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Environmental Solutions Worldwide Inc. Signs Agreement with Filter Services and Testing Corp

Companies to Co-Market MSHA Tested Terra Cat(TM) Combination Mining Catalyst System 

CONCORD, Ontario (08/02/06) -- Environmental Solutions Worldwide Inc. (ESW) (OTCBB:ESWW) announced today that the Company's wholly owned subsidiary ESW Canada (ESWC) has signed a long term agreement with Filter Services and Testing Corp (FST).

The scope of the agreement outlines for both companies to market ESWC's proprietary M Cat(TM) mining catalyst with FST's proprietary Liquid Cooled Canister & Disposable Filter system. The new product offering branded the "Terra Cat(TM)" System was launched in May of 2006 after successful performance testing with the U.S. Mine Safety and Health Administration (MSHA). The Terra Cat(TM) System has also undergone extensive successful field trials in a number of different mining equipment applications. These applications range from heavy-duty full sized Scoops powered by large horse power diesel engines, to small Skid Steers outfitted for the extreme working conditions found in underground mining operations.

To date, every application of the Terra Cat(TM) System has exceeded the mining operator's expectations. Field results from the Scoop applications continue to indicate the lifespan between replacements of the disposable filter has been extended from an average of 6 hours to over 80 hours by the integration of the combination system. Similar results have been documented from the Skid Steer applications. This represents a +ten (10) fold increase in the useful lifespan of the disposable filter between change outs, which equates to cost savings to the mine operators. The system also achieves in excess of 85+% Particulate Matter (DPM) and Carbon Monoxide (CO) reductions while Nitrogen Dioxide (NO2) levels remained within MSHA's standards.

Sim Bunderson, President of FST remarked, "The Coal Industry has demonstrated a very cooperative effort to work with MSHA and the manufactures to find methods of DPM removal that meets and or exceeds safety requirements. They have a genuine concern for the health and safety of their employees. Until ESW and FST joined technologies, the industry was faced with systems that fell short of the safety requirements or were economically unfeasible. The Terra Cat(TM) System achieves a level of health and safety standards that the industry has long sought and simultaneously offers significant cost reductions to the mining operators. It clearly demonstrates what can be achieved when Industry, Government and Manufactures work together."

David J. Johnson, ESW's President and CEO commented, "We have been very pleased with sales of the new Terra Cat(TM) System product line to date. Every customer application has been met with the same operation savings and performance success. We have received inquiries from mine operators that have expressed interest in converting their entire inventory of vehicles and equipment to this cost saving product. The question of whether to combine our MSHA performance verified M Cat(TM) mining catalyst with FST's Cool Canister & Disposable Filter was an easy one to make. We believe this synergistic combination of technologies will benefit the entire industry."

About Filter Service & Testing Corp.

Filter Service & Testing Corp. (FST) is a privately held firm located in Price, Utah. FST primarily manufactures specialty filters and housings for the mining industry. FST's products meet 30CFR, section 72.5 - 72.502 MSHA compliance regulations for certain applications with respect to diesel particulate removal. The company also provides service to the power generation industry throughout the intermountain west.

About Mine Safety and Health Administration (MSHA)

The U.S. Labor Department's Mine Safety and Health Administration (MSHA) help to reduce deaths, injuries, and illnesses in the nation's mines with a variety of activities and programs. The agency develops and enforces safety and health rules applying to all U.S. mines, helps mine operators who have special compliance problems, and makes available technical, educational and other types of assistance. MSHA works cooperatively with industry, labor, and other Federal and state agencies toward improving safety and health conditions for all miners. www.msha.gov

About Environmental Solutions Worldwide Inc.

With headquarters in Concord, Ontario, Environmental Solutions Worldwide, Inc. is a publicly traded company engaged through its subsidiaries ESW Canada, Inc. and ESW America, Inc. in the design, development, ISO 9001:2000 certified manufacturing and sales of environmental technologies. ESW currently manufactures and markets a line of catalytic emission control conversion products and catalytic support technologies for diesel, gasoline and alternative fueled engines for a multitude of applications.

For updated information, please visit the Company's Web site at: www.cleanerfuture.com

Safe Harbor

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (The "Act"). In particular, when used in the preceding discussion, the words "pleased" "plan," "confident that," "believe," "expect," or "intend to," and similar conditional expressions are intended to identify forward looking statements within the meaning of the Act and are subject to the safe harbor created by the Act. Such statements are subject to certain risks and uncertainties and actual results could differ materially from those expressed in any of the forward-looking statements. Such risks and uncertainties include, but are not limited to, market conditions, general acceptance of the Company's products and technologies, competitive factors, the ability to successfully complete additional financings and other risks described in the Company's SEC reports and filings.

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