Covalon Receives First Milestone Payment from Hartmann-Conco

April 28, 2005

MISSISSAUGA, ONTARIO--(CCNMatthews - April 28, 2005) - Covalon Technologies Ltd. (TSX VENTURE:COV) is pleased to announce that it has received its first milestone payment from Hartmann-Conco Inc.,USA (Hartmann). This is the first of three milestone payments relating to the Letter of Intent signed between the two parties announced on April 27, 2005 - "Covalon has signed another Letter of Intent with Hartmann to license its proprietary technology and antimicrobial coating process for the development and commercialization of applications to an antimicrobial, conforming stretch bandage".

The development and commercialization of the antimicrobial conforming stretch bandage is now underway. Covalon and Hartmann look forward to a quick completion of this project and the launch of the product.

The Hartmann-Conco group is comprised of several wholly-owned subsidiaries in 36 countries and other joint venture operations.  It is one of the leading companies in its field with revenues of EURO 1.3 billion in 2003 and employing 10,000 people.  Hartmann-Conco is a world-class manufacturer of wound-dressings, specifically gauze dressings. Hartmann-Conco is owned by Paul Hartmann AG, a major global manufacturer of wound care products, with its head office located in Heidenheim, Germany.

Covalon Technologies Ltd., is an advanced medical biosystems company that has developed and patented advanced therapeutic biomaterials for wound care and surgical applications and coatings.  Polymer chemistry and surface coating technology have been combined to create a range of time-release drug delivery platforms that are applied to many medical devices to treat many critical conditions. A variety of applications for these technologies have been identified and specific products have been developed. The products offer features and benefits providing solutions to many of the problems caused by current devices and their material properties which are used by most medical device manufacturers and suppliers. The problems include infection, poor biocompatibility, and microbial attachment.

For further information please contact: William Jackson
Chief Financial Officer
Covalon Technologies Ltd.
T: (905) 568-8400
F: (905) 568-5200
www.covalon.com

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.  The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved of the contents of this release.

This document contains forward-looking statements. These statements relate to future performance. In some cases, forward-looking statements can be identified by terminology such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "estimate", "predict", "potential", "continue", or the negative of any of these terms or comparable terminology. Such statements reflect the current views of management of the Company with respect to future events. Actual events or results may differ materially. Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. The Company disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward -looking statements contained herein to reflect future results, events or developments.