Genoil Announces Conversion of an Additional $750,000 Principal Amount Convertible Debenture
TSXV SYMBOL: GNO
OTCBB SYMBOL: GNOLF.OB
CALGARY, AB, May 18, 2006 – Genoil Inc. is pleased to announce that a corporation affiliated with David K. Lifschultz, the Chairman and CEO of Genoil Inc., has converted $750,000 aggregate principal amount of an unsecured convertible debenture, plus accrued interest, into common shares of Genoil Inc. In accordance with the terms of the debenture Genoil has issued 1,764,204 common shares to the former debenture holder. The convertible debenture was originally placed in January, 2006 as a six month convertible debenture on substantially similar terms to a private placement completed by Genoil in October, 2005. The debenture being converted carried a 12% annual interest rate and the conversion price of the debenture was Cdn $0.44 per share. The conversion of this debenture, along with the conversion in April, 2005 of a similar debenture, is expected to have a significant positive impact on Genoil’s balance sheet and financial condition.
Genoil is a technology development company providing solutions to the oil and gas industry through the use of proprietary technologies. Genoil’s shares are listed on the TSX Venture Exchange under the symbol GNO, as well as on the OTC Bulletin Board under GNOLF.OB.
FOR FURTHER INFORMATION PLEASE CONTACT:
Chairman and CEO
ADVISORY: The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.