diff --git a/CHANGELOG.md b/CHANGELOG.md
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--- /dev/null
+++ b/CHANGELOG.md
@@ -0,0 +1,5 @@
+# Revision history for shannon-fano
+
+## 0.1.0.0 -- 02/11/2018
+
+* First version.
diff --git a/Codec/Compression/ShannonFano.hs b/Codec/Compression/ShannonFano.hs
new file mode 100644
--- /dev/null
+++ b/Codec/Compression/ShannonFano.hs
@@ -0,0 +1,218 @@
+module Codec.Compression.ShannonFano (
+                   frequency, 
+                   probability, 
+                   compress, 
+                   compressToFile,
+                   code,
+                   genCodeTable,
+                   genDecodeTable,
+                   readDecodeTable,
+                   decode,
+                   decompressFromFile
+                   ) where
+
+import Data.List (group, sort, sortBy)
+import Data.List.Split (chunksOf)
+import Data.Char (intToDigit)
+import Numeric (readInt, showIntAtBase)
+import System.IO
+import qualified Data.ByteString as BS
+
+----- * Auxiliar data types
+--
+
+-- | List with every character associated to its frequency/probability.
+--
+type Table a = [(Char, a)]
+
+-- | Intermediate structure used to create a 'CodeTable'.
+type Encoding a = [((Char, a), String)]
+
+-- | List of every character and its binary code.
+type CodeTable = [(Char, String)]
+
+-- | List of the binary code associated to its character.
+type DecodeTable = [(String, Char)]
+
+----- * Auxiliar functions
+split :: (a -> b) -> (a -> c) -> a -> (b, c)
+split f g x = (f x, g x)
+
+(><) :: (a -> b) -> (c -> d) -> (a, c) -> (b, d)
+f >< g = split (f . fst) (g . snd)
+
+divide :: (Ord a, Num a) => Encoding a -> (Encoding a, Encoding a)
+divide [] = ([],[])
+divide (h:t) = let index = divide' t [h] 1
+               in (map (id >< (flip (++) "0"))) >< (map (id >< (flip (++) "1"))) $ splitAt index (h:t)
+    where
+        divide' [] _ i = i
+        divide' (x:xs) l i | (sum $ map (snd . fst) (x:xs)) < (sum $ map (snd . fst) xs) = divide' t (x:l) (i+1) 
+                           | otherwise = i
+
+encode :: Table a -> Encoding a
+encode = map (split id (const ""))
+
+code' :: (Num a, Ord a) => Encoding a -> Encoding a
+code' a = let (l,r) = divide a
+             in code'' l ++ code'' r
+         where
+             code'' []  = []
+             code'' [x] = [x]
+             code'' s   = code' s
+
+string2dec :: (Num a) => String -> a
+string2dec s = fst $ (readInt 2 c d s) !! 0
+    where
+        c x = x == '1' || x == '0'
+        d x = if x == '1' then 1 else 0
+
+dec2binStr :: (Integral a, Show a) => a -> String
+dec2binStr a = showIntAtBase 2 intToDigit a ""
+
+getFromBinary :: FilePath -> IO (Int, [Int])
+getFromBinary f = do
+            fH <- openBinaryFile f ReadMode
+            r <- BS.hGetContents fH
+            (l, wrds) <- return . split head tail . BS.unpack $ r
+            hClose fH
+            return (fromIntegral l, map fromIntegral wrds)
+
+----- * ShannonFano functions
+
+-- | Gives the frequency table of all characters in a string.
+--
+frequency :: String -- ^ Input string
+          -> Table Int -- ^ Resulting table
+frequency = sortBy cmp . map (split head length) . group . sort
+    where
+        cmp x y = if snd x < snd y then GT else LT
+
+-- | Gives the probability table of all characters in a string.
+--
+probability :: String  -- ^ Input string
+            -> Table Float -- ^ Resulting table
+probability s = sortBy cmp . map (split head prob) . group . sort $ s
+                where
+                    totalLength = length s
+                    cmp x y     = if snd x < snd y then GT else LT
+                    prob x      = (fromIntegral $ length x) / (fromIntegral totalLength)
+
+-- | Generates a 'CodeTable'
+--
+genCodeTable :: (Num a, Ord a) => Encoding a -- ^ Input encoding
+             -> CodeTable -- ^ Resulting code table
+genCodeTable = map (fst >< id)
+
+-- | Generates a 'DecodeTable'
+--
+genDecodeTable :: (Num a, Ord a) => Encoding a -- ^ Input encoding
+               -> DecodeTable -- ^ Resulting decode table
+genDecodeTable = map (split snd fst) . genCodeTable
+
+
+-- | Given a 'Table' encodes it by applying the Shannon-fano
+--   algorithm.
+--
+code :: (Num a, Ord a) => Table a -- ^ Input table
+     -> Encoding a -- ^ Resulting encoding
+code = code' . encode
+
+-- | Compresses a string by applying a table generator function
+--   and uses it to create a string of 0's and 1's.
+--
+compress :: (Num a, Ord a) => (String -> Table a) -- ^ 'frequency' or 'probability' can be applied
+         -> String -- ^ String to compress
+         -> Maybe String -- ^ Compressed, 0's and 1's, resulting string
+compress f s = let encoding  = code . f $ s
+                   codeTable = genCodeTable encoding
+                   in (go codeTable s)
+               where
+                   go _ []    = Just ""
+                   go e (h:t) = (++) <$> lookup h e <*> go e t
+
+-- | Compresses a string to a file.
+--   
+--   Calls the 'compress' function on the input string and
+--   writes the binary code in a file.
+--
+--   The resulting files are:
+--    - 'out.bin' <- binary compressed file
+--    - 'decode.dat' <- contains the decoding table of out.bin
+compressToFile :: (Num a, Ord a) => (String -> Table a) -- ^ 'frequency' or 'probability' can be applied
+               -> String -- ^ String to compress
+               -> IO ()
+compressToFile f s = let decodeTable = genDecodeTable . code . f $ s
+                         in do
+                             fH <- openBinaryFile "out.bin" WriteMode
+                             result <- return $ compress f s
+                             case result of
+                                 Nothing -> hClose fH
+                                 Just r  -> do
+                                                writeFile "decode.dat" (show decodeTable)
+                                                chunks <- return $ map string2dec . chunksOf 8 $ r
+                                                chunksL <- return $ (fromIntegral (8 - length r `mod` 8 )) : chunks -- Adds the length of the final byte
+                                                BS.hPut fH (BS.pack chunksL)
+                                                hClose fH
+
+-- | Reads a 'DecodeTable' from a file
+--
+readDecodeTable :: FilePath -- ^ File path for the decode table
+                -> IO (Maybe DecodeTable) -- ^ Decode table
+readDecodeTable fp = do
+                    dtContent <- readFile fp
+                    return . readDT $ dtContent
+            where
+                readDT :: String -> Maybe DecodeTable
+                readDT = fmap fst . safeHead . reads
+                safeHead []    = Nothing
+                safeHead (h:_) = Just h
+                    
+-- | Decodes a 'String' (made out of 0's and 1's) given a 'DecodeTable'
+--
+decode :: DecodeTable -- ^ Decoding table
+       -> String -- ^ Example "0110110111"
+       -> Maybe String -- ^ Resulting string
+decode _ "" = Nothing
+decode dt (h:t) = decode' dt t [h]
+    where
+        decode' dtt [] l     = do
+            case (lookup l dtt) of
+                Nothing  -> Just ""
+                (Just r) -> (:) <$> (Just r) <*> (Just "")
+        decode' dtt (x:xs) l = do
+            case (lookup l dtt) of
+                Nothing  -> decode' dtt xs (l++[x])
+                (Just r) -> (:) <$> (Just r) <*> (decode' dtt xs [x])
+
+-- | Decompresses a file given a decoding table file and a compressed
+--   binary file.
+--
+--   If the resulting output file is empty ("") the default name is
+--   "result.dat"
+decompressFromFile :: FilePath -- ^ File holding the decoding table info
+                   -> FilePath -- ^ File holding the compressed binary
+                   -> String -- ^ Resulting file to output.
+                   -> IO ()
+decompressFromFile dtf bf rf = do
+        rfH <- case rf of
+                  ""        -> openFile "result.dat" WriteMode
+                  _ -> openFile rf WriteMode
+        dt <- readDecodeTable dtf
+        case dt of
+            Nothing -> hClose rfH
+            Just r  -> do
+                (l, wrds) <- getFromBinary bf
+                binaryString <- return $ fixBinary (l,wrds)
+                decompressed <- return $ decode r $ binaryString
+                case decompressed of
+                    Nothing -> hClose rfH
+                    Just d  -> do
+                        hPutStr rfH d
+                        hClose rfH
+    where
+        fixBinary (l, r) = let b       = map dec2binStr r
+                               paddedB = map pad8 b
+                               in concat $ init paddedB ++ [(drop (fromIntegral l) $ last paddedB)]
+        pad8 s = let rest = 8 - length s
+                     in replicate rest '0' ++ s
diff --git a/LICENSE b/LICENSE
new file mode 100644
--- /dev/null
+++ b/LICENSE
@@ -0,0 +1,674 @@
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diff --git a/README.md b/README.md
new file mode 100644
--- /dev/null
+++ b/README.md
@@ -0,0 +1,208 @@
+# Shannon-Fano compression algorithm library
+> Haskell implementation
+
+This library offers a set of functions to compress files into binary code
+applying the Shannon-Fano compression algorithm.
+
+https://en.wikipedia.org/wiki/Shannon%E2%80%93Fano_coding
+
+## Installing / Getting started
+
+I'm currently working to get this library on Hackage. So meanwhile
+you can start using it by building it.
+
+```shell
+$ git clone https://github.com/bolt12/shannon-fano.git
+$ cd shannon-fano/
+$ cabal configure
+$ cabal build
+$ cabal install
+```
+
+You can see if it's correctly installed by going into ghci and see if you can import the
+library.
+
+```shell
+$ ghci
+> import Codec.Compression.ShannonFano
+>
+```
+
+## Use examples
+
+To get the compressed binary string of a certain value.
+
+```Haskell
+import Codec.Compression.ShannonFano
+
+main :: IO ()
+main = putStrLn . show . compress frequency $ "test"
+```
+
+And you should see.
+
+```shell
+> main
+Just "010110"
+```
+
+---
+
+To generate only the coding table of some value.
+
+```Haskell
+import Codec.Compression.ShannonFano
+
+main :: IO ()
+main = putStrLn . show . genCodeTable . code . frequency $ "test"
+```
+
+And you should see.
+
+```shell
+> main
+[('t',"0"),('e',"10"),('s',"11")]
+```
+
+---
+
+To make a program that compresses a given file.
+
+```Haskell
+import Codec.Compression.ShannonFano
+import System.Environment
+
+main :: IO ()
+main = do
+    [file] <- getArgs
+    content <- readFile file
+    compressTofile frequency content
+```
+
+And you should get two resulting files:
+ - out.bin: Has the binary of the compressed data
+ - decode.dat: Has the decoding table structure
+
+---
+
+To make a program that decompresses a given binary file.
+
+```Haskell
+import Codec.Compression.ShannonFano
+import System.Environment
+
+main :: IO ()
+main = do
+    [decTableF, binaryF] <- getArgs
+    decompressFromFile decTableF binaryF ""
+```
+
+And you should get one resulting file:
+ - result.dat: Has the binary of the compressed data
+
+You can check they are equal.
+
+```shell
+$ diff result.dat test.txt
+$
+```
+
+## Performance and compression
+
+Testing the compressor program for a lorem ipsum text file of 921 words:
+
+```shell
+$ time ./compress test.txt
+
+real	0m0.075s
+user	0m0.067s
+sys     0m0.007s
+```
+
+Compression:
+
+```shell
+$ ls -lh out.bin test.txt | cut -d " " -f5
+5.7K
+6.5K
+```
+
+_Total ~ 12%_
+
+---
+
+Testing the compressor program with 1M of random data:
+
+```shell
+$ base64 /dev/urandom | head -c 1000000 > test2.txt
+$ time ./compress test2.txt
+
+real	0m30.411s
+user	0m27.930s
+sys     0m2.187s
+```
+
+Compression:
+
+```shell
+$ ls -lh out.bin test2.txt | cut -d " " -f5
+4.0M
+977K
+```
+
+_Total ~ -312%_
+
+---
+
+Testing the compressor program with a 70K file containing repetitions of 5 characters:
+
+```shell
+$ time ./compress test3.txt
+
+real	0m0.511s
+user	0m0.489s
+sys     0m0.017s
+```
+
+Compression:
+
+```shell
+$ ls -lh out.bin test3.txt | cut -d " " -f5
+19K
+70K
+```
+
+_Total ~ 73%_
+
+Decompression:
+
+```shell
+$ time ./decompress decode.dat out.bin
+
+real	0m0.128s
+user	0m0.105s
+sys     0m0.023s
+```
+
+---
+
+### Conclusion
+
+As you can see, this algorithm performs very badly, in general with random and large data.
+
+Also my implementation is far from efficient, if you have any suggestion on how to improve my solution
+I'd be more than happy to hear it!
+
+## Contributing
+
+If you'd like to contribute, please fork the repository and use a feature
+branch. Pull requests are warmly welcome.
+
+## Links
+
+- Repository: https://github.com/bolt12/shannon-fano/
+- Issue tracker: https://github.com/bolt12/shannon-fano/issues
+
+## Licensing
+
+The code in this project is licensed under GPL3 license.
diff --git a/Setup.hs b/Setup.hs
new file mode 100644
--- /dev/null
+++ b/Setup.hs
@@ -0,0 +1,2 @@
+import Distribution.Simple
+main = defaultMain
diff --git a/shannon-fano.cabal b/shannon-fano.cabal
new file mode 100644
--- /dev/null
+++ b/shannon-fano.cabal
@@ -0,0 +1,86 @@
+-- Initial shannon-fano.cabal generated by cabal init.  For further
+-- documentation, see http://haskell.org/cabal/users-guide/
+
+-- The name of the package.
+name:                shannon-fano
+
+-- The package version.  See the Haskell package versioning policy (PVP)
+-- for standards guiding when and how versions should be incremented.
+-- https://wiki.haskell.org/Package_versioning_policy
+-- PVP summary:      +-+------- breaking API changes
+--                   | | +----- non-breaking API additions
+--                   | | | +--- code changes with no API change
+version:             0.1.0.0
+
+-- A short (one-line) description of the package.
+synopsis:            Shannon-fano compression algorithm implementation in Haskell
+
+-- A longer description of the package.
+-- description:
+
+-- URL for the project homepage or repository.
+homepage:            www.github.com/bolt12/shannon-fano
+
+-- The license under which the package is released.
+license:             GPL-3
+
+-- The file containing the license text.
+license-file:        LICENSE
+
+-- The package author(s).
+author:              Armando Santos
+
+-- An email address to which users can send suggestions, bug reports, and
+-- patches.
+maintainer:          armandoifsantos@gmail.com
+
+-- A copyright notice.
+-- copyright:
+
+category:            System
+
+build-type:          Simple
+
+-- Extra files to be distributed with the package, such as examples or a
+-- README.
+extra-source-files:  CHANGELOG.md,
+                     README.md
+
+-- Constraint on the version of Cabal needed to build this package.
+cabal-version:       >=1.10
+
+
+
+test-suite tests
+    type: exitcode-stdio-1.0
+    hs-source-dirs: tests
+    main-is: QuickTests.hs
+    build-depends:       base,
+                         shannon-fano,
+                         QuickCheck
+    default-language:    Haskell2010
+
+library
+  -- Modules exported by the library.
+  exposed-modules: Codec.Compression.ShannonFano
+
+  -- Modules included in this library but not exported.
+  -- other-modules:
+
+  -- LANGUAGE extensions used by modules in this package.
+  -- other-extensions:
+
+  -- Other library packages from which modules are imported.
+  build-depends:       base >=4.12 && <4.13,
+                       bytestring >= 0.10.8.2,
+                       split >= 0.2.3.3 && < 0.3
+
+  -- Directories containing source files.
+  --  hs-source-dirs:      
+
+  -- Base language which the package is written in.
+  default-language:    Haskell2010
+
+  -- Ghc option flags
+  ghc-options: -Wall
+
diff --git a/tests/QuickTests.hs b/tests/QuickTests.hs
new file mode 100644
--- /dev/null
+++ b/tests/QuickTests.hs
@@ -0,0 +1,23 @@
+import Codec.Compression.ShannonFano
+import Control.Monad (join)
+import Text.Printf (printf)
+import Test.QuickCheck (quickCheck, (==>), Property)
+
+prop_freq_id :: String -> Property
+prop_freq_id s = length s > 1 ==> let dt = genDecodeTable . code . frequency $ s
+                                      in join (decode dt <$> compress frequency s) == Just s
+
+prop_prob_id :: String -> Property
+prop_prob_id s = length s > 1 ==> let dt = genDecodeTable . code . probability $ s
+                                      in join (decode dt <$> compress frequency s) == Just s
+
+prop_rev_table :: String -> Bool
+prop_rev_table s = let ct = genCodeTable . code . frequency $ s
+                       dt = genDecodeTable . code . frequency $ s
+                       in dt == map swap ct
+            where
+                swap = (,) <$> snd <*> fst
+
+tests = [("prop_freq_id", quickCheck prop_freq_id), ("prop_prob_id", quickCheck prop_prob_id), ("prop_rev_table", quickCheck prop_rev_table)]
+
+main  = mapM_ (\(s,a) -> printf "%-25s: " s >> a) tests
