WASHINGTON, D.C. -- Fuel Frontiers Inc., a subsidiary of Nuclear Solutions Inc., announced that it has paid Bear Stearns & Co. Inc. $100,000 per the terms of an engagement agreement for Bear Stearns & Co. Inc. to lead a tax-exempt bond offering, as the senior underwriter, totaling $84 million for the construction of a waste-to-ethanol synthesis plant in Dover Township, New Jersey.

Under the terms of the engagement agreement, Bear Stearns agrees to apply its expertise and resources as senior managing underwriter to the proposed offering to obtain project funding. It will endeavor to do this through the issuance of tax-exempt bonds and possibly additional taxable debt instruments.

This agreement, including a summary of its terms and conditions, was filed by Nuclear Solutions, Inc. with the Securities and Exchange Commission on a Form 8-K Current Report on December 20, 2006.

FFI proposes to utilize commercially available and proprietary technologies to transform low-value, end-of-life carbonaceous waste materials such as waste coal, used tires, wood wastes, biomass, discarded corn stalks and other agricultural by-products, into high-value, environmentally friendly, clean-burning ethanol. With its global strategic alliance agreement with Connecticut-based Startech Environmental Corporation, FFI gains access to Startech's innovative, proven and proprietary Plasma Converter(TM) System, which is proposed for use in FFI's planned facilities to transform feedstock materials into ethanol. Currently, FFI reports its operations and financial results on a consolidated basis within Nuclear Solutions Inc.'s public filings.

SOURCE: Nuclear Solutions Inc. via Market Wire.