MagIndustries Provides Update on Proposed Transaction With COMPLANT

MagIndustries Corp. ("MagIndustries" or the "Company") (TSX:MAA) is pleased to
provide an update on the proposed transaction with China National Complete Plant
Import & Export Corporation Limited ("COMPLANT"). 


On January 29, 2010, MagIndustries and COMPLANT signed a Project Development
Framework ("PDF") which outlined the basis of the parties' cooperation on the
financing and construction of the MagMinerals Mengo potash project (the
"Project"), a 1.2 million tonne per year greenfield potash project in the
Republic of Congo. 


Progress during the last six months has been made in the following respects:



1.  A due diligence site visit to the Republic of Congo by COMPLANT in
    March; 
2.  A visit to China and COMPLANT by His Excellency Pierre OBA, Republic of
    Congo Minister of Mines and Geology in April on the invitation of
    COMPLANT and accompanied by MagIndustries; 
3.  In depth discussions between COMPLANT and MagIndustries regarding the
    technical aspects of the Project including reserves and resources,
    process design, construction plan and financing requirements; 
4.  Completion of an independent feasibility study by a Chinese technical
    institute for COMPLANT; 
5.  Discussions between COMPLANT and Chinese financial institutions
    regarding Project debt financing; and 
6.  Advanced discussions between COMPLANT and MagIndustries regarding
    valuation, transaction structure and related conditions. 



COMPLANT has agreed that the reasonable ongoing expenses of the Project after
July 1, 2010 until the close of the transaction will be accrued and re-paid to
MagIndustries at the closing. 


The PDF included a number of key features which are expected to be retained in
the final agreement:




1.  Equity ownership: COMPLANT or its nominee to acquire a controlling
    interest in an entity holding MagIndustries' 90% position in the
    Project, leaving MagIndustries with a 39.9% interest in the Project and
    the Republic of Congo intact with 10%. 
2.  Terms for Debt: COMPLANT is to source the debt required for the project
    in the form of a secured construction loan repayable over a term of 10
    years subject to the final approval of the transaction. 
3.  EPC Contract: COMPLANT is to be appointed Engineering, Procurement and
    Construction ("EPC") contractor for the Project and the partners will
    enter into a definitive EPC contract to build the Project. 
4.  Project schedule: Onsite activities are expected to start prior to year
    end, 2010. 



Following recent meetings COMPLANT and MagIndustries have agreed on material
commercial terms and are drafting the Project Development Agreement ("PDA"). The
PDA is scheduled to be signed by both parties in Toronto by the end of August
2010, subject to the completion and results of final due diligence and technical
evaluation by COMPLANT and receipt of authorizations by the boards of directors
of each party. It is anticipated that MagIndustries and COMPLANT will complete
the negotiation and signing of all ancillary agreements and obtain all required
regulatory approvals by November, 2010.


About COMPLANT

COMPLANT is a public company with its head office in Beijing, trading on the
Shenzhen Stock Exchange under the symbol "000151". Its controlling shareholder
is State Development & Investment Corporation ("SDIC"), the largest state-owned
investment holding company in China. SDIC has a workforce of more than 60,000
employees and at the end of 2009, the corporation had a registered capital of
US$2.7 billion (RMB 18.4 billion) and total assets of US$31 billion (RMB 209.6
billion).


China National Complete Plant Import and Export (Group) Corporation
(www.complant.com) the parent company of the Complant Group, was established in
1959 to engineer and build complete manufacturing plants within China but
principally internationally. As the publicly listed company of the Complant
Group, COMPLANT is mainly conducting overseas general contracting and investment
activities. COMPLANT has evolved into one of China's most active construction
and investment companies with a focus on projects in developing countries. Over
their 50 year history they have built more than 1400 plants in Asia,
Latin-America and Africa. They have numerous branch offices in Africa where they
have built airports, roads, ports, complete mines, energy facilities and plants
in every key industry, while evolving their business model from general
contractor to investor.


For MagIndustries the strategic rationale for the selection of COMPLANT as a
project partner was based on the assessment that COMPLANT:




--  Is a major Chinese EPC Contractor with an international focus 
--  Its controlling shareholder, SDIC, is highly experienced in the
    investment and production of potash 
--  Its controlling shareholder, SDIC, has built and now runs a large
    portion of Chinese domestic potash production 
--  Has access to corporate and investment institutions for investment in
    potash 
--  Is very active in Africa and their top executives have personal
    knowledge of the Republic of Congo 
--  Is a responsive, business oriented group with public-company experience 



About MagIndustries Corp.

MagIndustries is a Canadian company whose common shares are listed on the TSX
and trades in Canadian currency under the symbol "MAA". The Company has
418,342,462 shares outstanding on an undiluted basis. MagIndustries is focused
on the development of its potash assets in the Republic of Congo. More
information on the Company is available on its website, www.magindustries.com.


Except for historical information, this press release contains forward-looking
statements, which reflect the Company's current expectation regarding future
events. These forward-looking statements involve risks and uncertainties, which
may cause actual results to differ materially from those statements. Those risks
and uncertainties include, but are not limited to, changing market conditions,
and other risks detailed from time-to-time in the Company's ongoing filings. We
undertake no obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events or otherwise.
In light of these risks, uncertainties and assumptions, the forward-looking
events in this press release might not occur.


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