VEGA BIOFUELS, INC. provides the following update for the Company's Bio-Coal plant to be located in Cordele, Georgia.

The Company recently announced that it had entered into an Agreement with engineering firm, Hunt, Guillot & Associates. As announced, HGA will provide various services to Vega including plant design, project management, equipment installation, and engineering services.

"We are currently working with HGA on the design, construction, and implementation of the manufacturing facility," stated Michael K. Molen, Chairman/CEO of Vega Biofuels, Inc. "Now that HGA is fully engaged, and once they complete the feasibility study, they will provide us with preliminary plant drawings that among other things, will lay out the plot, motor list, and topo maps for the project. We look forward to completing this process so we can begin the installation and construction of the plant. We have received tremendous support from the local area. We will have more information about the project as we move forward."