Exhibit 99.1

NEWS RELEASE

FOR IMMEDIATE RELEASE

            KTI ISSUES $21.4 MILLION IN !CONVERTIBLE PREFERRED STOCK

     GUTTENBERG, N. J. (AUG. 18, 1997) -- KTI.  Inc. announced today that it has
closed a placement of $21,400,000 in Series B convertible, exchangeable
preferred stock.  The issue is convertible at $11.75 per share.

     The issue which carries an 8.75% dividend coupon, was sold to institutional
buyers and is exchangeable for convertible debentures at the company's option.

     Martin J. Sergi, president of KTI, Inc., said, "The proceeds from this
transaction are earmarked for acquisitions presently being negotiated in the
energy and recycling fields augmenting our current business lines."

     KTI is an award winning environmental company engaged in integrated waste
processing and management in diversified services and markets.  The company
processes over one million tons of material a year and is best known for its
expertise in the waste-to-waste sector.  KTI was organized in 1983 to develop
and own waste-to-energy facilities; with the dual purpose of providing a means
of disposal for non-hazardous municipal solid waste and of generating
electricity from alternative fuel sources.  Since then, KTI's operations have
expanded to include the development of an integrated waste management business
providing not only municipal solid waste handling and disposal services, but
also wood waste processing, ash and municipal waste recycling, specialty waste
disposal, transportation facilitation services and transfer station operations.

     The company owns and operates two waste-to-energy facilities in Maine which
convert non-hazardous solid waste from residential, commercial and industrial
sources into electric power.  KTI has developed and operates a wood waste
processing and recycling facility in Maine.

     KTI also hold a majority interest in America's only commercially
operational municipal waste ash recycling facility in Nashville, Tenn., a
Maryland company specializing in marketing post-industrial recycled plastics and
a Maine-based recycling company.

     For further information, contact Marty Sergi at KTI, Inc. (201) 854-7777 or
Frank N. Hawkins, Jr., Hawk Associates, Inc. at (305) 852-2383.

     Copies of KTI press releases, SEC filings, current price quotes, stock
charts, analysts' comments and other valuable information for investors may be
found on the website HTTP://WWW.HAWKASSOCIATES.COM.

     This release contains various forward looking statements within the meaning
of Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934 which represent the company's expectations or beliefs
concerning future events of the company's financial performance.  These forward
looking statements are qualified by important factors that could cause actual
results to differ materially from those in the forward looking statements. 
Results actually achieved may differ materially from expected results included
in these statements.