Homeland Security Capital Corporation (OTCBB: HOMS), an international provider of specialized technology-based radiological, nuclear, environmental, disaster relief and security solutions to government and commercial customers, announced today that its environmental remediation subsidiary, Safety and Ecology Corporation (SEC) was awarded the U.S. Department of Energy’s (DOE) Oak Ridge Office (ORO) Task Order OR22 for complex environmental cleanup operations at the Oak Ridge National Laboratory (ORNL) as a part of the American Recovery and Reinvestment Act, with a contract ceiling price of $50.2M, including options.

Under this initial task order valued at $16.6M, the SEC team will characterize and remove contaminants and equipment, preparing Building 3038 for deactivation and decommissioning (D&D). SEC will also demolish the hot cells, or shielded nuclear radiation containment chambers, located at ORNL’s Building 3026. Awarded on March 30, 2010, the 18-month project is scheduled to be completed by the end of August, 2011. The contract also includes options to remove and disposition legacy contaminants from ORNL Building 3517 and the D&D of ORNL Buildings 3038 and 2026. Should the contract option be exercised, the total value of the contract increases to $50.2M.

“We are proud that SEC has been awarded another stimulus contract. Adding this $16.6M, we have aggregated $54M in ARRA funded projects for our company,” said C. Thomas McMillen, Chairman and CEO of HOMS. “We are pleased to support accelerated cleanup for DOE which is vital to our national security.”

Headquartered in Knoxville, TN, SEC brings more than 18 years of successful, hands-on experience and lessons learned from similar work at ORNL, Y-12, ETTP and various sites across the DOE Complex. SEC’s team, organization and technical approach was developed to reduce safety and performance risk, associated with this complex project. SEC strategically compiled an experienced and technically qualified team, capable of providing the best value to the government.

“SEC has been building our company for this type of cleanup for the Oak Ridge community and beyond,” said Christopher Leichtweis, SEC’s CEO and President of HOMS. “This project is a cornerstone to the critical infrastructure reduction mission at ORNL of eliminating high hazard facilities. SEC is proud to support DOE directly.”

As stated in a DOE issued press release dated April 8, 2010:

This $50 million task order is part of $755 million received by ORO’s Environmental Management program for projects in Oak Ridge. In total, 49 unused buildings across the Oak Ridge Reservation are being safely demolished using Recovery Act funds. Gerald Boyd, Manager of the Oak Ridge Office said, “This contract allows us to continue our considerable progress towards a safer, cleaner ORNL campus, while creating jobs in the community.”

The task order is awarded through DOE Environmental Management’s (EM) Nationwide Multiple Award Indefinite/Delivery Indefinite/Quantity (IDIQ) contracting tool out of DOE's Consolidated Business Center in Cincinnati. This is SEC’s third awarded task order under this IDIQ contract.

The DOE Press release can be found: www.oakridge.doe.gov

About Safety and Ecology Corporation

Safety and Ecology Corporation (SEC) is a rapidly growing environmental services company in the U.S., providing services nationally, in Europe and the Caribbean. The Company specializes in the removal and remediation of hazardous nuclear materials for the U.S. Department of Energy, U.S. Department of Defense, and other federal agencies. SEC also provides advanced environmental services for private industry across the country and internationally. Since its founding in 1991, SEC has grown approximately 30 percent per year, and has emerged as a technology innovator with approximately 450 personnel worldwide and with annual revenues of more than U.S. $70 million. For more information on SEC, visit www.sec-tn.com.

About Homeland Security Capital Corporation (HOMS)

Homeland Security Capital Corporation is a company engaged in the strategic acquisition, development, and consolidation of homeland security-related businesses, within the fragmented homeland security industry. The company is focused on creating long-term value by taking controlling interest and developing its subsidiary companies through superior operations and management. The company is headed by former Congressman C. Thomas McMillen, who served three consecutive terms in the U.S. House of Representatives from the 4 th Congressional District of Maryland. HOMS operates businesses that provide homeland security products and services solutions, growing organically and by acquisitions. The company is targeting emerging companies that are generating revenues but face challenges in scaling their businesses to capitalize on homeland security opportunities.

HOMS’s portfolio of companies, in addition to SEC, includes:

Nexus Technologies Group, a mid-Atlantic security integrator for the corporate and governmental security markets that specializes in non-proprietary integrated security solutions including access control, alarm, video, communication, perimeter protection and bomb and metal detection security systems. Utilizing cutting-edge technologies, Nexus provides innovative, engineered and scalable solutions to effectively protect people, property and assets. For more information about Nexus, visit www.nexusna.com.

Polimatrix, Inc., a system integrator and total solutions provider delivering advanced radiation and nuclear protection and detection services. The company has been operating since September 2006 as a joint venture between Homeland Security Capital Corporation and Polimaster, Inc. For more information about Polimatrix, visit www.polimatrix.com.

For more information about Homeland Security Capital Corporation, visit www.hscapcorp.com.

Forward-Looking Statement

This release includes certain statements that may be deemed to be “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future activities, performance, events or developments, are forward-looking statements. Although HOMS believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements.

Copyright Business Wire 2010