News Releases

CALGARY, ALBERTA--Newalta Income Fund ("Newalta") (TSX - NAL.UN)
is pleased to announce that it has entered into an agreement to
sell 3,800,000 Trust Units at $12.00 each to raise gross proceeds
of $45,600,000 on a bought deal basis. The underwriting syndicate
is co-led by CIBC World Markets Inc. and Sprott Securities Inc.
and includes BMO Nesbitt Burns Inc. and Canaccord Capital
Corporation. The offering will be made in each of the provinces
of Alberta, British Columbia, Manitoba, Ontario and Quebec is
expected to close on October 21, 2003, subject to regulatory
approvals. Purchasers of Trust Units under this offering will be
entitled to receive the distribution to be paid on or about
November 17, 2003 to unitholders of record on October 31, 2003.

The net proceeds of the offering will be used to repay
outstanding indebtedness, for general corporate purposes and to
fund Newalta's growth strategy through investments in its
existing operations as well as acquisitions.

This news release shall not constitute an offer to sell or the
solicitation of an offer to buy, securities in any jurisdiction
in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities laws of any
such jurisdiction. The securities offered will not be, and have
not been, registered under the United States Securities Act of
1933 and may not be offered or sold in the United States absent
registration or applicable exemption from the registration
requirement.

Newalta Income Fund is an open-ended trust that maximizes the
inherent value in certain industrial wastes through recovery of
saleable products and recycling, rather than disposal. Through an
integrated network of 35 state-of-the-art facilities, Newalta
delivers world-class solutions to a broad customer base of
national and international corporations, in a range of
industries, including the automotive, forestry, pulp and paper,
manufacturing, mining, oil and gas, petrochemical, and
transportation services industries. With a strong track record of
profitable growth and environmental stewardship, Newalta is
focused on leveraging its proven competencies in new service
sectors and geographic markets from coast to coast.

NOT FOR DISTRIBUTION TO THE U.S. NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES