Document:

Exhibit 4.22

                                     WARRANT

THE SECURITIES REPRESENTED BY THIS WARRANT HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS. THE
SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT AND MAY NOT BE OFFERED FOR SALE,
SOLD, TRANSFERRED OR ASSIGNED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION
STATEMENT FOR THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR
APPLICABLE STATE SECURITIES LAWS, OR AN OPINION OF COUNSEL IN A FORM REASONABLY
SATISFACTORY TO THE ISSUER THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR
APPLICABLE STATE SECURITIES LAWS OR UNLESS SOLD PURSUANT TO RULE 144 UNDER SAID
ACT. NOTWITHSTANDING THE FOREGOING, THIS WARRANT MAY BE PLEDGED IN CONNECTION
WITH A BONA FIDE MARGIN ACCOUNT.

                       STARTECH ENVIRONMENTAL CORPORATION

                        Warrant To Purchase Common Stock

Warrant No.: STHK-1-1                         Number of Shares:           30,000
                                              Warrant Exercise Price:      $1.50

Date of Issuance: May 9, 2008

STARTECH ENVIRONMENTAL CORPORATION, a Colorado corporation (the "Company"),
hereby certifies that, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, YA GLOBAL INVESTMENTS, L.P. (the
"Holder"), the registered holder hereof or its permitted assigns, is entitled,
subject to the terms set forth below, to purchase from the Company upon
surrender of this Warrant, at any time or times on or after the date hereof, but
not after 11:59 P.M. Eastern Time on the Expiration Date (as defined herein)
Thirty Thousand (30,000) fully paid and nonassessable shares of Common Stock (as
defined herein) of the Company (the "Warrant Shares") at the exercise price per
share provided in Section 1(b) below or as subsequently adjusted; provided,
however, that in no event shall the holder be entitled to exercise this Warrant
for a number of Warrant Shares in excess of that number of Warrant Shares which,
upon giving effect to such exercise, would cause the aggregate number of shares
of Common Stock beneficially owned by the holder and its affiliates to exceed
4.99% of the outstanding shares of the Common Stock following such exercise,
except within sixty (60) days of the Expiration Date (however, such restriction
may be waived by Holder (but only as to itself and not to any other holder) upon
not less than 65 days prior notice to the Company). For purposes of the
foregoing proviso, the aggregate number of shares of Common Stock beneficially
owned by the holder and its affiliates shall include the number of shares of

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Common Stock issuable upon exercise of this Warrant with respect to which the
determination of such proviso is being made, but shall exclude shares of Common
Stock which would be issuable upon (i) exercise of the remaining, unexercised
Warrants beneficially owned by the holder and its affiliates and (ii) exercise
or conversion of the unexercised or unconverted portion of any other securities
of the Company beneficially owned by the holder and its affiliates (including,
without limitation, any convertible notes or preferred stock) subject to a
limitation on conversion or exercise analogous to the limitation contained
herein. Except as set forth in the preceding sentence, for purposes of this
paragraph, beneficial ownership shall be calculated in accordance with Section
13(d) of the Securities Exchange Act of 1934, as amended. For purposes of this
Warrant, in determining the number of outstanding shares of Common Stock a
holder may rely on the number of outstanding shares of Common Stock as reflected
in (1) the Company's most recent Form 10-QSB or Form 10-KSB, as the case may be,
(2) a more recent public announcement by the Company or (3) any other notice by
the Company or its transfer agent setting forth the number of shares of Common
Stock outstanding. Upon the written request of any holder, the Company shall
promptly, but in no event later than one (1) Business Day following the receipt
of such notice, confirm in writing to any such holder the number of shares of
Common Stock then outstanding. In any case, the number of outstanding shares of
Common Stock shall be determined after giving effect to the exercise of Warrants
(as defined below) by such holder and its affiliates since the date as of which
such number of outstanding shares of Common Stock was reported.

Section 1.

     (a) This Warrant is issued pursuant to such letter agreement date May 6,
2008 dated the date hereof between the Company and the Holder (the "Letter
Agreement").

     (b) Definitions. The following words and terms as used in this Warrant
shall have the following meanings:

          (i) "Approved Stock Plan" means any employee benefit plan which has
been approved by the Board of Directors of the Company, pursuant to which the
Company's securities may be issued only to any employee, officer or director for
services provided to the Company.

          (ii) "Business Day" means any day other than Saturday, Sunday or other
day on which commercial banks in the City of New York are authorized or required
by law to remain closed.

          (iii) "Closing Bid Price" means the closing bid price of Common Stock
as quoted on the Principal Market (as reported by Bloomberg Financial Markets
("Bloomberg") through its "Volume at Price" function).

          (iv) "Common Stock" means (i) the Company's common stock, no par value
per share, and (ii) any capital stock into which such Common Stock shall have
been changed or any capital stock resulting from a reclassification of such
Common Stock.

          (v) "Event of Default" means an event of default under the Securities
Purchase Agreement dated September 15, 2005 and the documents entered into in
connection therewith.

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          (vi) "Excluded Securities" means any of the following: (a) any shares
issued or deemed issued pursuant to an Approved Stock Plan; (b) any issuance by
the Company of securities in connection with a strategic partnership or a joint
venture or other partnering arrangement or to consultants (the primary purpose
of which is not to raise equity capital); or (c) any issuance by the Company of
securities as consideration for a merger or consolidation or the acquisition of
a business, product, license, or other assets of another person or entity.

          (vii) "Expiration Date" means the date which is three (3) years from
the Issuance Date. If such date falls on a Saturday, Sunday or other day on
which banks are required or authorized to be closed in the City of New York or
the State of New York or on which trading does not take place on the Principal
Exchange or automated quotation system on which the Common Stock is traded (a
"Holiday"), the next date that is not a Holiday.

          (viii) "Issuance Date" means the date hereof.

          (ix) "Other Securities" means (i) those options and warrants of the
Company issued prior to, and outstanding on, the Issuance Date of this Warrant,
(ii) the shares of Common Stock issuable on exercise of such options and
warrants, provided such options and warrants are not amended after the Issuance
Date of this Warrant and (iii) the shares of Common Stock issuable upon exercise
of this Warrant.

          (x) "Options" means any rights, warrants or options to subscribe for
or purchase Common Stock or Convertible Securities.

          (xi) "Person" means an individual, a limited liability company, a
partnership, a joint venture, a corporation, a trust, an unincorporated
organization and a government or any department or agency thereof.

          (xii) "Principal Market" means on any of (a) the American Stock
Exchange, (b) New York Stock Exchange, (c) the Nasdaq National Market, (d) the
Nasdaq Capital Market, or (e) the Nasdaq OTC Bulletin Board ("OTCBB")

          (xiii) "Securities Act" means the Securities Act of 1933, as amended.

          (xiv) "Warrant" means this Warrant and all Warrants issued in
exchange, transfer or replacement thereof.

          (xv) "Warrant Exercise Price" shall be $1.50 or as subsequently
adjusted as provided in Section 8 hereof.

     (c) Other Definitional Provisions.

          (i) Except as otherwise specified herein, all references herein (A) to
the Company shall be deemed to include the Company's successors and (B) to any
applicable law defined or referred to herein shall be deemed references to such
applicable law as the same may have been or may be amended or supplemented from
time to time.

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          (ii) When used in this Warrant, the words "herein", "hereof", and
"hereunder" and words of similar import, shall refer to this Warrant as a whole
and not to any provision of this Warrant, and the words "Section", "Schedule",
and "Exhibit" shall refer to Sections of, and Schedules and Exhibits to, this
Warrant unless otherwise specified.

          (iii) Whenever the context so requires, the neuter gender includes the
masculine or feminine, and the singular number includes the plural, and vice
versa.

Section 2. Exercise of Warrant.

     (a) Subject to the terms and conditions hereof, this Warrant may be
exercised by the holder hereof then registered on the books of the Company, pro
rata as hereinafter provided, at any time on any Business Day on or after the
opening of business on such Business Day, commencing with the first day after
the date hereof, and prior to 11:59 P.M. Eastern Time on the Expiration Date (i)
by delivery of a written notice, in the form of the subscription notice attached
as Exhibit A hereto (the "Exercise Notice"), of such holder's election to
exercise this Warrant, which notice shall specify the number of Warrant Shares
to be purchased, payment to the Company of an amount equal to the Warrant
Exercise Price(s) applicable to the Warrant Shares being purchased, multiplied
by the number of Warrant Shares (at the applicable Warrant Exercise Price) as to
which this Warrant is being exercised (plus any applicable issue or transfer
taxes) (the "Aggregate Exercise Price") in cash or wire transfer of immediately
available funds and the surrender of this Warrant (or an indemnification
undertaking with respect to this Warrant in the case of its loss, theft or
destruction) to a common carrier for overnight delivery to the Company as soon
as practicable following such date ("Cash Basis") or (ii) if at the time of
exercise, the Warrant Shares are not subject to an effective registration
statement or if an Event of Default has occurred, by delivering an Exercise
Notice and in lieu of making payment of the Aggregate Exercise Price in cash or
wire transfer, elect instead to receive upon such exercise the "Net Number" of
shares of Common Stock determined according to the following formula (the
"Cashless Exercise"):

     Net Number = (A x B) - (A x C)
                  -----------------
                          B

          For purposes of the foregoing formula:

          A = the total number of Warrant Shares with respect to which this
          Warrant is then being exercised.

          B = the Closing Bid Price of the Common Stock on the date of exercise
          of the Warrant.

          C = the Warrant Exercise Price then in effect for the applicable
          Warrant Shares at the time of such exercise.

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     In the event of any exercise of the rights represented by this Warrant in
compliance with this Section 2, the Company shall on or before the fifth (5th)
Business Day following the date of receipt of the Exercise Notice, the Aggregate
Exercise Price and this Warrant (or an indemnification undertaking with respect
to this Warrant in the case of its loss, theft or destruction) and the receipt
of the representations of the holder specified in Section 6 hereof, if requested
by the Company (the "Exercise Delivery Documents"), and if the Common Stock is
DTC eligible, credit such aggregate number of shares of Common Stock to which
the holder shall be entitled to the holder's or its designee's balance account
with The Depository Trust Company; provided, however, if the holder who
submitted the Exercise Notice requested physical delivery of any or all of the
Warrant Shares, or, if the Common Stock is not DTC eligible then the Company
shall, on or before the fifth (5th) Business Day following receipt of the
Exercise Delivery Documents, issue and surrender to a common carrier for
overnight delivery to the address specified in the Exercise Notice, a
certificate, registered in the name of the holder, for the number of shares of
Common Stock to which the holder shall be entitled pursuant to such request.
Upon delivery of the Exercise Notice and Aggregate Exercise Price referred to in
clause (i) or (ii) above the holder of this Warrant shall be deemed for all
corporate purposes to have become the holder of record of the Warrant Shares
with respect to which this Warrant has been exercised. In the case of a dispute
as to the determination of the Warrant Exercise Price, the Closing Bid Price or
the arithmetic calculation of the Warrant Shares, the Company shall promptly
issue to the holder the number of Warrant Shares that is not disputed and shall
submit the disputed determinations or arithmetic calculations to the holder via
facsimile within one (1) Business Day of receipt of the holder's Exercise
Notice.

     (b) If the holder and the Company are unable to agree upon the
determination of the Warrant Exercise Price or arithmetic calculation of the
Warrant Shares within one (1) day of such disputed determination or arithmetic
calculation being submitted to the holder, then the Company shall immediately
submit via facsimile (i) the disputed determination of the Warrant Exercise
Price or the Closing Bid Price to an independent, reputable investment banking
firm or (ii) the disputed arithmetic calculation of the Warrant Shares to its
independent, outside accountant. The Company shall cause the investment banking
firm or the accountant, as the case may be, to perform the determinations or
calculations and notify the Company and the holder of the results no later than
forty-eight (48) hours from the time it receives the disputed determinations or
calculations. Such investment banking firm's or accountant's determination or
calculation, as the case may be, shall be deemed conclusive absent manifest
error.

     (c) Unless the rights represented by this Warrant shall have expired or
shall have been fully exercised, the Company shall, as soon as practicable and
in no event later than five (5) Business Days after any exercise and at its own
expense, issue a new Warrant identical in all respects to this Warrant exercised
except it shall represent rights to purchase the number of Warrant Shares
purchasable immediately prior to such exercise under this Warrant exercised,
less the number of Warrant Shares with respect to which such Warrant is
exercised.

     (d) No fractional Warrant Shares are to be issued upon any pro rata
exercise of this Warrant, but rather the number of Warrant Shares issued upon
such exercise of this Warrant shall be rounded up or down to the nearest whole
number.

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     (e) If the Company or its Transfer Agent shall fail for any reason or for
no reason to issue to the holder within ten (10) days of receipt of the Exercise
Delivery Documents, a certificate for the number of Warrant Shares to which the
holder is entitled or to credit the holder's balance account with The Depository
Trust Company for such number of Warrant Shares to which the holder is entitled
upon the holder's exercise of this Warrant, the Company shall, in addition to
any other remedies under this Warrant or otherwise available to such holder, pay
as additional damages in cash to such holder on each day the issuance of such
certificate for Warrant Shares is not timely effected an amount equal to 0.025%
of the product of (A) the sum of the number of Warrant Shares not issued to the
holder on a timely basis and to which the holder is entitled, and (B) the
Closing Bid Price of the Common Stock for the trading day immediately preceding
the last possible date which the Company could have issued such Common Stock to
the holder without violating this Section 2.

     (f) If within ten (10) days after the Company's receipt of the Exercise
Delivery Documents, the Company fails to deliver a new Warrant to the holder for
the number of Warrant Shares to which such holder is entitled pursuant to
Section 2 hereof, then, in addition to any other available remedies under this
Warrant, or otherwise available to such holder, the Company shall pay as
additional damages in cash to such holder on each day after such tenth (10th)
day that such delivery of such new Warrant is not timely effected in an amount
equal to 0.25% of the product of (A) the number of Warrant Shares represented by
the portion of this Warrant which is not being exercised and (B) the Closing Bid
Price of the Common Stock for the trading day immediately preceding the last
possible date which the Company could have issued such Warrant to the holder
without violating this Section 2.

Section 3. Covenants as to Common Stock. The Company hereby covenants and agrees
as follows:

     (a) This Warrant is, and any Warrants issued in substitution for or
replacement of this Warrant will upon issuance be, duly authorized and validly
issued.

     (b) All Warrant Shares which may be issued upon the exercise of the rights
represented by this Warrant will, upon issuance in compliance with the terms
hereof, be validly issued, fully paid and nonassessable and free from all taxes,
liens and charges with respect to the issue thereof.

     (c) During the period within which the rights represented by this Warrant
may be exercised, the Company will at all times have authorized and reserved at
least one hundred percent (100%) of the number of shares of Common Stock needed
to provide for the exercise of the rights then represented by this Warrant and
the par value of said shares will at all times be less than or equal to the
applicable Warrant Exercise Price. If at any time the Company does not have a
sufficient number of shares of Common Stock authorized and available, then the
Company shall call and hold a special meeting of its stockholders within sixty
(60) days of that time for the sole purpose of increasing the number of
authorized shares of Common Stock.

     (d) If at any time after the date hereof the Company shall file a
registration statement, the Company shall include the Warrant Shares issuable to
the holder, pursuant to the terms of this Warrant and shall maintain, so long as
any other shares of Common Stock shall be so listed, such listing of all Warrant
Shares from time to time issuable upon the exercise of this Warrant; and the
Company shall so list on each national securities exchange or automated
quotation system, as the case may be, and shall maintain such listing of, any
other shares of capital stock of the Company issuable upon the exercise of this
Warrant if and so long as any shares of the same class shall be listed on such
national securities exchange or automated quotation system.

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     (e) The Company will not, by amendment of its Articles of Incorporation or
through any reorganization, transfer of assets, consolidation, merger,
dissolution, issue or sale of securities, or any other voluntary action, avoid
or seek to avoid the observance or performance of any of the terms to be
observed or performed by it hereunder, but will at all times in good faith
assist in the carrying out of all the provisions of this Warrant and in the
taking of all such action as may reasonably be requested by the holder of this
Warrant in order to protect the exercise privilege of the holder of this Warrant
against dilution or other impairment, consistent with the tenor and purpose of
this Warrant. The Company will not increase the par value of any shares of
Common Stock receivable upon the exercise of this Warrant above the Warrant
Exercise Price then in effect, and (ii) will take all such actions as may be
necessary or appropriate in order that the Company may validly and legally issue
fully paid and nonassessable shares of Common Stock upon the exercise of this
Warrant.

     (f) This Warrant will be binding upon any entity succeeding to the Company
by merger, consolidation or acquisition of all or substantially all of the
Company's assets.

Section 4. Taxes. The Company shall pay any and all taxes, except any applicable
withholding, which may be payable with respect to the issuance and delivery of
Warrant Shares upon exercise of this Warrant.

Section 5. Warrant Holder Not Deemed a Stockholder. Except as otherwise
specifically provided herein, no holder, as such, of this Warrant shall be
entitled to vote or receive dividends or be deemed the holder of shares of
capital stock of the Company for any purpose, nor shall anything contained in
this Warrant be construed to confer upon the holder hereof, as such, any of the
rights of a stockholder of the Company or any right to vote, give or withhold
consent to any corporate action (whether any reorganization, issue of stock,
reclassification of stock, consolidation, merger, conveyance or otherwise),
receive notice of meetings, receive dividends or subscription rights, or
otherwise, prior to the issuance to the holder of this Warrant of the Warrant
Shares which he or she is then entitled to receive upon the due exercise of this
Warrant. In addition, nothing contained in this Warrant shall be construed as
imposing any liabilities on such holder to purchase any securities (upon
exercise of this Warrant or otherwise) or as a stockholder of the Company,
whether such liabilities are asserted by the Company or by creditors of the
Company. Notwithstanding this Section 5, the Company will provide the holder of
this Warrant with copies of the same notices and other information given to the
stockholders of the Company generally, contemporaneously with the giving thereof
to the stockholders.

Section 6. Representations of Holder. The holder of this Warrant, by the
acceptance hereof, represents that it is acquiring this Warrant and the Warrant
Shares for its own account for investment only and not with a view towards, or
for resale in connection with, the public sale or distribution of this Warrant

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or the Warrant Shares, except pursuant to sales registered or exempted under the
Securities Act; provided, however, that by making the representations herein,
the holder does not agree to hold this Warrant or any of the Warrant Shares for
any minimum or other specific term and reserves the right to dispose of this
Warrant and the Warrant Shares at any time in accordance with or pursuant to a
registration statement or an exemption under the Securities Act. The holder of
this Warrant further represents, by acceptance hereof, that, as of this date,
such holder is an "accredited investor" as such term is defined in Rule
501(a)(1) of Regulation D promulgated by the Securities and Exchange Commission
under the Securities Act (an "Accredited Investor"). Upon exercise of this
Warrant the holder shall, if requested by the Company, confirm in writing, in a
form satisfactory to the Company, that the Warrant Shares so purchased are being
acquired solely for the holder's own account and not as a nominee for any other
party, for investment, and not with a view toward distribution or resale and
that such holder is an Accredited Investor. If such holder cannot make such
representations because they would be factually incorrect, it shall be a
condition to such holder's exercise of this Warrant that the Company receive
such other representations as the Company considers reasonably necessary to
assure the Company that the issuance of its securities upon exercise of this
Warrant shall not violate any United States or state securities laws.

Section 7. Ownership and Transfer.

     (a) The Company shall maintain at its principal executive offices (or such
other office or agency of the Company as it may designate by notice to the
holder hereof), a register for this Warrant, in which the Company shall record
the name and address of the person in whose name this Warrant has been issued,
as well as the name and address of each transferee. The Company may treat the
person in whose name any Warrant is registered on the register as the owner and
holder thereof for all purposes, notwithstanding any notice to the contrary, but
in all events recognizing any transfers made in accordance with the terms of
this Warrant.

Section 8. Adjustment of Warrant Exercise Price and Number of Shares. The
Warrant Exercise Price and the number of shares of Common Stock issuable upon
exercise of this Warrant shall be adjusted from time to time as follows:

     (a) Adjustment of Warrant Exercise Price and Number of Shares upon Issuance
of Common Stock. If and whenever on or after the Issuance Date of this Warrant
but prior to September 15, 2008, the Company issues or sells, or is deemed to
have issued or sold, any shares of Common Stock (other than Excluded Securities)
for a consideration per share less than a price (the "Applicable Price") equal
to the Warrant Exercise Price in effect immediately prior to such issuance or
sale, then immediately after such issue or sale the Warrant Exercise Price then
in effect shall be reduced to an amount equal to such consideration per share.
Upon each such adjustment of the Warrant Exercise Price hereunder, the number of
Warrant Shares issuable upon exercise of this Warrant shall be adjusted to the
number of shares determined by multiplying the Warrant Exercise Price in effect
immediately prior to such adjustment by the number of Warrant Shares issuable
upon exercise of this Warrant immediately prior to such adjustment and dividing
the product thereof by the Warrant Exercise Price resulting from such
adjustment.

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     (b) Effect on Warrant Exercise Price of Certain Events. For purposes of
determining the adjusted Warrant Exercise Price under Section 8(a) above, the
following shall be applicable:

          (i) Issuance of Options. If after the date hereof but prior to
September 15, 2008, the Company in any manner grants any Options and the lowest
price per share for which one share of Common Stock is issuable upon the
exercise of any such Option or upon conversion or exchange of any convertible
securities issuable upon exercise of any such Option is less than the Applicable
Price, then such share of Common Stock shall be deemed to be outstanding and to
have been issued and sold by the Company at the time of the granting or sale of
such Option for such price per share. For purposes of this Section 8(b)(i), the
lowest price per share for which one share of Common Stock is issuable upon
exercise of such Options or upon conversion or exchange of such Convertible
Securities shall be equal to the sum of the lowest amounts of consideration (if
any) received or receivable by the Company with respect to any one share of
Common Stock upon the granting or sale of the Option, upon exercise of the
Option or upon conversion or exchange of any convertible security issuable upon
exercise of such Option. No further adjustment of the Warrant Exercise Price
shall be made upon the actual issuance of such Common Stock or of such
convertible securities upon the exercise of such Options or upon the actual
issuance of such Common Stock upon conversion or exchange of such convertible
securities.

          (ii) Issuance of Convertible Securities. If prior to September 15,
2008 the Company in any manner issues or sells any convertible securities and
the lowest price per share for which one share of Common Stock is issuable upon
the conversion or exchange thereof is less than the Applicable Price, then such
share of Common Stock shall be deemed to be outstanding and to have been issued
and sold by the Company at the time of the issuance or sale of such convertible
securities for such price per share. For the purposes of this Section 8(b)(ii),
the lowest price per share for which one share of Common Stock is issuable upon
such conversion or exchange shall be equal to the sum of the lowest amounts of
consideration (if any) received or receivable by the Company with respect to one
share of Common Stock upon the issuance or sale of the convertible security and
upon conversion or exchange of such convertible security. No further adjustment
of the Warrant Exercise Price shall be made upon the actual issuance of such
Common Stock upon conversion or exchange of such convertible securities, and if
any such issue or sale of such convertible securities is made upon exercise of
any Options for which adjustment of the Warrant Exercise Price had been or are
to be made pursuant to other provisions of this Section 8(b), no further
adjustment of the Warrant Exercise Price shall be made by reason of such issue
or sale.

          (iii) Change in Option Price or Rate of Conversion. If prior to
September 15, 2008 the purchase price provided for in any Options, the
additional consideration, if any, payable upon the issue, conversion or exchange
of any convertible securities, or the rate at which any convertible securities
are convertible into or exchangeable for Common Stock changes at any time, the
Warrant Exercise Price in effect at the time of such change shall be adjusted to
the Warrant Exercise Price which would have been in effect at such time had such
Options or convertible securities provided for such changed purchase price,
additional consideration or changed conversion rate, as the case may be, at the
time initially granted, issued or sold and the number of Warrant Shares issuable
upon exercise of this Warrant shall be correspondingly readjusted. For purposes
of this Section 8(b)(iii), if the terms of any Option or convertible security

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that was outstanding as of the Issuance Date of this Warrant are changed in the
manner described in the immediately preceding sentence, then such Option or
convertible security and the Common Stock deemed issuable upon exercise,
conversion or exchange thereof shall be deemed to have been issued as of the
date of such change. No adjustment pursuant to this Section 8(b) shall be made
if such adjustment would result in an increase of the Warrant Exercise Price
then in effect.

          (iv) Calculation of Consideration Received. If any Common Stock,
Options or convertible securities are issued or sold or deemed to have been
issued or sold for cash, the consideration received therefore will be deemed to
be the net amount received by the Company therefore. If any Common Stock,
Options or convertible securities are issued or sold for a consideration other
than cash, the amount of such consideration received by the Company will be the
fair value of such consideration, except where such consideration consists of
marketable securities, in which case the amount of consideration received by the
Company will be the market price of such securities on the date of receipt of
such securities. If any Common Stock, Options or convertible securities are
issued to the owners of the non-surviving entity in connection with any merger
in which the Company is the surviving entity, the amount of consideration
therefore will be deemed to be the fair value of such portion of the net assets
and business of the non-surviving entity as is attributable to such Common
Stock, Options or convertible securities, as the case may be. The fair value of
any consideration other than cash or securities will be determined jointly by
the Company and the holders of Warrants representing at least two-thirds (b) of
the Warrant Shares issuable upon exercise of the Warrants then outstanding. If
such parties are unable to reach agreement within ten (10) days after the
occurrence of an event requiring valuation (the "Valuation Event"), the fair
value of such consideration will be determined within five (5) Business Days
after the tenth (10th) day following the Valuation Event by an independent,
reputable appraiser jointly selected by the Company and the holders of Warrants
representing at least two-thirds (b) of the Warrant Shares issuable upon
exercise of the Warrants then outstanding. The determination of such appraiser
shall be final and binding upon all parties and the fees and expenses of such
appraiser shall be borne jointly by the Company and the holders of Warrants.

          (v) Integrated Transactions. In case any Option is issued in
connection with the issue or sale of other securities of the Company, together
comprising one integrated transaction in which no specific consideration is
allocated to such Options by the parties thereto, the Options will be deemed to
have been issued for a consideration of $.01.

          (vi) Treasury Shares. The number of shares of Common Stock outstanding
at any given time does not include shares owned or held by or for the account of
the Company, and the disposition of any shares so owned or held will be
considered an issue or sale of Common Stock.

          (vii) Record Date. If the Company takes a record of the holders of
Common Stock for the purpose of entitling them (1) to receive a dividend or
other distribution payable in Common Stock, Options or in convertible securities
or (2) to subscribe for or purchase Common Stock, Options or convertible
securities, then such record date will be deemed to be the date of the issue or
sale of the shares of Common Stock deemed to have been issued or sold upon the
declaration of such dividend or the making of such other distribution or the
date of the granting of such right of subscription or purchase, as the case may
be.

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     (c) Adjustment of Warrant Exercise Price upon Subdivision or Combination of
Common Stock. If the Company at any time after the date of issuance of this
Warrant but prior to September 15, 2008 subdivides (by any stock split, stock
dividend, recapitalization or otherwise) one or more classes of its outstanding
shares of Common Stock into a greater number of shares, any Warrant Exercise
Price in effect immediately prior to such subdivision will be proportionately
reduced and the number of shares of Common Stock obtainable upon exercise of
this Warrant will be proportionately increased. If the Company at any time after
the date of issuance of this Warrant combines (by combination, reverse stock
split or otherwise) one or more classes of its outstanding shares of Common
Stock into a smaller number of shares, any Warrant Exercise Price in effect
immediately prior to such combination will be proportionately increased and the
number of Warrant Shares issuable upon exercise of this Warrant will be
proportionately decreased. Any adjustment under this Section 8(c) shall become
effective at the close of business on the date the subdivision or combination
becomes effective.

     (d) Distribution of Assets. If the Company shall declare or make any
dividend or other distribution of its assets (or rights to acquire its assets)
to holders of Common Stock, by way of return of capital or otherwise (including,
without limitation, any distribution of cash, stock or other securities,
property or options by way of a dividend, spin off, reclassification, corporate
rearrangement or other similar transaction) (a "Distribution"), at any time
after the issuance of this Warrant, then, in each such case:

          (i) any Warrant Exercise Price in effect immediately prior to the
close of business on the record date fixed for the determination of holders of
Common Stock entitled to receive the Distribution shall be reduced, effective as
of the close of business on such record date, to a price determined by
multiplying such Warrant Exercise Price by a fraction of which (A) the numerator
shall be the Closing Sale Price of the Common Stock on the trading day
immediately preceding such record date minus the value of the Distribution (as
determined in good faith by the Company's Board of Directors) applicable to one
share of Common Stock, and (B) the denominator shall be the Closing Sale Price
of the Common Stock on the trading day immediately preceding such record date;
and

          (ii) either (A) the number of Warrant Shares obtainable upon exercise
of this Warrant shall be increased to a number of shares equal to the number of
shares of Common Stock obtainable immediately prior to the close of business on
the record date fixed for the determination of holders of Common Stock entitled
to receive the Distribution multiplied by the reciprocal of the fraction set
forth in the immediately preceding clause (i), or (B) in the event that the
Distribution is of common stock of a company whose common stock is traded on a
national securities exchange or a national automated quotation system, then the
holder of this Warrant shall receive an additional warrant to purchase Common
Stock, the terms of which shall be identical to those of this Warrant, except
that such warrant shall be exercisable into the amount of the assets that would
have been payable to the holder of this Warrant pursuant to the Distribution had
the holder exercised this Warrant immediately prior to such record date and with
an exercise price equal to the amount by which the exercise price of this
Warrant was decreased with respect to the Distribution pursuant to the terms of
the immediately preceding clause (i).

                                       11
<PAGE>

     (e) Certain Events. If any event occurs of the type contemplated by the
provisions of this Section 8 but not expressly provided for by such provisions
(including, without limitation, the granting of stock appreciation rights,
phantom stock rights or other rights with equity features), then the Company's
Board of Directors will make an appropriate adjustment in the Warrant Exercise
Price and the number of shares of Common Stock obtainable upon exercise of this
Warrant so as to protect the rights of the holders of the Warrants; provided,
except as set forth in section 8(c),that no such adjustment pursuant to this
Section 8(e) will increase the Warrant Exercise Price or decrease the number of
shares of Common Stock obtainable as otherwise determined pursuant to this
Section 8.

     (f) Notices.

          (i) Immediately upon any adjustment of the Warrant Exercise Price, the
Company will give written notice thereof to the holder of this Warrant, setting
forth in reasonable detail, and certifying, the calculation of such adjustment.

          (ii) The Company will give written notice to the holder of this
Warrant at least ten (10) days prior to the date on which the Company closes its
books or takes a record (A) with respect to any dividend or distribution upon
the Common Stock, (B) with respect to any pro rata subscription offer to holders
of Common Stock or (C) for determining rights to vote with respect to any
Organic Change (as defined below), dissolution or liquidation, provided that
such information shall be made known to the public prior to or in conjunction
with such notice being provided to such holder.

          (iii) The Company will also give written notice to the holder of this
Warrant at least ten (10) days prior to the date on which any Organic Change,
dissolution or liquidation will take place, provided that such information shall
be made known to the public prior to or in conjunction with such notice being
provided to such holder.

Section 9. Purchase Rights; Reorganization, Reclassification, Consolidation,
Merger or Sale.

     (a) In addition to any adjustments pursuant to Section 8 above, if at any
time the Company grants, issues or sells any Options, Convertible Securities or
rights to purchase stock, warrants, securities or other property pro rata to the
record holders of any class of Common Stock (the "Purchase Rights"), then the
holder of this Warrant will be entitled to acquire, upon the terms applicable to
such Purchase Rights, the aggregate Purchase Rights which such holder could have
acquired if such holder had held the number of shares of Common Stock acquirable
upon complete exercise of this Warrant immediately before the date on which a
record is taken for the grant, issuance or sale of such Purchase Rights, or, if
no such record is taken, the date as of which the record holders of Common Stock
are to be determined for the grant, issue or sale of such Purchase Rights.

     (b) Any recapitalization, reorganization, reclassification, consolidation,
merger, sale of all or substantially all of the Company's assets to another
Person or other transaction in each case which is effected in such a way that
holders of Common Stock are entitled to receive (either directly or upon

                                       12
<PAGE>

subsequent liquidation) stock, securities or assets with respect to or in
exchange for Common Stock is referred to herein as an "Organic Change." Prior to
the consummation of any (i) sale of all or substantially all of the Company's
assets to an acquiring Person or (ii) other Organic Change following which the
Company is not a surviving entity, the Company will secure from the Person
purchasing such assets or the successor resulting from such Organic Change (in
each case, the "Acquiring Entity") a written agreement (in form and substance
satisfactory to the holders of Warrants representing at least two-thirds (iii)
of the Warrant Shares issuable upon exercise of the Warrants then outstanding)
to deliver to each holder of Warrants in exchange for such Warrants, a security
of the Acquiring Entity evidenced by a written instrument substantially similar
in form and substance to this Warrant and satisfactory to the holders of the
Warrants (including an adjusted warrant exercise price equal to the value for
the Common Stock reflected by the terms of such consolidation, merger or sale,
and exercisable for a corresponding number of shares of Common Stock acquirable
and receivable upon exercise of the Warrants without regard to any limitations
on exercise, if the value so reflected is less than any Applicable Warrant
Exercise Price immediately prior to such consolidation, merger or sale). Prior
to the consummation of any other Organic Change, the Company shall make
appropriate provision (in form and substance satisfactory to the holders of
Warrants representing a majority of the Warrant Shares issuable upon exercise of
the Warrants then outstanding) to insure that each of the holders of the
Warrants will thereafter have the right to acquire and receive in lieu of or in
addition to (as the case may be) the Warrant Shares immediately theretofore
issuable and receivable upon the exercise of such holder's Warrants (without
regard to any limitations on exercise), such shares of stock, securities or
assets that would have been issued or payable in such Organic Change with
respect to or in exchange for the number of Warrant Shares which would have been
issuable and receivable upon the exercise of such holder's Warrant as of the
date of such Organic Change (without taking into account any limitations or
restrictions on the exercisability of this Warrant).

Section 10. Lost, Stolen, Mutilated or Destroyed Warrant. If this Warrant is
lost, stolen, mutilated or destroyed, the Company shall promptly, on receipt of
an indemnification undertaking (or, in the case of a mutilated Warrant, the
Warrant), issue a new Warrant of like denomination and tenor as this Warrant so
lost, stolen, mutilated or destroyed.

Section 11. Notice. Any notices, consents, waivers or other communications
required or permitted to be given under the terms of this Warrant must be in
writing and will be deemed to have been delivered: (i) upon receipt, when
delivered personally; (ii) upon receipt, when sent by facsimile (provided
confirmation of receipt is received by the sending party transmission is
mechanically or electronically generated and kept on file by the sending party);
or (iii) one Business Day after deposit with a nationally recognized overnight
delivery service, in each case properly addressed to the party to receive the
same. The addresses and facsimile numbers for such communications shall be:

                                       13
<PAGE>

If to Holder:            YA Global Investments, L.P.
                         101 Hudson Street - Suite 3700
                         Jersey City, NJ  07302
                         Attention:  Mark A. Angelo
                         Telephone:  (201) 985-8300
                         Facsimile:  (201) 985-8266

With Copy to:            David Gonzalez, Esq.
                         101 Hudson Street - Suite 3700
                         Jersey City, NJ 07302
                         Telephone:  (201) 985-8300
                         Facsimile:  (201) 985-8266

If to the Company, to:   Startech Environmental Corporation
                         88 Danbury Road - Suite 2A
                         Wilton, CT 06897
                         Attention:  Peter J. Scanlon
                         Telephone:
                         Facsimile:

With a copy to:          Kramer Levin Naftalis & Frankel LLP
                         1177 Avenue of the Americas
                         New York, NY 10036
                         Attention:  Scott S. Rosenbaum
                         Telephone:  (212) 715 - 9411
                         Facsimile:  (212) 715-8411

If to a holder of this Warrant, to it at the address and facsimile number set
forth on Exhibit C hereto, with copies to such holder's representatives as set
forth on Exhibit C, or at such other address and facsimile as shall be delivered
to the Company upon the issuance or transfer of this Warrant. Each party shall
provide five days' prior written notice to the other party of any change in
address or facsimile number. Written confirmation of receipt (A) given by the
recipient of such notice, consent, facsimile, waiver or other communication, (or
(B) provided by a nationally recognized overnight delivery service shall be
rebuttable evidence of personal service, receipt by facsimile or receipt from a
nationally recognized overnight delivery service in accordance with clause (i),
(ii) or (iii) above, respectively.

Section 12. Date. The date of this Warrant is set forth on page 1 hereof. This
Warrant, in all events, shall be wholly void and of no effect after the close of
business on the Expiration Date, except that notwithstanding any other
provisions hereof, the provisions of Section 8(b) shall continue in full force
and effect after such date as to any Warrant Shares or other securities issued
upon the exercise of this Warrant.

                                       14
<PAGE>

Section 13. Amendment and Waiver. Except as otherwise provided herein, the
provisions of the Warrants may be amended and the Company may take any action
herein prohibited, or omit to perform any act herein required to be performed by
it, only if the Company has obtained the written consent of the holders of
Warrants representing at least two-thirds of the Warrant Shares issuable upon
exercise of the Warrants then outstanding; provided that, except for Section
8(d), no such action may increase the Warrant Exercise Price or decrease the
number of shares or class of stock obtainable upon exercise of any Warrant
without the written consent of the holder of such Warrant.

Section 14. Descriptive Headings; Governing Law. The descriptive headings of the
several sections and paragraphs of this Warrant are inserted for convenience
only and do not constitute a part of this Warrant. The corporate laws of the
State of Colorado shall govern all issues concerning the relative rights of the
Company and its stockholders. All other questions concerning the construction,
validity, enforcement and interpretation of this Agreement shall be governed by
the internal laws of the State of New Jersey, without giving effect to any
choice of law or conflict of law provision or rule (whether of the State of New
Jersey or any other jurisdictions) that would cause the application of the laws
of any jurisdictions other than the State of New Jersey. Each party hereby
irrevocably submits to the exclusive jurisdiction of the state and federal
courts sitting in Hudson County and the United States District Court for the
District of New Jersey, for the adjudication of any dispute hereunder or in
connection herewith or therewith, or with any transaction contemplated hereby or
discussed herein, and hereby irrevocably waives, and agrees not to assert in any
suit, action or proceeding, any claim that it is not personally subject to the
jurisdiction of any such court, that such suit, action or proceeding is brought
in an inconvenient forum or that the venue of such suit, action or proceeding is
improper. Each party hereby irrevocably waives personal service of process and
consents to process being served in any such suit, action or proceeding by
mailing a copy thereof to such party at the address for such notices to it under
this Agreement and agrees that such service shall constitute good and sufficient
service of process and notice thereof. Nothing contained herein shall be deemed
to limit in any way any right to serve process in any manner permitted by law.

Section 15. Waiver of Jury Trial. AS A MATERIAL INDUCEMENT FOR EACH PARTY HERETO
TO ENTER INTO THIS WARRANT, THE PARTIES HERETO HEREBY WAIVE ANY RIGHT TO TRIAL
BY JURY IN ANY LEGAL PROCEEDING RELATED IN ANY WAY TO THIS WARRANT AND/OR ANY
AND ALL OF THE OTHER DOCUMENTS ASSOCIATED WITH THIS TRANSACTION.

                   REMAINDER OF PAGE INTENTIONALLY LEFT BLANK

                                       15
<PAGE>

     IN WITNESS WHEREOF, the Company has caused this Warrant to be signed as of
the date first set forth above.

                                              STARTECH ENVIRONMENTAL CORPORATION

                                              By:
                                              Name:   Peter J. Scanlon
                                              Title:  Chief Financial Officer

                                       16
<PAGE>

                              EXHIBIT A TO WARRANT

                                 EXERCISE NOTICE

                                 TO BE EXECUTED
                BY THE REGISTERED HOLDER TO EXERCISE THIS WARRANT

                       STARTECH ENVIRONMENTAL CORPORATION

     The undersigned holder hereby exercises the right to purchase
______________ of the shares of Common Stock ("Warrant Shares") of Startech
Environmental Corporation (the "Company"), evidenced by the attached Warrant
(the "Warrant"). Capitalized terms used herein and not otherwise defined shall
have the respective meanings set forth in the Warrant.

Specify Method of exercise by check mark:

     1. ___ Cash Exercise

          (a) Payment of Warrant Exercise Price. The holder shall pay the
          Aggregate Exercise Price of $______________ to the Company in
          accordance with the terms of the Warrant.

          (b) Delivery of Warrant Shares. The Company shall deliver to the
          holder _________ Warrant Shares in accordance with the terms of the
          Warrant.

     2. ___ Cashless Exercise

          (a) Payment of Warrant Exercise Price. In lieu of making payment of
          the Aggregate Exercise Price, the holder elects to receive upon such
          exercise the Net Number of shares of Common Stock determined in
          accordance with the terms of the Warrant.

          (b) Delivery of Warrant Shares. The Company shall deliver to the
          holder _________ Warrant Shares in accordance with the terms of the
          Warrant.

Date: _______________ __, ______

Name of Registered Holder

By:
   -----------------------------------------
Name:
     ---------------------------------------
Title:
      --------------------------------------

<PAGE>

                              EXHIBIT B TO WARRANT

                              FORM OF WARRANT POWER

     FOR VALUE RECEIVED, the undersigned does hereby assign and transfer to
________________, Federal Identification No. __________, a warrant to purchase
____________ shares of the capital stock of Startech Environmental Corporation
represented by warrant certificate no. _____, standing in the name of the
undersigned on the books of said corporation. The undersigned does hereby
irrevocably constitute and appoint ______________, attorney to transfer the
warrants of said corporation, with full power of substitution in the premises.

Dated:
---------------------------                 ------------------------------------

                                            By:
                                            ------------------------------------
                                            Name:
                                            ------------------------------------
                                            Title:
                                            ------------------------------------

                                       B-1Exhibit 10.29

         This STOCK PURCHASE & REGISTRATION RIGHTS AGREEMENT (this "Agreement"),
is made and entered into as of June 10, 2005, by and between STARTECH
ENVIRONMENTAL CORPORATION, a Colorado corporation (the "Company"), and
International Plasma Sales Group, LLC. (the "Purchaser").

                                    RECITALS
                                    --------

         The Company desires to issue and sell to the Purchaser in a private
placement (the "Offering"), and the Purchaser desire to purchase from the
Company, on the terms and subject to the conditions set forth herein, fifteen
thousand (15,000) shares (the "Shares") of common stock, no par value ("Common
Stock"), of the Company, and an equivalent number of three-year warrants to
purchase shares of Common Stock (the "Warrants" and, together with the Shares,
the "Securities"), the terms of such Warrants being as set forth in the Warrant
Agreement substantially in the form attached as Exhibit A hereto. This Agreement
and the Warrants shall be referred to herein collectively as the "Transaction
Documents".

         The Purchaser desires, upon the terms and conditions set forth in this
Agreement, to purchase Securities in the Offering.

         The Company and the Purchaser are executing and delivering this
Agreement in reliance upon the exemption from securities regulation afforded by
Section 4(2) of the Securities Act (as defined in Section 3 hereof) and Rule 506
under Regulation D.

         IN CONSIDERATION of the premises and mutual covenants contained in this
Agreement and other good and valuable consideration the receipt and sufficiency
of which are hereby acknowledged, the Company and the Purchaser agree as
follows:

         1. Purchase and Sale of Securities.

         (a) Purchase and Sale of Shares. Subject to the terms and conditions
hereof, at the Closing identified in Section 2 hereof, the Company shall issue
and sell to the Purchaser, and the Purchaser shall purchase from the Company,
the Shares, which number of Shares are calculated by dividing (x) twenty seven
thousand seven hundred and fifty dollars ($ 27,750.00) (the "Purchase Price") by
(y) $ 1.85 per Share (the "Share Price"), which Share Price is equal to a thirty
percent (30%) discount to the average closing price per share of the Common
Stock for the ten (10) consecutive trading days immediately preceding June 10,
2005, shall hereinafter be referred to as the "Average Closing Price."

          (b) Purchase and Sale of Warrants. In addition to the foregoing and
subject to the terms and conditions hereof, at the Closing identified in Section
2 hereof, the Company shall issue to the Purchaser one or more Warrants to
purchase shares of Common Stock on the following terms:

<PAGE>

Warrant Coverage:             The Purchaser will be entitled to warrants to
                              purchase the same number of Shares (the "Purchased
                              Warrants"). The shares of Common Stock into which
                              the Warrants are exercisable (the "Warrant
                              Shares") will have piggyback registration rights
                              as provided in this Agreement.

Term:                         Each Purchased Warrant shall be exercisable for a
                              term of three-years from the Closing Date (as
                              defined below).

Exercise Price:               The Warrants will be exercisable into fifteen
                              thousand (15,000) shares of Common Stock at a
                              price equal to 25% above the Average Closing Price
                              (the "Series A Warrants") or $3.31 per share.

         (c) Exemption. The purchase and sale of the Securities pursuant to the
terms hereof will be made in reliance upon the provisions of Section 4(2) of the
Securities Act of 1933, as amended (the "Securities Act"), Rule 506 of
Regulation D promulgated thereunder by the United States Securities and Exchange
Commission (the "SEC"), or such other exemptions from the registration
requirements of the Securities Act as may be available with respect to the
investment in the Securities to be made hereunder.

         2. Closings and Deliverables.

         (a) Payment. At the Closing, the Purchaser will make a wire transfer
payment to the Company, to the account set forth on Exhibit B hereto, in an
amount equal to the Purchase Price, which Purchase Price shall entitle the
Purchaser, subject to the satisfaction of the terms and conditions herein, to
receive the Shares and the Purchased Warrants. Together with the Purchase Price,
at the Closing, the Purchaser shall deliver to the Company a fully completed and
executed copy of the Investor Questionnaire, in the form attached as Exhibit C
hereto (the "Investor Questionnaire").

         (b) Closing. The closing of the purchase and sale of the Securities
shall take place at 12:00 p.m. (Eastern Standard Time) on the date hereof (the
"Closing Date"), at the offices of the Company (the "Closing").

         (c) Deliverables. At the Closing, or as soon as is reasonably
practicable thereafter, and assuming the Company has received the Purchase Price
and the Investor Questionnaire, the Company (or its transfer agent) shall
deliver to the Purchaser a stock certificate (or certificates) representing the
Shares so purchased at the Closing, as well as one or more Warrant Agreements
representing the Series A Warrants, Series B Warrants and Series C Warrants, in
each case registered in the name of the Purchaser, and such other documents and
certificates as are required by this Agreement at the Closing.

         3. Representations and Warranties by the Company. The Company hereby
represents and warrants to the Purchaser, as of the date hereof, as follows:

                                       2
<PAGE>

         (a) Incorporation and Qualification. The Company has been duly
organized and is validly existing as a Corporation and in good standing under
the laws of the State of Colorado with the requisite corporate power and
authority to own and use its properties and assets and to carry on its business
as currently conducted.

         (b) Authority. The Company has the requisite corporate power and
authority to enter into this Agreement and to issue and deliver the Shares and
the Warrants and, upon exercise of the Warrants in accordance with the terms
thereof, the Warrant Shares. The execution and delivery of this Agreement and
the issuance and delivery of the Shares and the Warrants hereunder and the
consummation of the transactions contemplated hereby have been duly and validly
authorized by all necessary corporate action by the Company. This Agreement has
been duly and validly executed and delivered by and on behalf of the Company and
constitutes a valid, legal and binding agreement, enforceable against the
Company in accordance with its terms, except as enforceability may be limited by
general equitable principles, bankruptcy, insolvency, fraudulent conveyance,
reorganization, moratorium or other laws affecting creditors' rights generally.
Assuming payment of the Purchase Price in full at the Closing, the Shares and
the Warrants will be duly authorized, validly issued, fully paid and
non-assessable. Upon exercise of the Warrants in accordance with the terms
thereof, including payment of the exercise price in full, the Warrant Shares
will be duly authorized, validly issued, fully paid and non-assessable.

         (c) No Conflicts. The execution, delivery and performance of this
Agreement by the Company and the consummation by the Company of the Offering do
not and will not: (i) conflict with or violate any provision of the Company's
articles of incorporation or bylaws, or (ii) subject to obtaining the Required
Approvals (as defined below), conflict with, or constitute a default (or an
event that with notice or lapse of time or both would become a default) under,
or give to others any rights of termination, amendment, acceleration or
cancellation (with or without notice, lapse of time or both) of, any agreement,
credit facility, debt or other instrument (evidencing a Company debt or
otherwise) to which the Company is a party or by which any property or asset of
the Company is bound or affected, or (iii) result in a violation of any law,
rule, regulation, order, judgment, injunction, decree or other restriction of
any court or governmental authority as currently in effect to which the Company
is subject (including federal and state securities laws and regulations), or by
which any property or asset of the Company is bound or affected; except in the
case of each of clauses (ii) and (iii), such as could not, individually or in
the aggregate (x) adversely affect the legality, validity or enforceability of
the Offering, (y) have or result in a material adverse effect on the results of
operations, assets, business or condition (financial or otherwise) of the
Company, taken as a whole (other than any change, effect, event or condition
that arises from changes in general economic conditions or conditions affecting
the industry of the business of the Company generally, or such changes, events
or conditions resulting directly from the announcement of or the consummation of
the Offering contemplated hereby), or (z) adversely impair the Company's ability
to perform fully on a timely basis its obligations under this Agreement (any of
(x), (y) or (z), a "Material Adverse Effect").

         (d) Capital Stock; Fully Paid and Non-Assessable.

                                       3
<PAGE>

                  (i) As of the date hereof, the authorized capital stock of the
Company consists of 10,000,000 shares of preferred stock, no par value (the
"Preferred Stock"), of which there are no shares issued and outstanding, and
800,000,000 shares of Common Stock, of which 17,540,698 shares are issued and
outstanding, of which: (x) 1,000,000 shares are authorized for issuance under
the Company's stock option plans; (y) 1,557,500 shares are reserved for issuance
upon the exercise of options granted and issuable by the Company thereunder; and
(z) 2,868,491 shares are reserved for issuance upon the exercise of warrants to
purchase shares of Common Stock.

                  (ii) All outstanding shares of Common Stock have been duly
authorized and validly issued and are fully paid and nonassessable and were
issued in compliance with all applicable Federal and state securities laws.
Except as contemplated by this Agreement or as set forth in all forms, reports
and documents filed with the SEC pursuant to the Securities Act and Securities
Exchange Act of 1934, as amended (the "Exchange Act") from January 1, 2003
through the date hereof (collectively, the "SEC Reports"), the Company has no
outstanding subscription, option, warrant, right of first refusal, preemptive
right, call, contract, demand, commitment, convertible security or other
instrument, agreement or arrangement of any character or nature whatever under
which the Company is or may be obligated to issue Common Stock or any other
equity security of any kind or which otherwise relates to the Company's
securities.

         (e) Filings, Consents and Approvals. The Company is not required to
obtain any consent, waiver, authorization or order of, give any notice to, or
make any filing or registration with, any court or other federal, state, local
or other governmental authority or other person or entity in connection with the
execution, delivery and performance by the Company of this Agreement, other than
(i) the filing with the SEC of a Form D pursuant to Regulation D of the
Securities Act, and (iii) applicable state securities law Blue Sky filings
(collectively, the "Required Approvals").

         (f) SEC Reports; Financial Statements. Since January 1, 2003, the
Company has filed (i) all reports required to be filed by it under the
Securities Act; (ii) all annual reports on Form 10-K and all quarterly reports
on Form 10-Q required to be filed by it under the Exchange Act, including
pursuant to Section 13(a) or 15(d) thereof, in order for it to satisfy its
filing requirements under the Exchange Act for the periods to which each such
report relates; (iii) an annual report on Form 10-K, covering the fiscal year
ended October 31, 2003, which was filed with the SEC on January 29, 2004; (iv) a
quarterly report on Form 10-Q, covering the fiscal quarter ended January 31,
2004, which was filed with the SEC on March 15, 2004; and (v) a quarterly report
on Form 10-Q, covering the fiscal quarter ended April 30, 2004, which was filed
with the SEC on June 2, 2004; (the foregoing materials, as amended, where
applicable, being collectively referred to herein as the "SEC Reports"). As of
their respective dates, the SEC Reports complied in all material respects with
the requirements of the Securities Act and the Exchange Act and the rules and
regulations of the SEC promulgated thereunder, and to the Knowledge (as defined
below) of the Company, none of the SEC Reports, when filed, contained any untrue
statement of a material fact or omitted to state a material fact required to be
stated therein or necessary in order to make the statements therein, in light of
the circumstances under which they were made, not misleading. The financial
statements of the Company included in the SEC Reports comply in all material
respects with applicable accounting requirements and the rules and regulations
of the SEC with respect thereto as in effect at the time of filing. Such
financial statements have been prepared in accordance with generally accepted

                                       4
<PAGE>

accounting principles applied on a consistent basis during the periods involved
("GAAP"), except as may be otherwise specified in such financial statements or
the notes thereto, and fairly present in all material respects the financial
position of the Company and its consolidated subsidiaries as of and for the
dates thereof and the results of operations and cash flows for the periods then
ended, subject, in the case of unaudited statements, to normal, immaterial,
year-end audit adjustments.

         (g) No Legal Proceedings. Except as may be described in the SEC
Filings, there is no action, suit or proceeding before or by any court or any
governmental agency or body, domestic or foreign, now pending or, to the actual
knowledge (without the need for inquiry or special investigation) of the Chief
Financial Officer, Chief Operating Officer or Chief Executive Officer of the
Company ("Knowledge"), threatened against or affecting the Company, or any of
its properties or assets, which is reasonably likely to have a Material Adverse
Effect.

         4. Representations and Warranties of the Purchaser. The Purchaser
represents and warrants to the Company, as of the date hereof, as follows:

         (a) Power. The Purchaser has been duly organized, is validly existing
and is in good standing under the laws of its state of incorporation, with all
limited liability company power and authority to execute, deliver and perform
its obligations under the Agreement.

         (b) Authority. The Purchaser has the requisite power and authority to
enter into this Agreement and to purchase the Shares and the Warrants and, upon
exercise of the Warrants in accordance with the terms thereof, the Warrant
Shares. The execution and delivery of this Agreement and the purchase of the
Shares and the Warrants hereunder and the consummation of the transactions
contemplated hereby have been duly and validly authorized by all necessary
action by the Purchaser. This Agreement has been duly and validly executed and
delivered by or on behalf of the Purchaser and constitutes a valid, legal and
binding agreement, enforceable against the Purchaser in accordance with its
terms, except as enforceability may be limited by general equitable principles,
bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium or
other laws affecting creditors' rights generally.

         (c) No Conflicts. The execution, delivery and performance of this
Agreement by the Purchaser and the consummation by the Purchaser of the purchase
of the Securities do not and will not: (i) conflict with or violate any
provision of the Purchaser's organizational or charter documents, or (ii)
conflict with, or constitute a default (or an event that with notice or lapse of
time or both would become a default) under, or give to others any rights of
termination, amendment, acceleration or cancellation (with or without notice,
lapse of time or both) of, any agreement, credit facility, debt or other
instrument (evidencing a Company debt or otherwise) to which the Purchaser is a
party or by which any property or asset of the Purchaser is bound or affected,
or (iii) result in a violation of any law, rule, regulation, order, judgment,
injunction, decree or other restriction of any court or governmental authority
as currently in effect to which the Purchaser is subject (including federal and
state securities laws and regulations), or by which any property or asset of the
Purchaser is bound or affected; except in the case of each of clauses (ii) and
(iii), such as could not, individually or in the aggregate result in a Material
Adverse Effect.

                                       5
<PAGE>

         (d) Investment in Securities. The Purchaser represents and warrants to,
and covenants with, the Company that: (i) the Purchaser, either individually, or
together with a purchaser representative, is knowledgeable, sophisticated and
experienced in making, and is qualified to make, decisions with respect to
investments in shares representing an investment decision like that involved in
the purchase of the Securities, including investments in securities issued by
the Company and comparable entities, and has requested, received, reviewed and
considered all information it deems relevant in making an informed decision to
purchase the Securities; (ii) the Purchaser is acquiring the Securities in the
ordinary course of its business and for its own account for investment only and
with no present intention or view toward the public sale or distribution
thereof, and no arrangement or understanding exists with any other persons
regarding the public sale or distribution of any Securities; (iii) the Purchaser
will not, directly or indirectly, except in compliance with the Securities Act,
the rules and regulations promulgated thereunder and such other securities or
blue sky laws as may be applicable, offer, sell, pledge, transfer or otherwise
dispose of (or solicit any offers to buy, purchase or otherwise acquire or take
a pledge of) any of the Securities or engage in any Short Sale (as defined
below); (iv) the Purchaser has completed or caused to be completed the Investor
Questionnaire and the answers thereto are true and correct in all respects as of
the date hereof; (v) the Purchaser has, in connection with its decision to
purchase the Securities, relied solely upon its own independent investigation of
the Company and the representations and warranties of the Company contained
herein; and (vi) the Purchaser is an "accredited investor" within the meaning of
Rule 501(a) of Regulation D promulgated under the Securities Act.

         (e) Short Sales. Neither the Purchaser nor any affiliate of the
Purchaser (as defined in Rule 405 of the Securities Act (each a
"Purchaser/Affiliate") and which (i) had knowledge about the transactions
contemplated hereby, (ii) has or shares discretion relating to the Purchaser's
investments or trading or information concerning Purchaser's investments,
including the Units, or (iii) is subject to the Purchaser's review or input
concerning such Purchaser/Affiliate's investments or trading) has or will,
directly or indirectly, engage (A) in any "short sale" (as defined in Rule 3b-3
promulgated under the Exchange Act), including, without limitation, the
maintaining of any short position with respect to, establishing or maintaining a
"put equivalent position" (within the meaning of Rule 16a-1(h) under the
Exchange Act) with respect to, entering into any swap, derivative transaction or
other arrangement (whether any such transaction is to be settled by delivery of
Common Stock, other securities, cash or other consideration) that transfers to
another, in whole or in part, any of the economic consequences of ownership, or
otherwise dispose of, any of the Securities by the Purchaser or (B) in any
hedging transaction which establishes a net short position with respect to the
Securities (clauses (A) and (B) together, a "Short Sale"); except for (1) Short
Sales by a Purchaser/Affiliate which was, prior to the date on which the
Purchaser was first notified that the Company intended to engage in the
transactions contemplated by this Agreement, a market maker for the Common
Stock, provided that such Short Sales are in the ordinary course of such
Purchaser/Affiliate's business and are in compliance with the Securities Act,
and the rules and regulations promulgated thereunder, and such other securities
or blue sky laws as may be applicable or (2) Short Sales by a
Purchaser/Affiliate which by virtue of the procedures of the Purchaser are made
without knowledge of the transactions contemplated in this Agreement and were
not induced or encouraged by the Purchaser).

                                       6
<PAGE>

         (f) Exemptions. The Purchaser understands that the Securities are being
offered and sold to it in reliance upon specific exemptions from the
registration requirements of Securities Act, the rules and regulations and state
securities laws, and that the Company is relying upon the truth and accuracy of,
and the Purchaser's compliance with, the representations, warranties,
agreements, acknowledgments and understandings of the Purchaser set forth herein
in order to determine the availability of such exemptions and the eligibility of
the Purchaser to acquire the Securities.

         (g) Use of Information. The Purchaser acknowledges that it is
prohibited from and has not reproduced or distributed this Agreement or any
other offering materials or other information provided by the Company in
connection with the Purchaser's consideration of its investment in the Company,
in whole or in part, or divulged or discussed any of their contents except to
its advisors and representatives for the purpose of evaluating such investment.
The foregoing shall not apply to any information that is or becomes publicly
available through no fault of the Purchaser, or that the Purchaser is legally
required to disclose; provided, however, that if the Purchaser is requested or
ordered to disclose any such information pursuant to any court or other
government order or any other applicable legal procedure, it shall provide the
Company with prompt notice of any such request or order in time sufficient to
enable the Company to seek an appropriate protective order and shall provide the
Company with reasonable assistance in obtaining such protective order.

         (h) Investment Risk. The Purchaser understands that its investment in
the Securities involves a significant degree of risk and that the market price
of the Common Stock has been and continues to be volatile, that no
representation is being made as to the future value of the Common Stock and that
the Purchaser has carefully read and considered the matters set forth in the SEC
Reports. The Purchaser has the knowledge and experience in financial and
business matters as to be capable of evaluating the merits and risks of an
investment in the Securities and has the ability to bear the economic risks of
an investment in the Securities. The Purchaser has had a reasonable opportunity
to ask questions of the Company and its representatives; and the Company has
answered all inquiries that the Purchaser or the Purchaser's representatives
have put to it, and all such inquiries have been answered to the full
satisfaction of the Purchaser.

         (i) Reliance. The Purchaser is not relying on the Company or any of its
employees or agents with respect to the legal, tax, economic and related
considerations as to an investment in the Securities, and the Purchaser has
relied on the advice of, or has consulted with, only his own advisors as it
deems necessary or advisable.

         (j) No General Solicitation. The Purchaser is unaware of, is in no way
relying on, and did not become aware of the offering of the Securities through
or as a result of, any form of general solicitation or general advertising
including, without limitation, any article, notice, advertisement or other
communication published in any newspaper, magazine or similar media or broadcast
over television or radio, in connection with the offering and sale of the
Securities and is not subscribing for Securities and did not become aware of the
Offering through or as a result of any seminar or meeting to which the Purchaser
was invited by, or any solicitation of a subscription by, a person not
previously known to the Purchaser in connection with investments in securities
generally.

                                       7
<PAGE>

         (k) No Endorsement of Securities. The Purchaser understands that no
United States federal or state agency or any other government or governmental
agency has passed upon or made any recommendation or endorsement of the
Securities.

         (l) No Registration of Securities. The Purchaser understands that the
Securities and the Warrant Shares have not been registered under the Securities
Act and will not sell, offer to sell, assign, pledge, hypothecate or otherwise
transfer any of the Securities or Warrant Shares unless (i) pursuant to an
effective registration statement under the Securities Act, (ii) the Purchaser
provides the Company with an opinion of counsel, in a generally acceptable form,
to the effect that a sale, assignment or transfer of the Securities may be made
without registration under the Securities Act and the transferee agrees to be
bound by the terms and conditions of this Agreement, (iii) the Purchaser
provides the Company with evidence of compliance with Rule 144 promulgated under
the Securities Act ("Rule 144"), including reasonable assurances (in the form of
seller and broker representation letters) that the Securities and Warrant Shares
can be sold pursuant to Rule 144 or (iv) pursuant to Rule 144(k) following the
applicable holding period.

         (m) Legend. The Purchaser understands that, until such time as a
registration statement has been declared effective or the Securities and Warrant
Shares may be sold by non-affiliates of the Company pursuant to Rule 144 under
the Securities Act without any restriction as to the number of securities as of
a particular date that can then be immediately sold, the certificates for the
Securities and Warrant Shares shall bear a restrictive legend in substantially
the following form (and a stop-transfer order may be placed against transfer of
the certificates for the Securities and Warrant Shares):

         "THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN
         REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
         "SECURITIES ACT"), OR UNDER THE SECURITIES LAWS OF ANY OTHER
         JURISDICTION. THE SECURITIES MAY NOT BE SOLD, TRANSFERRED OR ASSIGNED
         IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FOR THE
         SECURITIES UNDER THE SECURITIES ACT AND APPLICABLE STATE SECURITIES
         LAWS, OR AN OPINION OF COUNSEL, IN FORM, SUBSTANCE AND SCOPE REASONABLY
         ACCEPTABLE TO THE COMPANY, THAT REGISTRATION IS NOT REQUIRED UNDER THE
         SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS OR UNLESS SOLD
         PURSUANT TO RULE 144 UNDER THE SECURITIES ACT."

         (l) Executive Offices. The Purchaser's principal executive offices are
located in the State of Connecticut.

         (m) Brokers and Finders. There is no investment banker, broker, finder
or other intermediary (other than any placement agent retained by the Company)
which has been retained by or is authorized to act on behalf of the Purchaser
who might be entitled to any fee or commission from the Purchaser, the Company,
any of their respective Affiliates upon consummation of the transactions
contemplated by this Agreement.

                                       8
<PAGE>

         5. Certain Covenants.

         (a) Delisting. In the event that the Company is no longer subject to
the reporting requirements of the Exchange Act, the Company hereby covenants and
agrees with the Purchaser that, so long as the Purchaser owns at least ten
percent (10%) of the issued and outstanding shares of Common Stock, except as
otherwise required in this Agreement, the Company shall provide the Purchaser
with customary and reasonable financial information on at least a quarterly
basis and such other information rights as provided to an investor in a
privately held corporation.

         (b) Confidentiality. The Purchaser covenants and agrees to keep
confidential any and all material non-public information which it has heretofore
obtained or shall hereafter obtain, directly or indirectly, from the Company
pursuant to this Agreement or otherwise, and agrees that it has not: (i) used
the same except for the purpose of determining whether to purchase the
Securities in the Offering; or (ii) disclosed the same to any party except as
provided below, without the Company's prior written consent; provided that the
terms of this Section 5(b) shall not extend to any such information that: (A) is
already publicly known; (B) has become publicly known without any fault of the
Purchaser or anyone to whom the Purchaser has made disclosure in compliance with
the terms of this Section 5(b); or (C) is required to be disclosed to any
governmental authorities or courts of law as a result of operation of law,
regulation, or court order; provided, however, that the Purchaser shall have
first given prompt written notice of such requirement to the Company (if
permissible) and cooperates with the Company to restrict such disclosure and/or
obtain confidential treatment thereof.

         (c) Short-Selling. The Purchaser covenants and agrees that it will not,
and shall cause each Purchaser/Affiliate not to, engage in any Short Sales.

         6. Registration Rights.

         (a) Defined Terms. The following capitalized terms, when used in this
Section 6, have the respective meanings set forth below:

                                       9
<PAGE>

                  "Affiliate" means, with respect to any Person (as defined
         below), any other Person, directly or indirectly, controlling,
         controlled by, or under common control with, such Person, and shall
         include (i) any Person who is an executive officer, director or
         beneficial holder of at least 10% of the outstanding capital stock of
         the Company (or other specified Person), (ii) any Person of which the
         Company (or other specified Person) or an Affiliate of the Company (or
         other specified Person) shall, directly or indirectly, either
         beneficially own at least 10% of the outstanding equity securities or
         constitute at least a 10% participant, and (iii) in the case of a
         specified Person who is an individual, each parent, spouse, child,
         brother, sister or the spouse of a child, brother or sister of such
         Person, and each trust or family limited partnership created for the
         benefit of one or more of such Persons. For the purposes of this
         definition, "control" when used with respect to any Person, means the
         possession, directly or indirectly, of the power to direct or cause the
         direction of the management and policies of such Person, whether
         through the ownership of voting securities, by contract or otherwise;
         and the terms "controlling" and "controlled" have meanings correlative
         to the foregoing. Notwithstanding the foregoing, the term "Affiliate"
         as used elsewhere in this Agreement shall have the same meaning as
         given to such term in this Section 6(a).

                  "Business Day" means any day, other than a Saturday or a
         Sunday, that is neither a legal holiday nor a day on which banking
         institutions are generally authorized or required by law or regulation
         to close in the State of Connecticut.

                   "Holder" shall mean any Person that owns Registrable
         Securities, including such successors and assigns as acquire
         Registrable Securities, directly or indirectly, from such Person. For
         purposes of this Agreement, the Company may deem the registered holder
         of a Registrable Security as the Holder thereof.

                  "Other Approved Holders" shall mean holders of Common Stock
         having registration rights with respect to the Common Stock, other than
         pursuant to the terms of this Agreement.

                  "Person" means any individual, company, corporation,
         partnership, limited liability company, trust, division, governmental,
         quasi-governmental or regulatory entity or authority or other entity.
         Notwithstanding the foregoing, the term "Person" as used elsewhere in
         this Agreement shall have the same meaning as given to such term in
         this Section 6(a).

                  "Prospectus" shall mean the prospectus (including a
         preliminary prospectus) included in any Registration Statement, as
         amended or supplemented by a prospectus supplement with respect to the
         terms of the offering of any portion of the Registrable Securities
         covered by such Registration Statement and by all other amendments and
         supplements to the prospectus, including post-effective amendments and
         all material incorporated by reference in such prospectus.

                                       10
<PAGE>

                  "Registrable Securities" shall mean the Shares, the Warrant
         Shares and any other capital stock or other securities issued or
         issuable as a result of or in connection with any stock dividend, stock
         split or reverse stock split, combination, recapitalization,
         reclassification, merger or consolidation, exchange, distribution or
         similar transaction in respect of the Shares or the Warrant Shares.

                  "Registration Statement" shall mean any registration statement
         which covers any of the Registrable Securities pursuant to the
         provisions of this Agreement, including the Prospectus included
         therein, all amendments and supplements to such Registration Statement,
         including post-effective amendments, and all exhibits and all material
         incorporated by reference in such Registration Statement.

                  "Rule 144" shall mean Rule 144 promulgated under the
         Securities Act, as amended from time to time, or any similar successor
         rule thereto that may be promulgated by the SEC.

                  "Rule 144A" shall mean Rule 144A promulgated under the
         Securities Act, as amended from time to time, or any similar successor
         rule thereto that may be promulgated by the SEC.

         (b) Piggyback Registration Rights.

                   (i) Whenever the Company proposes to register any of its
         securities under the Securities Act, either pursuant to an underwritten
         primary registration on behalf of the Company or pursuant to an
         underwritten secondary registration on behalf of a holder or holders of
         the Company's securities (other than on Form S-4, Form S-8 or any
         successor form) and the registration form to be used may be used for
         the registration of any Registrable Securities (a "Piggyback
         Registration"), the Company will give written notice to each holder of
         Registrable Securities of its intention to effect such a registration
         and will include in such registration all Registrable Securities
         (subject to, and in accordance with, the priorities set forth in
         Section 6(b)(ii) hereof), with respect to which the Company has
         received written requests for inclusion within ten (10) days after
         delivery of the Company's notice to each holder of Registrable
         Securities.

                   (ii) If the managing underwriter(s) advise the Company in
         writing, or the Board of Directors determines, that in their opinion,
         the number of Registrable Securities requested to be included in such
         registration exceeds the number which can be sold in such offering
         without adversely affecting the marketability or pricing thereof, the
         Company will include in such registration up to an aggregate amount
         determined advisable by such underwriter(s): (i) first, any shares of
         Common Stock that the Company desires to register; (ii) second, any
         shares of Common Stock requested to be registered by the holder(s) of
         Common Stock pursuant to which the Registration Statement is being
         filed and to which the holders of Registrable Securities hereunder are
         receiving Piggyback Registration; and (iii) pro rata among the holders
         of Registrable Securities on the basis of the number of Registrable
         Securities which are requested to be registered hereunder.

                                       11
<PAGE>

                   (iii) Notwithstanding anything herein to the contrary, the
         Company may withdraw any registration statement referred to in this
         Section 6(b) at any time in its sole discretion without thereby
         incurring any liability or expense to the holders of Registrable
         Securities.

          (c) Registration Procedures. In connection with the Company's
registration obligations pursuant to Sections 6(b) hereof, the Company will use
its commercially reasonable efforts to:

                   (i) register or qualify such Registrable Securities under the
         securities or blue sky laws of the jurisdictions as any seller
         reasonably requests in writing and do any and all other acts and things
         which may be reasonably necessary to permit such seller to consummate
         the disposition in such jurisdictions of the Registrable Securities
         owned by such seller (provided that the Company will not be required to
         (A) qualify generally to do business in any jurisdiction where it would
         not otherwise be required to qualify but for this subparagraph or (B)
         consent to general service of process in any such jurisdiction);

                   (ii) notify each seller of Registrable Securities at any time
         when a prospectus relating thereto is required to be delivered under
         the Securities Act, of the happening of any event as a result of which
         the prospectus included in such registration statement contains an
         untrue statement of a material fact or omits any fact necessary to make
         the statements therein not misleading, and, at the request of any such
         seller, the Company will prepare a supplement or amendment to such
         prospectus so that, as thereafter delivered to the purchasers of such
         Registrable Securities, such prospectus will not contain any untrue
         statement of a material fact or omit to state any fact necessary to
         make the statements therein not misleading;

                   (iii) cause all such Registrable Securities to be listed on
         each securities exchange, if any, on which the same securities issued
         by the Company are then listed;

                   (iv) provide a transfer agent and registrar for all such
         Registrable Securities not later than the effective date of such
         registration statement; and

                   (v) advise each seller of such Registrable Securities
         promptly after it shall receive notice or obtain knowledge thereof, of
         the issuance of any stop order by the SEC suspending the effectiveness
         of such registration statement or the initiation or threatening of any
         proceeding for such purpose and use commercially reasonable efforts to
         prevent the issuance of any stop order or to obtain its withdrawal if
         such stop order should be issued.

          (d) Material Development Election.

                   (i) Subject to Section 6(d)(ii) below, the Company shall be
         entitled, for a period of time not to exceed thirty consecutive (30)
         days (a "Suspension Period"), to postpone the filing of any
         Registration Statement otherwise required to be filed by it pursuant to
         Section 6(b) and/or request that the Holders refrain from effecting any
         public sales or distributions of their Registrable Securities if the
         Company's Board of Directors shall have reasonably determined in good

                                       12

<PAGE>

         faith and in its reasonable business judgment that such registration
         would interfere in any material respect with any financing (other than
         an underwritten secondary offering of any securities of the Company),
         acquisition, corporate reorganization or other transaction or
         development involving the Company or any subsidiary of the Company that
         in the reasonable good faith business judgment of such board is a
         transaction or development that is or would be material to the Company
         (a "Material Development Election").

                  (ii) The Board of Directors shall, as promptly as practicable,
         give the Holders written notice of any such Material Development
         Election. In the event of a determination by the Board of Directors to
         postpone the filing of a Registration Statement required to be filed
         pursuant to Section 6(b) hereof, the Company shall be required to file
         such Registration Statement as soon as practicable after the Board of
         Directors of the Company shall determine, in its reasonable business
         judgment, that the filing of such Registration Statement and the
         offering thereunder will not interfere with the aforesaid material
         transaction or development, but in any event no later than the end of
         such Suspension Period. In addition, if the Board of Directors of the
         Company has requested that the Holders refrain from making public sales
         or distributions of their Registrable Securities, such board shall, as
         promptly as practicable following its determination that the Holders
         may recommence such public sales and distributions, notify such Holders
         in writing of such determination (but in any event no later than the
         end of such Suspension Period). In the event the Company shall exercise
         a Material Development Election during a period when a Registration
         Statement filed pursuant to Section 6(b) hereof is effective, the time
         period specified in Section 6(b) hereof during which such Registration
         Statement is required to be kept effective shall be extended by the
         number of days during which the Holders are prohibited by the Company
         from publicly selling or distributing their securities.

                  (iii) The Purchaser agrees that, upon receipt of any notice
         from the Company of a Suspension Period, the Purchaser shall forthwith
         discontinue disposition of shares of Common Stock covered by such
         Registration Statement or Prospectus until such Purchaser (A) is
         notified in writing by the Company that the use of the applicable
         prospectus may be resumed, (B) has received copies of a supplemental or
         amended prospectus, if applicable, and (C) has received copies of any
         additional or supplemental filings which are incorporated or deemed to
         be incorporated by reference into such prospectus.

                  (iv) Notwithstanding the foregoing, no more than one
         Suspension Period may occur during any twelve-month period, unless
         approved by a majority-in-interest of the then outstanding Holders (on
         a common equivalent basis). The Company shall use its best efforts to
         limit the duration and aggregate number of any Suspension Periods.

                                       13
<PAGE>

         (e) Registration Expenses. All expenses incident to the Company's
performance of or compliance with Section 6 of this Agreement, including all
registration and filing fees, fees and expenses of compliance with securities or
blue sky laws (including reasonable fees and disbursements of counsel in
connection with blue sky qualifications or registrations (or the obtaining of
exemptions therefrom) of the Registrable Securities), printing expenses
(including expenses of printing Prospectuses), messenger and delivery expenses,
internal expenses (including all salaries and expenses of its officers and
employees performing legal or accounting duties), fees and disbursements of its
counsel and its independent certified public accountants, securities acts
liability insurance (if the Company elects to obtain such insurance), fees and
expenses of any special experts retained by the Company in connection with any
registration hereunder, fees and expenses of other Persons retained by the
Company, (all such expenses being referred to as "Registration Expenses"), shall
be borne by the Company, whether or not any registration statement becomes
effective; provided that Registration Expenses shall not include any
underwriting discounts, commissions or fees attributable to the sale of the
Registrable Securities.

         (f) Registration Rights Indemnification.

                  (i) Indemnification by the Company.

                           (1) The Company will indemnify and hold harmless, to
         the fullest extent permitted by law, but without duplication, each
         Holder, including any managed or advised accounts and any investment
         advisor or agent therefore, officers, directors, employees, partners,
         representatives and agents, and each Person who controls such Holder or
         such other Persons (within the meaning of the Securities Act) (for
         purposes of this Section 6(f)(i), a "Holder Indemnified Person"), from
         and against, and will reimburse such Holder Indemnified Person with
         respect to, any and all claims, actions, demands, losses, damages,
         liabilities, costs and expenses (including reasonable costs of
         investigation and reasonable legal fees and expenses) ("Indemnifiable
         Costs and Expenses") to which such Holder Indemnified Person may become
         subject under the Securities Act or otherwise and arise out of or are
         based upon (A) violation of securities laws or (B) any untrue statement
         or alleged untrue statement of any material fact contained in, or any
         omission or alleged omission to state therein a material fact required
         to be stated in, any such Registration Statement, any Prospectus
         contained therein or any amendment or supplement thereto or necessary
         to make the statements contained therein, in light of the circumstances
         under which they were made, not misleading; provided, however, that the
         Company will not be liable in any such case to the extent that any
         costs or expense covered by the preceding clauses (A) or (B) arises out
         of or results from any untrue or alleged untrue statement of any
         material fact contained in such Registration Statement, any Prospectus
         contained therein or any amendment or supplement thereto or any
         omission or alleged omission to state therein a material fact required
         to be stated therein or necessary to make the statements therein, in
         light of the circumstances in which they were made, not misleading, in
         each case to the extent, but only to the extent, that such untrue
         statement or alleged untrue statement or omission or alleged omission
         was so made solely in reliance upon and in substantial conformity with
         written information furnished by such Holder Indemnified Person
         specifically for use in the preparation of any such Registration
         Statement, Prospectus or amendment or supplement thereto.

                                       14
<PAGE>

                           (2) The Company further agrees promptly upon demand
         by each Holder Indemnified Person to reimburse each Holder Indemnified
         Person for any Holder Indemnifiable Costs and Expenses as they are
         incurred by it; provided that if the Company reimburses a Holder
         Indemnified Person hereunder for any expenses incurred in connection
         with a lawsuit, claim, inquiry or other proceeding or investigation for
         which indemnification is sought, such Holder Indemnified Person agrees
         to refund such reimbursement of Holder Indemnifiable Costs and Expenses
         to the extent it is finally judicially determined that the indemnity
         provided for in this Section 6(f)(i) is not applicable to, or the
         Company is not otherwise obligated to pay, such Holder Indemnified
         Person in accordance with the terms hereof or otherwise. The indemnity,
         contribution and expense reimbursement obligation of the Company under
         this Section 6(f)(i) shall be in addition to any liability it may
         otherwise have. The obligations of the Company hereunder shall survive
         the Closing and the termination of any Registration Statement under
         which any Registrable Securities were registered the termination of
         this Agreement and shall not be extinguished with respect to any Person
         because any other Person is not entitled to indemnity or contribution
         hereunder.

                  (ii) Indemnification by Holders of Registrable Securities.
         Each Holder whose Registrable Securities are included in a Registration
         Statement pursuant to the provisions of this Section 6 will indemnify
         and hold harmless the Company and its officers, directors, employees,
         partners, stockholders, agents, representatives, and any Person who
         controls the Company or any of its subsidiaries or Affiliates (within
         the meaning of the Securities Act) (each, a "Company Indemnified
         Person"), from and against, and will reimburse such Company Indemnified
         Person with respect to, any and all Indemnifiable Costs and Expenses to
         which the Company or such Company Indemnified Person may become subject
         under the Securities Act or otherwise and which arise out of or result
         from any untrue or alleged untrue statement of any material fact
         contained in such Registration Statement, any Prospectus contained
         therein or any amendment or supplement thereto, or any omission or the
         alleged omission to state therein any material fact required to be
         stated therein or necessary to make the statements therein, in light of
         the circumstances in which they were made, not misleading, in each case
         to the extent, but only to the extent, that such untrue statement or
         omission or alleged untrue statement or alleged omission was so made
         solely in reliance upon and in substantial conformity with written
         information furnished by such Holder specifically for use in the
         preparation thereof; provided, however, that the liability of any
         Holder pursuant to this subsection (ii) shall be limited to an amount
         not to exceed the net proceeds received by such Holder pursuant to the
         Registration Statement which gives rise to such obligation to
         indemnify.

                  (iii) Conduct of Indemnification Proceedings; Contribution.

                           (1) Each indemnifying party and indemnified party
          under this Section 6(f) shall comply with the procedures set forth in
          Section 7(a)(iii) with respect to any indemnity sought pursuant to
          this Section 6(f).

                           (2) Each indemnifying party and indemnified party
          under this Section 6(f) also agrees to comply with the provisions in
          Section 7(a)(iv) as they relate to contribution.

                                       15
<PAGE>

         (g) Reporting Requirements Under the Exchange Act. The Company shall
use its commercially reasonable efforts to make publicly available and available
to the Holders, pursuant to Rule 144, such information as is necessary to enable
the Holders to make sales of Registrable Securities pursuant to that Rule. The
Company shall use its commercially reasonable efforts to file timely with the
SEC all documents and reports required of the Company under the Exchange Act.
The Company shall furnish to any Holder, upon request, a written statement
executed on behalf of the Company as to compliance with the current public
information requirements of Rule 144. In addition, the Company will provide to
any Holder of a Registrable Security, or any potential purchaser of a
Registrable Security, upon any such Person's reasonable request, the information
required by paragraph (d)(4) of Rule 144A.

         (h) Stockholder Information. The Company may require each seller of
Registrable Securities as to which any registration is being effected to furnish
to the Company such information regarding such seller and the distribution of
such securities as the Company or the Managing Underwriter may from time to time
reasonably request in writing.

         7. Miscellaneous.

         (a) Indemnification. In addition, to any indemnification provided
elsewhere in this Agreement, the parties hereto agree as follows:

                  (i) Company Indemnification.

                           (1) The Company will indemnify and hold harmless, to
         the fullest extent permitted by law, but without duplication, the
         Purchaser, including any managed or advised accounts and any investment
         advisor or agent therefor, and their respective, officers, directors,
         employees, partners, representatives, agents, and each Person who
         controls the Company and each of its Affiliates within the meaning of
         the Securities Act) (each of the foregoing Persons being a "Purchaser
         Indemnified Person"), from and against any and all Indemnifiable Costs
         and Expenses to which such Purchaser Indemnified Person may become
         subject under the Securities Act or otherwise arising out of or based
         in any manner upon any breach by the Company of any its
         representations, warranties or covenants contained in the Agreement or
         in any agreement, instrument or document delivered by the Company
         hereunder.

                            (2) The obligations of the Company hereunder shall
         survive the Closing and any repurchase, conversion, exchange or
         transfer of the Shares, the Warrants and the Warrant Shares and the
         termination of this Agreement and shall not be extinguished with
         respect to any Person because any other Person is not entitled to
         indemnity or contribution hereunder.

                  (ii) Purchaser Indemnification. The Purchaser agrees and
         covenants to hold harmless and indemnify each Company Indemnified
         Person, from and against any and all Indemnifiable Costs and Expenses
         to which such Company Indemnified Person may become subject under the
         Securities Act or otherwise which arises out of or is based in any
         manner upon any breach by the Purchaser of any its representations,
         warranties or covenants contained in the Agreement or in any agreement,
         instrument or document delivered by the Purchaser hereunder.

                                       16
<PAGE>

                  (iii) Conduct of Indemnification Proceedings. Promptly after
         receipt by a party indemnified pursuant to the provisions of paragraph
         (i) or (ii) of this Section 7(a) or paragraph (i) or (ii) of Section
         6(f) of notice of the commencement of any action involving the subject
         matter of the foregoing indemnity provisions, such indemnified party
         will, if a claim thereof is to be made against the indemnifying party
         pursuant to the provisions of paragraph (i) or (ii) of this Section
         7(a) or paragraph (i) or (ii) of Section 6(f), notify the indemnifying
         party of the commencement thereof; but the omission so to notify the
         indemnifying party will not relieve it from any liability which it may
         have to an indemnified party otherwise than under paragraph (i) or (ii)
         of this Section 7(a) or paragraph (i) or (ii) of Section 6(f), and
         shall not relieve the indemnifying party from liability under this
         Section 7(a) or Section 6(f) unless such indemnifying party is
         materially prejudiced by such omission. In case such action is brought
         against any indemnified party and it notifies the indemnifying party of
         the commencement thereof, the indemnifying party shall have the right
         to participate in, and, to the extent that it may wish, jointly with
         any other indemnifying party similarly notified, to assume the defense
         thereof, with counsel reasonably satisfactory to such indemnified
         party, and after notice from the indemnifying party to such indemnified
         party of its election so to assume the defense thereof, the
         indemnifying party will not be liable to such indemnified party
         pursuant to the provisions of such paragraph (i) or (ii) of this
         Section 7(a) or paragraph (i) or (ii) of Section 6(f) for any legal or
         other expense subsequently incurred by such indemnified party in
         connection with the defense thereof other than reasonable costs of
         investigation. No indemnifying party shall be liable to an indemnified
         party for any settlement of any action or claim without the consent of
         the indemnifying party. No indemnifying party will consent to entry of
         any judgment or enter into any settlement which does not include as an
         unconditional term thereof the giving by the claimant or plaintiff to
         such indemnified party of a release from all liability in respect to
         such claim or litigation and no settlement can have non-monetary
         remedies.

                                       17
<PAGE>

                  (iv) Contribution. If the indemnification provided for in
         subsection (i) or (ii) of this Section 7(a) or in subsection (i) or
         (ii) of Section 6(f) is held by a court of competent jurisdiction to be
         unavailable to a party to be indemnified with respect to any
         Indemnifiable Costs and Expenses, then each indemnifying party under
         any such subsection, in lieu of indemnifying such indemnified party
         thereunder, hereby agrees to contribute to the amount paid or payable
         by such indemnified party as a result of Indemnifiable Costs and
         Expenses, in such proportion as is appropriate to reflect the relative
         fault of the indemnifying party on the one hand and of the indemnified
         party on the other in connection with the statements or omissions,
         acts, facts matters or circumstances which resulted in such
         Indemnifiable Costs and Expenses, as well as any other relevant
         equitable considerations. To the extent applicable to Section 6(f)
         hereof, the relative fault of the indemnifying party and of the
         indemnified party shall be determined by reference to, among other
         things, whether the untrue or alleged untrue statement of a material
         fact or the omission or alleged omission to state a material fact
         relates to information supplied by the indemnifying party or by the
         indemnified party and the parties' relative intent, knowledge, access
         to information and opportunity to correct or prevent such statement or
         omission. No Person guilty of fraudulent misrepresentation (within the
         meaning of Section 11(f) of the Securities Act) shall be entitled to
         contribution hereunder from any Person who was not guilty of such
         fraudulent misrepresentation.

         (b) Entire Agreement; Survival of Provisions. This Agreement
constitutes the entire agreement of the parties with respect to the transactions
contemplated hereby and supersedes all prior agreements and understandings with
respect thereto, whether written or oral. All of the covenants of the parties
made herein shall remain operative and in full force and effect pursuant to
their respective terms regardless of acceptance of the Securities and the
Warrant Shares, and payment therefor. The representations and warranties set
forth herein shall survive the execution and delivery of this Agreement until
the first anniversary of the date hereof (the "Expiration Date"), and shall in
no way be affected by any investigation of the subject matter thereof made by or
on behalf of the Purchaser or the Company. Notwithstanding the preceding
sentence, any representation or warranty in respect of which an indemnity may be
sought hereof shall survive the time at which it would otherwise terminate
pursuant to the preceding sentence, if a claim for indemnification shall have
been given to the party against whom such indemnity may be sought prior to the
Expiration Date. The representations, warranties, agreements and covenants made
in the Agreement shall be deemed to have been relied upon by the parties hereto.

         (c) No Waiver; Modifications in Writing. No failure or delay by a party
in exercising any right, power or remedy hereunder shall operate as a waiver
thereof, nor shall any single or partial exercise of any such right, power or
remedy preclude any other or further exercise thereof or the exercise of any
other right, power or remedy. Except as otherwise expressly provided herein with
respect to any right of indemnification, the remedies provided for herein are
cumulative and are not exclusive of any remedies that may be available to any
party at law or in equity or otherwise. No waiver of or consent to any departure
by a party from any provision of this Agreement shall be effective unless signed
in writing by the parties entitled to the benefit thereof. No amendment,
modification or termination of any provision of this Agreement shall be
effective unless signed in writing by all parties. Any amendment, supplement or
modification of or to any provision of this Agreement, any waiver of any
provision of this Agreement, and any consent to any departure from the terms of
any provision of this Agreement, shall be effective only in the specific
instance and for the specific purpose for which made or given.

                                       18

<PAGE>

         (d) Notices. All notices, demands and other communications provided for
hereunder shall be in writing, shall be given by registered or certified mail,
return receipt requested, on the date sent by telecopy with electronic
confirmation of such transmission, the business day next following deposit with
a courier service for overnight delivery with written confirmation of such
delivery or upon personal delivery, addressed to the parties, as follows:

                      If to the Company, to:

                           Startech Environmental Corporation
                           15 Old Danbury Road, Suite 203
                           Wilton, Connecticut 06897-2525
                           Attention:  Chief Financial Officer
                           Fax:  (203) 762-2499

                         with a copy to:

                           Kramer Levin Naftalis & Frankel LLP
                           919 Third Avenue
                           New York, New York 10022
                           Attention: Scott S. Rosenblum Esq.
                           Fax: (212) 715-8000

                      If to the Purchaser, to:

                           ----------------------------------

                           ----------------------------------

                           Attention:
                                      -----------------------

or to such other address as any party shall designate in writing in compliance
with the provisions of this Section 7(d).

         (e) Execution in Counterparts. This Agreement may be executed in any
number of counterparts and by different parties hereto on separate counterparts,
each of which counterparts, when so executed and delivered, shall be deemed to
be an original and all of which counterparts, taken together, shall constitute
but one and the same Agreement.

         (f) Binding Effect; Assignment. The rights and obligations of the
parties under this Agreement may not be assigned or otherwise transferred to any
other person, without the prior written consent of the other party hereto;
provided that a Purchaser may assign or otherwise transfer the Shares to any of
its Affiliates without obtaining any such consent, but only if such Affiliate:
(i) agrees to be bound by the terms of this Agreement; (ii) is, at the time of
such transfer, an "accredited Investor" and provides a fully completed Investor
Questionnaire and such other written certification as the Company may reasonably
require as to the transferee's status as an "accredited investor"; and (iii)
such transfer to any such transferee does not violate federal or state

                                       19

<PAGE>

securities laws and counsel for transferee, at the Company's request, provides
and opinion of counsel as to the same. Except as expressly provided in this
Agreement, this Agreement shall not be construed so as to confer any right or
benefit upon any person other than the parties to this Agreement, their
respective permitted heirs, representatives, executors, successors and assigns,
each Company Indemnified Person and each Purchaser Indemnified Person. This
Agreement shall be binding upon and shall inure to the benefit of the Company,
the Purchaser and their respective permitted heirs, representatives, executors,
successors and assigns.

         (g) Governing Law. This Agreement shall be deemed to be a contract made
under and shall be governed by and construed in accordance with the internal
laws of the State of Connecticut without reference to the principles of conflict
of laws.

         (h) Consent to Jurisdiction and Service of Process. Any suit, action or
proceeding arising out of or relating to the Agreement or the transactions
contemplated hereby may be instituted in any Federal court situated in the State
of Connecticut or any state court of the State of Connecticut, and each party
agrees not to assert, by way of motion, as a defense or otherwise, in any such
suit, action or proceeding, any claim that it is not subject personally to the
jurisdiction of such court, that the suit, action or proceeding is brought in an
inconvenient forum, that the venue of the suit, action or proceeding is improper
or that the Agreement or the subject matter hereof or thereof may not be
enforced in or by such court. Each party further irrevocably submits to the
jurisdiction of such court in any such suit, action or proceeding. Any and all
service of process and any other notice in any such suit, action or proceeding
shall be effective against any party if given personally or by registered or
certified mail, return receipt requested if sent to such party at the address
for such party set forth in Section 7(d) hereof, or by any other means of mail
that requires a signed receipt, postage fully prepaid, mailed to such party as
herein provided. Nothing herein contained shall be deemed to affect the right of
any party to serve process in any manner permitted by law or to commence legal
proceedings or otherwise proceed against any other party in any other
jurisdiction.

         (i) Severability. Any provision hereof that is prohibited or
unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective
to the extent of such prohibition or unenforceability without invalidating the
remaining provisions hereof, and any such prohibition or unenforceability in any
jurisdiction shall not invalidate or render unenforceable such provision in any
other jurisdiction. To the extent permitted by law, the parties hereto waive any
provision of law that renders any such provision prohibited or unenforceable in
any respect.

         (j) Headings. The Article, Section and subsection headings used or
contained in this Agreement are for convenience of reference only and shall not
affect the construction of this Agreement.

                                       20

<PAGE>

         (k) Expenses. Each party shall bear its own fees, costs and expenses in
connection with the execution, delivery and performance of the Agreement.

         (l) Waiver of Jury Trial. TO THE EXTENT THEY MAY LEGALLY DO SO, THE
PARTIES HERETO EXPRESSLY WAIVE ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND,
ACTION, CAUSE OF ACTION OR PROCEEDING ARISING UNDER OR WITH RESPECT TO THIS
AGREEMENT OR IN ANY WAY CONNECTED WITH, OR RELATED TO, OR INCIDENTAL TO, THE
DEALINGS OF THE PARTIES HERETO WITH RESPECT TO THIS AGREEMENT OR THE
TRANSACTIONS RELATED HERETO, IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER
ARISING, AND IRRESPECTIVE OF WHETHER SOUNDING IN CONTRACT, TORT OR OTHERWISE. TO
THE EXTENT THEY MAY LEGALLY DO SO, THE PARTIES HERETO AGREE THAT ANY SUCH CLAIM,
DEMAND, ACTION, CAUSE OF ACTION OR PROCEEDING SHALL BE DECIDED BY A COURT TRIAL
WITHOUT A JURY AND THAT ANY PARTY HERETO MAY FILE AN ORIGINAL COUNTERPART OR A
COPY OF THIS SECTION 7(m) WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF
THE OTHER PARTY OR PARTIES HERETO TO WAIVER OF ITS OR THEIR RIGHT TO TRIAL BY
JURY.

         (m) Publicity. The parties agree that no public release or announcement
concerning the Agreement or the transactions contemplated hereby shall be made
without advance review and approval by each party hereto, except as otherwise
required by applicable law, and which review and approval shall not be
unreasonably withheld or delayed.

         (n) Enforcement. The Purchaser acknowledges that the Company will be
irreparably damaged if the provisions of this Agreement applicable to the
Purchaser are not specifically enforced. If the Purchaser shall default in any
of its obligations under this Agreement or if any representation or warranty
made by or on behalf of the Purchaser in this Agreement or in any certificate,
report or other instrument delivered under or pursuant to any term hereof or
thereof shall be untrue or misleading as of the date made, the Company may
proceed to protect and enforce its rights by suit in equity or action at law
(without the posting of any bond and without proving that damages would be
inadequate), whether for the specific performance of any term contained in this
Agreement, injunction against the breach of any such term or in furtherance of
the exercise of any power granted in this Agreement, or to enforce any other
legal or equitable right of the Company or to take any one of more of such
actions. The Company shall be permitted to enforce specifically the terms and
provisions hereof in any court of the United States or any state thereof or any
other court having jurisdiction, this being in addition to any other remedy to
which the Company may be entitled at law or in equity or otherwise.

         (o) Further Assurances. Each party shall execute and deliver such
documents, instruments and agreements and take such further actions as may be
reasonably required or desirable to carry out the provisions of this Agreement
and the transactions contemplated hereby, and each of the parties hereto shall
cooperate with each other in connection with the foregoing.

                                       21

<PAGE>

         (p) Broker's Fee. The Purchaser acknowledges that the Company may pay a
fee to one or more placement agents in respect of the sale of the Securities to
the Purchaser. The Purchaser and the Company hereby agree that the Purchaser
shall not be responsible for such fee and that the Company will indemnify and
hold harmless the Purchaser and each Purchaser/Affiliate against any losses,
claims, damages, liabilities or expenses, joint or several, to which the
Purchaser or Purchaser/Affiliate may become subject with respect to such fee.
Each of the parties hereto hereby represents that, on the basis of any actions
and agreements by it, there are no other brokers or finders entitled to
compensation in connection with the sale of the Securities to the Purchaser.

         (q) Force Majeure. Neither party shall be deemed in default of any
provision of this Agreement (other than provisions regarding confidentiality),
to the extent that performance of its obligations or attempts to cure a breach
are materially delayed or prevented by any event reasonably beyond the control
of such party, including, without limitation, war, hostilities, acts of
terrorism, revolution, riot, civil commotion, national emergency, strike,
lockout, unavailability of supplies, epidemic, fire, flood, earthquake, force of
nature, explosion, embargo, or any other Act of God, or any law, proclamation,
regulation, ordinance, or other act or order of any court, government or
governmental agency, provided that such party gives the other party written
notice thereof promptly upon discovery thereof and uses reasonable efforts to
cure or mitigate the delay or failure to perform

                            [SIGNATURE PAGE FOLLOWS]

                                       22
<PAGE>

                                 SIGNATURE PAGE

         IN WITNESS WHEREOF, the parties hereto have duly executed this
Agreement as of the date first above written.

                                  International Plasma Sales Group LLC

                                  By:
                                      ------------------------------------------
                                      Name:  Peter Lisa
                                      Title:

                                  Federal Taxpayer Identification Number:

                                  ----------------------------------------------

                                  STARTECH ENVIRONMENTAL CORPORATION

                                  By:
                                      ------------------------------------------
                                      Name: Joseph F. Longo
                                      Title: President and CEO

<PAGE>

 .
                                    EXHIBIT A

                            FORM OF WARRANT AGREEMENT

<PAGE>

                                    EXHIBIT B

                           WIRE TRANSFER INSTRUCTIONS

Wire transfer information for:              Startech Environmental Corp.
                                            15 Old Danbury Road, Suite 203
                                            Wilton, Ct. 06897-2525

Financial Institution:                      Chase Manhattan Bank
                                            33 Old Ridgfield Road
                                            Wilton, CT 06897

Financial Institution Contact:              Branch Manager
                                            (203) 762-3611
                                            FAX: (203) 762-2645

Accounting Number:                          699500462165

ABA/Routing Number:                         021000021

<PAGE>

                                    EXHIBIT C

                             INVESTOR QUESTIONNAIRE

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