SHEP Technologies Applies for AIM Listing on London Stock Exchange

    VANCOUVER, British Columbia--June 10, 2003--SHEP Technologies Inc. (OTCBB: STLOF, BERLIN: IH3) ("STI" or the "Company"), announced today that it intends to apply for a listing on the London Stock Exchange's ("LSE") Alternative Investment Market ("AIM"). AIM is Europe's most important venture capital exchange, providing an international market for young and growing companies. Created in 1995, AIM has facilitated the raising of over US$11.0 billion for some 850 AIM companies, both domestic and foreign.
    STI management believes that an AIM listing will provide the Company with greatly improved access to investment capital and will also significantly enhance shareholder appeal due to its UK-based share trading venue. STI's operations and intellectual property are situated in the UK, and the European market offers enormous potential for the implementation of SHEP System technology.
    As a first step towards its AIM listing, STI retained the services of a leading, UK-based chartered accountant and business advisory firm during a trip to the UK last week. This firm will seek approval from UK tax authorities to allow the Company to offer significant tax advantages to incoming UK-based shareholders, both corporate and private.
    During the UK trip, STI management also met with several pre-screened firms in order to select a team of professionals that will be required to secure the AIM listing. The team will include a nominated advisor ("NOMAD"), nominated brokers, a solicitor to STI and reporting accountants. Based on these meetings, final selections are expected within two weeks.
    During and pursuant to the AIM listing process, STI will continue to adhere to both Canadian and US Security Exchange Commission regulatory requirements as British requirements are introduced.

    About SHEP Technologies Inc.

    SHEP Technologies Inc. owns SHEP Limited, a corporation based in the Isle of Man with operations in Taunton, England and in the United States. SHEP Limited has designed and developed proprietary energy technology for application in the global automotive sector.
    The SHEP System, using electronics and proprietary hydraulic pump motors, captures otherwise lost kinetic energy generated during vehicle braking, and utilizes this recovered energy for vehicle acceleration during the inefficient low-speed acceleration phase. Under a controlled test environment at one of the world's largest automotive manufactures, significant fuel savings, together with reduced engine and brake wear and tear, were realized.
    The SHEP System is intended to be equally applicable to delivery, service and passenger vehicles of all sizes and variety. Optimal use of SHEP technology is anticipated in high density urban traffic environment where acceleration and braking cycles are frequent - accordingly buses, trucks, taxis and subway systems could be ideal applications.
    The Company anticipates licensing its "Stored Hydraulic Energy Propulsion" (the "SHEP System") to automotive manufacturers and their Tier 1 suppliers. Hydraulic propulsion is being embraced by OEMs in the automotive industry. In particular, SHEP components are incorporated as an integral part of one of North America's major auto producer's hydraulic power assist-equipped development vehicles, which passed formal 'Proof of Concept' in December 2000 and is now positioned for the 'Implementation Ready' design, development and testing phase.

    ON BEHALF OF THE BOARD OF DIRECTORS
    Malcolm P. Burke, President and Chief Executive Officer

    Statements about the Company's future expectations, including future revenues and earnings, and all other statements in this press release other than historical facts, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. The Company intends that such forward-looking statements be subject to the safe harbors created thereby. Since these statements involve risks and uncertainties and are subject to change at any time, the Company's actual results could differ materially from expected results.
    Specifically, the listing of the Company's shares on the Alternative Investment Market is subject to a number of uncertainties beyond the control of STI.
    CUSIP #: 823222104