Keata Pharma IncPharmEng International Inc., a full-service consulting and contract manufacturing company, recently announced that Keata Pharma Inc. ("Keata"), its wholly owned subsidiary, has signed an agreement effective January 1, 2009 with a multi-national consumer healthcare company for the manufacturing of specific branded non-prescription drug products (the "Products") for Canada and various other international territories. This represents a new agreement for Keata, replacing an existing sub-contracting relationship with the multi-national consumer healthcare company with whom Keata had sales in excess of CDN $10 M in 2008.

Under the agreement, Keata will be the third party supplier to the multi-national consumer healthcare company for the Products for an initial two year term commencing from January 1, 2009 with an option to extend the agreement for two additional one-year terms.

"We are delighted to be continuing our relationship with this consumer healthcare company as the agreement underscores our dedication to quality and our commitment to continual cost improvement", stated Alan Kwong, CEO of PharmEng International Inc. "This supply agreement comes as a part of other multi-year contracts and will help to properly optimize our production capacity," concluded Mr. Kwong.

Keata manufacturing capabilities include pilot laboratories for formulation development, various capabilities of high shear mixing, container blending and equipment for modified release technology in an environment consistent with current Good Manufacturing Practices. Keata facilities have the necessary equipment and approvals to provide formulation development and testing services to manufacture and package products in solid and liquid dosage forms, including aseptic manufacturing. Keata's long-term goal is to develop capabilities in other dosage forms, such as suppositories, topicals and injectables.