Robix Announces Letter of Intent for Proposed Business Combination Appointment of New Chief Operating Officer and Grant of Options

LETHBRIDGE, ALBERTA--(Marketwired - May 26, 2016) - Robix Environmental Technologies, Inc. ("Robix" or the "Corporation") (CSE:RZX)(FRANKFURT:R0X) is pleased to announce that it has entered into a non-binding Letter of Intent ("LOI") with respect to a proposed business combination with Formation Fluid Management Inc. (doing business as Formation Fluid Technology Inc.) ("Formation Fluid") (TSX VENTURE:FFM), an Alberta-based corporation listed on the TSX Venture Exchange focused on the development and operation of industrial wastewater treatment facilities and commercial mobile systems designed and engineered for energy clients.

The purpose of the LOI is to reflect the desire of both parties to effect a business combination pursuant to which Robix will acquire all of the issued and outstanding common shares of Formation Fluid through a share exchange, amalgamation, plan of arrangement or such other comparable form of transaction as determined by Robix and Formation Fluid following a review of all relevant tax, corporate and securities law considerations and a due diligence review (the "Transaction"). Pursuant to the Transaction and subject to adjustment prior to the execution of a definitive agreement, each outstanding Robix common share will be exchanged into one common share of the resulting issuer and every two outstanding Formation Fluid common shares will be exchanged into one common share of the resulting issuer. Upon completion of the Transaction, it is anticipated that the resulting issuer will be listed on the Canadian Securities Exchange.

"We identified Formation Fluid as an excellent accretive partner for Robix," commented Nathan Hansen, President and CEO Robix. "Their wastewater treatments technologies are cost-effective and innovative ways of delivering a new source of water, which meets or exceeds regulatory and operational requirements for reuse, surface discharge, or aquatic release. It is a perfect fit with the Robix P Series oil production platform, as energy customers are looking for a turn-key solution for their oil water separation needs and to meet regulatory specifications for engineered water."