Arabian American Development Signs New Contract

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New One-Year Contract Expands and Increases Existing Contract

DALLAS, Sept. 15 /PRNewswire-FirstCall/ -- Arabian American Development Co. (Nasdaq: ARSD), a leader in the specialty chemical area, today announced that is has signed a new one-year contract with an existing customer with headquarters in Mexico. The contract is an increase over the original value of an existing contract based on current market conditions. The Company will deliver an estimated annual volume of approximately 3.6 million U.S. gallons of C5 pentanes, which will be used as a blowing agent for Expandable Polystyrene (EPS). The contract runs from August 2009 through July 2010.

Mark Williamson, Vice President of Marketing for South Hampton Resources, the Company's Specialty Petrochemicals business, commented, "Our focus on international market expansion is beginning to generate results. Our products meet the demands of a variety of end-market solutions around the world and there is an abundance of international opportunities for us. This new contract continues to demonstrate the acceleration we are experiencing in our international business."

About Arabian American Development Company (ARSD)

ARSD owns and operates a petrochemical facility located in southeast Texas just north of Beaumont which specializes in high purity petrochemical solvents and other solvent type manufacturing. The Company is also the original developer and an equity investor in a Saudi Arabian joint stock company involving a mining project in the Al-Masane area of Saudi Arabia which is currently under construction. The mine is scheduled to be in production in late 2010 and will produce economic quantities of zinc, copper, gold, and silver.

Safe Harbor

Statements in this release that are not historical facts are forward looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward looking statements are based upon management's belief as well as assumptions made by and information currently available to management. Because such statements are based upon expectations as to future economic performance and are not statements of fact, actual results may differ from those projected. These risks, as well as others, are discussed in greater detail in Arabian American's filings with the Securities and Exchange Commission, including Arabian American's Annual Report on Form 10-K for the year ended December 31, 2008 and the Company's subsequent Quarterly Reports on Form 10-Q.

    Company Contact:      Nick Carter, President and Chief Executive Officer
                          (409) 385-8300

    Investor Contact:     Cameron Donahue
                          Hayden IR
                          (651) 653-1854

SOURCE Arabian American Development Co.