ENVIRONMENTAL CLEAN TECHNOLOGIES LIMITED. — Capital/Financing Update 2007

Nov 1, 2007

ABN 28 009 120 405

Environmental Clean Technologies Limited

2 November 2007

Appendix 3B

Environmental Clean Technologies Limited (ASX:ESI) provides a further Appendix 3B that relates to the issue of shares as a result of exercise of 1c options and also to reflect, in part, the options issued as a result of the resolution of the General Meeting on 10[th ] October 2007.

The Appendix 3B also corrects an Appendix 3B lodged on 3[rd] July 2007 that advised 1,900,000 1c options were converted to ORDs. This figure was incorrect and should have been 190,000. The correction is reflected in the attached Appendix 3B.

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Jan Macpherson Company Secretary

Level 13, 222 Kingsway � South Melbourne � Victoria 3205 � Australia � +61(0)3 96840888 � www. ectltd.com.au

Appendix 3B �ew issue announcement

Rule 2.7, 3.10.3, 3.10.4, 3.10.5

Appendix 3B

New issue announcement, application for quotation of additional securities and agreement

Information or documents not available now must be given to ASX as soon as available. Information and documents given to ASX become ASX’s property and may be made public.

Introduced 1/7/96. Origin: Appendix 5. Amended 1/7/98, 1/9/99, 1/7/2000, 30/9/2001, 11/3/2002, 1/1/2003, 24/10/2005.

Name of entity

ENVIRONMENTAL CLEAN TECHNOLOGIES LIMITED

ABN

28 009 120 405

We (the entity) give ASX the following information.

Part 1 - All issues

You must complete the relevant sections (attach sheets if there is not enough space).

1 +Class of+securities issued or to be issued 2 Number of+securities issued or to be issued (if known) or maximum number which may be issued 3 Principal terms of the+securities (eg, if options, exercise price and expiry date; if partly paid+securities, the amount outstanding and due dates for payment; if +convertible securities, the conversion price and dates for conversion)	Ordinary Fully Paid Shares
	1. 60,000 2. 5,477,857
	1. Exercise of 60,000 options at 1cent each 2. Exercise of 5,477,857 options at 1cent each

• See chapter 19 for defined terms.

24/10/2005 Appendix 3B Page 1

Appendix 3B �ew issue announcement

• 4 Do the[+] securities rank equally in all yes respects from the date of allotment with an existing[+] class of quoted +securities? If the additional securities do not rank equally, please state: • the date from which they do • the extent to which they participate for the next dividend, (in the case of a trust, distribution) or interest payment

• • the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment

5 Issue price or consideration 1. $600.00 2. $54,778.57 6 Purpose of the issue Exercise of 1 cent options (If issued as consideration for the acquisition of assets, clearly identify those assets) � 7 Dates of entering[+] securities into 1. 31 October 2007 uncertificated holdings or despatch 2. 1 November 2007 of certificates Number +Class 8 Number and +class of all 289,583,393 ORD +securities quoted on ASX (including the securities in clause 2 if applicable)

• See chapter 19 for defined terms.

Appendix 3B Page 2

24/10/2005

Appendix 3B �ew issue announcement

9 Number and +class of all +securities not quoted on ASX (including the securities in clause 2 if applicable)	Number	+Class
	� 3,020,000 3,500,000 2,500,000 5,000,000 5,000,000	Unlisted options expiring 1 Nov 2008 exercisable at 1 cent each Unlisted options expiring 15thFebruary 2010 exercisable at 12 cents each Unlisted options expiring 15thFebruary 2010 exercisable at 12 cents each once the VWAP for the preceding 5 days is 25c or more Unlisted options expiring 15thFebruary 2010 exercisable at 20 cents each once the VWAP for the preceding 5 days is 30c or more Unlisted options expiring 15thFebruary 2010 exercisable at 25 cents each once the VWAP for the preceding 5 days is 35c or more

10 Dividend policy (in the case of a trust, distribution policy) on the increased capital (interests)

Part 2 - Bonus issue or pro rata issue

11	Is security	holder	approval
	required?
12	Is the issue renounceable		or non-
	renounceable?
13	Ratio in which	the+securities will
	be offered

• See chapter 19 for defined terms.

1/1/2003

Appendix 3B Page 3

Appendix 3B �ew issue announcement

14	+Class of+securities to which the
	offer relates
15	+Record date to determine
	entitlements
16	Will holdings on different registers
	(or subregisters) be aggregated for
	calculating entitlements?
17	Policy for deciding entitlements in
	relation to fractions
18	Names of countries in which the
	entity has+security holders who
	will not be sent new issue
	documents
	Note: Security holders must be told how their
	entitlements are to be dealt with.
	Cross reference: rule 7.7.
19	Closing date for receipt of
	acceptances or renunciations

Ä

• See chapter 19 for defined terms.

Appendix 3B Page 4

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Appendix 3B �ew issue announcement

20 Names of any underwriters 21 Amount of any underwriting fee or commission 22 Names of any brokers to the issue 23 Fee or commission payable to the broker to the issue 24 Amount of any handling fee payable to brokers who lodge acceptances or renunciations on behalf of +security holders 25 If the issue is contingent on +security holders’ approval, the date of the meeting 26 Date entitlement and acceptance form and prospectus or Product Disclosure Statement will be sent to persons entitled 27 If the entity has issued options, and the terms entitle option holders to participate on exercise, the date on which notices will be sent to option holders 28 Date rights trading will begin (if applicable) 29 Date rights trading will end (if applicable) 30 How do+security holders sell their entitlements in full through a broker? 31 How do+security holders sell part of their entitlements through a broker and accept for the balance?
	~~�~~

• See chapter 19 for defined terms.

1/1/2003

Appendix 3B Page 5

Appendix 3B �ew issue announcement

• 32 How do[+] security holders dispose of their entitlements (except by sale through a broker)?

• 33 +Despatch date

Part 3 - Quotation of securities

You need only complete this section if you are applying for quotation of securities

• 34 Type of securities (tick one)

• (a)  Securities described in Part 1 a), c) and e)

• (b) All other securities

Example: restricted securities at the end of the escrowed period, partly paid securities that become fully paid, employee incentive share securities when restriction ends, securities issued on expiry or conversion of convertible securities

Entities that have ticked box 34(a)

�

Additional securities forming a new class of securities

Tick to indicate you are providing the information or documents

35 If the[+] securities are[+] equity securities, the names of the 20 largest holders of the additional[+] securities, and the number and percentage of additional[+] securities held by those holders

36 If the[+] securities are[+] equity securities, a distribution schedule of the additional +securities setting out the number of holders in the categories

1 - 1,000 1,001 - 5,000 5,001 - 10,000 10,001 - 100,000 100,001 and over

• 37 A copy of any trust deed for the additional[+] securities

• See chapter 19 for defined terms.

Appendix 3B Page 6

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Appendix 3B �ew issue announcement

Entities that have ticked box 34(b)

38 Number of securities for which +quotation is sought 39 Class of +securities for which quotation is sought 40 Do the[+] securities rank equally in all respects from the date of allotment with an existing[+] class of quoted +securities? If the additional securities do not rank equally, please state: • the date from which they do • the extent to which they participate for the next dividend, (in the case of a trust, distribution) or interest payment • the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment ~~�~~ 41 Reason for request for quotation now Example: In the case of restricted securities, end of restriction period (if issued upon conversion of another security, clearly identify that other security) Number +Class 42 Number and[+] class of all[+] securities quoted on ASX (including the securities in clause 38)

• See chapter 19 for defined terms.

1/1/2003

Appendix 3B Page 7

Appendix 3B �ew issue announcement

Quotation agreement

• 1 +Quotation of our additional +securities is in ASX’s absolute discretion. ASX may quote the[+] securities on any conditions it decides.

• 2 We warrant the following to ASX.

• The issue of the[+] securities to be quoted complies with the law and is not for an illegal purpose.

• There is no reason why those[+] securities should not be granted[+] quotation.

• An offer of the[+] securities for sale within 12 months after their issue will not require disclosure under section 707(3) or section 1012C(6) of the Corporations Act.

  • Note: An entity may need to obtain appropriate warranties from subscribers for the securities in order to be able to give this warranty

• Section 724 or section 1016E of the Corporations Act does not apply to any applications received by us in relation to any[+] securities to be quoted and that no-one has any right to return any[+] securities to be quoted under sections 737, 738 or 1016F of the Corporations Act at the time that we request that the[+] securities be quoted.

• • If we are a trust, we warrant that no person has the right to return the +securities to be quoted under section 1019B of the Corporations Act at the time that we request that the[+] securities be quoted.

• 3 We will indemnify ASX to the fullest extent permitted by law in respect of any claim, action or expense arising from or connected with any breach of the warranties in this agreement.

• 4 We give ASX the information and documents required by this form. If any information or document not available now, will give it to ASX before[+] quotation of the[+] securities begins. We acknowledge that ASX is relying on the information and documents. We warrant that they are (will be) true and complete.

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Sign here: ............................................................ Date: 2.11.07

(Company secretary)

Print name: .Jan Macpherson

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• See chapter 19 for defined terms.

Appendix 3B Page 8

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