scale waste water treatment plants and other producers of methane and organic waste. Q2Power's current combined heat and power (CHP) technology can be deployed with minimal time and expense at thousands of small-scale facilities that must dispose of waste such as methane, biogas and other used fuels at increasingly greater costs and regulatory burdens. Through an association with ERTH Products, Q2Power also can convert bio-solid waste from water treatment plants into beneficial reuse products such as Class A compost and engineered soils. Q2Power installed its first power system this summer at an Ohio wastewater treatment plant and is on track to deploy additional bio-solid solutions to meet customer demand in 2016.

For more information about Q2Power, please visit: www.q2p.com

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