CALGARY, ALBERTA–(Marketwire – 11/18/10) – Genoil (TSX-V:GNO – News)(OTC.BB:GNOLF – News) announced today that the trial of a Crystal Sea Separator OWS, on board a major VLCC operator (Very Large Crude Carriers) is successful and has exceeded everyone’s expectations. This customer has requested a five cubic meter machine.
Initial trial results indicated that the Crystal Sea Separator performed well beyond all other similar technologies. Water contamination aboard the major VLCC operator was reduced to 2.5 parts per million, which greatly exceeds the requirements set forth by MARPOL MEPC. 107. This remarkable feat was achieved without the use of a filter resulting in a much lower cost of operation than other conventional separators.
In addition to the success of the Crystal Sea trial, Genoil has bid to install the unique separator in a submarine and also has submitted a bid to a canal operator. The bid for the submarine has been accepted subject to testing.
The Crystal Sea separates not only oil from water, but also segregates the different types of oil reclaimed such as motor, heavy fuel, slop, and crude oil. The technology designed to take oil out of the bilge which can be resold. Genoil’s Crystal Sea is an environmentally safe technology which is unique in that it makes use of the laws of physics using centrifugal force, coalescing beads, & gravity in five chambers almost free of oil before it arrives at the filter in the sixth stage. In this way, Genoil’s separators are not prone to clogging.
“We are extremely excited about the performance of our Crystal Sea Separator,” said Genoil CEO David Lifschultz, after learning of the trial’s results. Lifschultz added “we fully expect this to be the beginning of a long and fruitful partnership, and bring about opportunities to expand to other major VLCC operators around the globe. Reducing water contamination to 2.5 parts per million on a 2,000,000 barrel oil tanker without the use of a filter is truly exceptional because filters require maintenance and replacement due to clogging. The Crystal Sea separator eliminates these costs making it one of the most efficient and effective solutions on the market today.”
Genoil announces it will form a new corporation to handle business in Saudi Arabia. The purpose of this corporation will be to roll out the Genoil technologies in Saudi Arabia.
Genoil reports that the Board of Directors of the Corporation (the “Board”) has completed a review of compensation levels for the Corporation’s officers and has consequently approved the grant of incentive stock options to such individuals for 2010. The Board has approved the grant of an aggregate of 2,750,000 options to acquire common shares of the Corporation at an exercise price of $0.290, being equal to the closing price of the Corporation’s shares on the TSX Venture Exchange on the day prior to this Press Release. Of the 2,750,000 options approved for grant, 500,000 have been approved for grant to the Corporation’s Chief Executive Officer and 1,500,000 to the Corporation’s President, 250,000 have been approved for grant to the Corporation’s chief financial officer, 250,000 each have been approved for grant for two member a board of directors, as an inducement for their continued efforts and their compensation, in lieu of any salary compensation, for 2010. All options described above vest immediately and have a term of five years from the date of grant.
The approval of the grant of these options resulted from a recommendation made by the Corporation’s Chairman and Chief Executive Officer with the unanimous approval of the Board. The recommendation was based upon a review of the current, competitive industry conditions and with the objective being the retention of the Corporation’s key individuals. Consideration was also given to the recent movement in the Corporation’s share trading price. The Corporation’s Compensation Committee had previously commissioned an independent third party compensation expert to report on compensation matters given the current energy industry compensation levels for similar organizations and utilized this report to provide a baseline in making its recommendations regarding appropriate compensation for the Corporation’s senior officers.
Genoil is a publicly traded Canadian engineering technology development company headquartered in Edmonton, Alberta, with offices in Calgary, Sherwood Park, New York City, Constanta Romania, and soon Middle East. Genoil offers an array of petroleum technologies. Genoil operates two major research facilities located Canada and Romania. It owns and operates a world class 10 bpd hydroconversion upgrader (GHU) complete with independent water electrolysis unit for high purity hydrogen supply, hydrogen compressor, electrical substation, fired heater, low-pressure separator for vapour-liquid separation, and a PLC for automated operational control in Two Hills, Canada. Genoil’s research and development (R&D) personnel develop cutting edge methods and new breakthrough patents to find solutions to the world’s complex energy problems.
ADVISORY: Certain information regarding the company, including management’s assessment of future plans, strategic partnerships, operations, financing outcomes and the ability to negotiate a definitive agreement on terms acceptable to both parties may constitute forward-looking statements under applicable securities law and necessarily involve risks associated with an oil and gas technology development corporation, including competition from other technologies and the ability to access sufficient capital from internal and external sources. As a consequence, actual results may differ materially from those anticipated. The Corporation assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those contemplated by the forward-looking statements. Additionally, statements included in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve a number of risks and uncertainties such as competitive factors, technological development, market demand, and the company’s ability to obtain new contracts and accurately estimate net revenues due to variability in size, scope and duration of projects, and internal issues. Further information on potential risk factors that could affect the company’s financial results can be found in the company’s disclosure materials filed on SEDAR at www.sedar.com and with the Securities and Exchange Commission.
The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.
David K. Lifschultz