January 3rd, Dear Subscriber,

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1 EnWave s mission is to establish REV as a new global dehydration standard: faster and cheaper than freeze drying, with better quality than air drying or spray drying." January 3rd, 2012 Dear Subscriber, It's been an extraordinary year for EnWave. During 2011, we received a record amount of interest in our REV technology suite, signing research collaborations with Merck, one of the world's leading pharmaceutical companies along with Kellogg, Hormel, Ocean Spray and Bonduelle, four leading multinational players representing different sectors of the food industry. The first major REV commercial royalty bearing license in the United States was signed in May 2011 by Milne fruits for berry snack products. Their first machine is starting up in early 2012, launching nutradried blueberries, raspberries and blackberries across 90% of the U.S. market, Ontario and Quebec. We made excellent progress with our existing collaborators including Nestlé, Grupo Bimbo and Grimmway Farms, acquired the REV patent suite from the University of British Columbia and initiated testing on three new technology platforms to prepare the company for increased levels of commercialization in 2012 and beyond. Some of the highlights of 2011 include: Raised more than CDN$15 million of equity and government grant financing to support expansion and commercialization. This capital has significantly strengthened our balance sheet with more than CDN$10.5 million cash in the bank at the end of Acquired all patents and know-how that EnWave was previously licensing from The University of British Columbia for Radiant Energy Vacuum dehydration technology for approximately CDN$6.1 million (CDN$3.6 million cash plus 1.2 million common shares).

2 Negotiated and signed first major commercial agreement in May 2011 with Milne Fruit Products Inc.; received an order for a MIVAP machine, delivered and installed with performance guarantees by our German partner Hans Binder Maschinenbau GmbH. Negotiated and signed two additional development agreements with Milne Fruit Products Inc. that expand the product category to include an additional product and an 18 month exclusive licensing option for two new territories generating a non-refundable commitment fee of US$100,000. Negotiated and signed collaboration agreements with Kellogg Company (Cereal and Cereal Bars), Bonduelle Canada (Frozen Vegetables), Ocean Spray Cranberries Inc. (Cranberries) and Hormel Foods (Meat Products). Signed first Research Evaluation Agreement for the pharmaceutical industry with Merck, through a subsidiary, to test the feasibility of the recently built freezerev multi-vial and labscale powderrev technology at their facilities beginning in early Built and initiated testing on the powderrev pilot-scale technology. While we were disappointed the collaboration agreement with Danisco was mutually discontinued after they were acquired by Dupont, we secured valuable insights into the drying of sensitive biological materials on a larger scale which has attracted the attention of Merck and we are confident interest in the technology will expand to include other opportunities in the future. Built and initiated testing on the quantarev pilot-scale technology. The initial testing focus has been with Grimmway Farms for vegetable products and we are pleased with progress to date. Delivered four additional lab-scale nutrarev testing units to support 2010 and 2011 Tier 1 multinational collaboration agreements. EnWave now has five testing units installed in the research facilities of collaboration partners who are actively investing in the development and evaluation of new product improvements and brand ideas. Reported that the SRC demonstrated positive results in a set of viability and shelf-life tests designed to measure the potential benefits of freezerev over freeze drying; the tests showed that freezerev was capable of drying a specific vaccine in 50 minutes compared to more than 40 hours of freeze drying, with the same survival rates. Received positive results from a 12 month independent study comparing freezerev against freeze drying, in the dehydration of pure samples of FITC-conjugated and unconjugated animal-derived monoclonal antibodies. The results showed that the drying methods were equivalent

3 in terms of the structural changes incurred by the protein both immediately post-dehydration, and over the course of the 12 month shelf-life period, but that the samples dried using freezerev were produced in 20 minutes versus the typical 48 hours required for freeze drying. Signed a Testing Agreement with the SRC to collaborate on the further development and testing of EnWave s 250 multi-vial freezerev prototype equipment. Selected as a Top 50 TSX venture stock and was voted the Pick of the Street by members of the Canadian financial sector for the second straight year in the technology and life sciences division. Named 2011 Early-Stage Industrial Biotechnology Company of the Year by BIOTECanada, Canada s national biotechnology association. Granted a trademark in Canada and the U.S. for the nutradried brand, and the Company is now working with several of its partners to develop co-branded nutradried food products using REV technology. We are extremely proud of what EnWave was able to accomplish during 2011 and believe that the company has the opportunity to successfully expand the commercialization of REV as a disruptive, innovative technology in a variety of new markets on the global stage in Business Focus EnWave s corporate mission continues to be the introduction and advancement of Radiant Energy Vacuum technology as a feasible replacement for freeze drying, as well as a superior alternative to spray drying and hot air drying. In order to achieve our corporate mission, the focus of EnWave s 2012 business strategy is primarily on preparing customized equipment designs and delivery schedules, with current and new machine building partners, to support the targeted conversion of multiple Tier 1 collaboration agreements into commercial licenses and machine orders. A secondary focus is on continual pipeline development and royalty stream growth throughout the year. The diversity of our market opportunities, combined with the technological capabilities of REV, presents EnWave with a chance to experience a transformational year. The 2012 Business Strategy is designed to provide guidance for the focused execution of the following six corporate goals: 1. Generate the first royalty revenue from the Milne Fruit Products Inc. commercial plant by the second quarter; 2. Sign first commercial licence agreement with a Tier 1 multi-national collaborator before the end of the second quarter and multiple agreements by the end of the year; 3. Sign at least three new multi-national collaboration agreements with Tier 1 companies in 2012;

4 4. Support the product development and commercialization efforts under current collaboration agreements; explore possibilities for expansion into other divisions for new REV applications; 5. Design and develop a 5 wide commercial-scale quantarev machine for current and potential partners; and, 6. Expand relationships with German and North American engineering and machine building partners to support customized machine order designs and deliveries. We firmly believe that if the aforementioned six corporate goals are achieved in 2012, the company will be positioned for substantial future success. The first commercial agreement with a Tier 1 company will further validate EnWave s business model; increased revenue from growing royalties will further reduce the company s burn rate and attract additional institutional investment; and the production of commercial-scale quantarev machinery will provide the capacity needed to competitively dehydrate bulk food products. The combination of these milestones should position our company one step closer toward achieving our mission of establishing REV technology as a new global standard in the dehydration industry. Collaboration Pipeline Many investors ask what the prospective timeline is for the attainment of EnWave's first commercial license with a major partner. Please refer to the chart shown below to gain insight into our collaboration pipeline. Corporate Development Over the course of 2012, we will continue to share EnWave's investment case with targeted groups of sophisticated retail investors, high networth individuals and institutional investors in both Europe and North America. The signing of our first commercial license with a Tier 1 multi-national company will be

5 the milestone that takes EnWave to the next level of market support and will validate our business model. We are extremely focused on the execution of our corporate goals set for 2012, which will adequately prepare the company for the challenges inherent of commercializing a new technology with dominant multi-national food companies. We encourage you to track our progress throughout the year and witness our continual progression towards achieving our corporate mission. Please feel comfortable contacting John McNicol at john.mcnicol@enwave.net or Brent Charleton, Director of Marketing & Corporate Affairs at bcharleton@enwave.net with any inquiries concerning the Company. Best regards, Dr. Tim Durance Chairman & Co-CEO EnWave Corporation Mr. John McNicol President & Co-CEO EnWave Corporation