Engineers India Limited’s Management Board Adopts Clearford Sanitary Sewer Systems for Waste-water Infrastructure Development Projects in India

Ottawa, Ontario – (August 11, 2011) – Clearford Industries Inc. (“Clearford” or the “Company”, TSX-V:CLI) today announced that Engineers India Limited’s (EIL) management have accepted staffs recommending to partner with Clearford for the utilization of the Clearford system in India. Further the parties have entered into a memorandum of intention to jointly pursue projects using Clearford technology. EIL and Clearford have identified an initial five priority projects for potential initial deployment. “The sanitary sewer solution is being designed by Clearford utilizing the patented Small Bore Sewer System (SBS). With the Clearford SBS as the enabling technology, water treatment to re-claim standards and bio-gas conversion to electricity are available features of the servicing.

Clearford will take a turnkey contract to design the solution and supply specific elements including components of the digestion process, water treatment and methane conversion facilities.” stated Mr. Bruce Linton, CEO of Clearford. Further Mr. Linton commented “EIL will act as the site and construction engineers of record for the pilot projects. EIL is one of India’s largest engineering firms with revenues in excess of $600,000,000 USD in the most recent fiscal year and acts in concert with the various levels of government as a government controlled corporation.” India has begun to place a high priority upon urban and rural sanitation. Currently

approximately half of India’s population do not have access to proper sanitary sewers. The majority of this population receive a quantity of water per person per day to enable the functioning of traditional gravity sewers. It is for the combination of scope of requirement, ability to operate efficiently with available water volumes, lower capital cost and operational income potential from the Clearford biogas system that the parties have invested the effort to work together. These same technical, financial and environmental conditions exist in Latin/South America, China and certain countries in Africa which is where Clearford’s is focusing its sales activity. Mr. Linton commented “Operating as a Canadian company, with 20 years of references sites, holds significant market potential for Clearford.”

A third signatory to the agreement is Araina Enterprises. Araina is an India-based sales and marketing company that is working with Clearford on a success fee basis to identify and establish implementation projects in India.

While Clearford believes that significant and near term opportunities exist for the Company’s solution, there can be no assurance that customer agreements will be reached or that such agreements will be profitable should they be implemented.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

About Clearford Industries Inc.

Clearford Industries Inc. (TSX-V: CLI) is the developer of the patented Small Bore Sewer ™ (SBS™), a watertight small diameter wastewater collection system that provides servicing with superior operational and environmental performance at a significantly lower cost when compared to historic gravity sewers. Clearford’s SBS™ technology and industry expertise provide the enabling platform to deliver, on a global basis, turnkey, fixed-price wastewater collection, treatment and energy generation solutions that are ideally suited for water-scarce regions, those with unreliable water distribution networks, and new developments seeking a greener approach to water and wastewater management. For more information on Clearford, please visit

Forward Looking Statements

This news release contains certain statements that constitute forward-looking statements as they relate to the Company and its management. Forward-looking statements are not historical facts but represent managements current expectation of future events, and can be identified by words such as “believe”, “expects”, “will”, “intends”, “plans”, “projects”, “anticipates”, “estimates”, “continues” and similar expressions. Although management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that they will prove to be correct. By their nature, forward-looking statements include assumptions and are subject to inherent risks and uncertainties that could cause actual future results, conditions, actions or events to differ materially from those in the forward-looking statements. If and when forward-looking statements are set out in this news release, Clearford will also set out the material risk factors or assumptions used to develop the forward looking statements. Except as expressly required by applicable securities law, the Company assumes no obligation to update or revise any forward looking statements. The future outcomes that relate to forward looking statements may be influenced by many factors, including, but not limited to: industry cyclicality;

the ability to secure third party agreements; successful integration of Clearford’s system with third party technology; competition; reduction in demand for products; collection from customers; relationships with suppliers; product liability; intellectual property; reliance on key personnel; environmental; interest rates; uninsured and underinsured losses; operating hazards; risks of future legal proceedings; income tax matters; credit facilities; availability and terms of financing; distribution of securities; restrictions on potential growth; effect of market interest rates on price of securities; and potential dilution.

For further information:

Sharilyn McNaughton
Clearford Industries Inc.
Phone: (613) 762-8402

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