Genoil Inc.
TSX VENTURE : GNO
OTC Bulletin Board : GNOLF

Genoil Inc.

June 23, 2009 06:00 ET

Genoil Inc. Signs Term Sheet for $15 Million Off Balance Sheet Project Finance for Clarendon Genoil JV

CALGARY, ALBERTA--(Marketwire - June 23, 2009) - Genoil Inc. (TSX VENTURE:GNO)(OTCBB:GNOLF) has announced the signing of a term sheet with a multi-billion fund for a $15 million financing for the Clarendon Genoil Crystal Sea joint venture. The off balance sheet financing will not be dilutive to current shareholders of Genoil. These funds will be utilized solely for the Clarendon Genoil joint venture company to finance the rollout of the Crystal Sea Units to various Ports. The proceeds of the financing shall be used to implement the utilization of Genoil's oily water separation technology to treat and clean bilge water. More specifically, the proceeds will be used for Crystal Sea installations on formal finalization of the MOUs at the three ports that have signed MOU's with Genoil -the Tangshan Port, Tianjin and Qinhuangdao Port. The proceeds can also be utilized for other Ports that the Clarendon team is in negotiations with. These three ports mentioned are some of the busiest and largest in China. The Genoil and Clarendon executives are currently working on converting the term sheet into a contract to cover all the specific legal details and nuances of the financing terms.

Genoil Chairman & CEO David Lifschultz states "this financing will allow Genoil to execute on the joint venture plan with Clarendon upon finalized agreements with the ports that Clarendon is working with. As one of the largest shareholders of Genoil, I am always excited when we can structure non dilutive financing options with strategic capital partners that allow us to achieve corporate milestones."

About the Financing Source

The multi billion fund is based in Europe and was formed to allocate assets and provide investment advice for several European billionaires who are members of the Forbes 2008 billionaires report.

The Company's mandate is to advise on investments around the world in private and public equity, special situations, real estate and funds of funds.

About Genoil

Genoil's treatment reduces oil content from bilge water to well below 15 parts per million so it meets strict international standards for discharges into the ocean. The Crystal bilge water separator was developed by Genoil for the commercial marine industry. It has been approved by US Coast Guard, according to the International Maritime Organization standards (Resolution MEPC 107 (49), and the American Bureau of Shipping.

Stringent environmental regulations with increased penalties for untreated bilge water discharged overboard are in place to protect the oceans and coastal waters from illegal dumping of waste oil. Genoil's Crystal oily water separator meets the port's goal to minimize the impact of contaminated bilge water on the aquatic ecosystem and complies with existing environmental laws.

Genoil is an international engineering technology development company based in Alberta, Canada that develops innovative hydrocarbon, oil and water separation, and marine technologies.

FORWARD LOOKING STATEMENTS

Certain information regarding Genoil, including availability of capital and other sources of funds and future plans may constitute forward-looking statements under applicable securities law. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "hope", "plan", "continue", "estimate", "expect", "may", "will", "intend", "could", "might", "should", "believe" and similar expressions. Forward-looking statements are based upon the opinions, expectations and estimates of management as at the date the statements are made and, in some cases, information received from or disseminated by third parties, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or outcomes to differ materially from those anticipated or implied by such forward-looking statements. Forward looking statements contained in this release necessarily involve risks and uncertainties associated with an oil and gas technology development and engineering corporation. As a consequence, actual results may differ materially from those anticipated. Accordingly, readers should not place undue reliance upon forward-looking information contained herein. Although Genoil believes that the assumptions underlying such forward looking statements are reasonable given current market conditions, and information received or disseminated by third parties is reliable, it can give no assurance that such expectations will prove to have been correct. Genoil does not assume responsibility for the accuracy and completeness of the forward-looking statements and such forward-looking statements should not be taken as guarantees of future outcomes. Subject to applicable securities laws, Genoil does not undertake any obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances. The forward-looking statements contained in this press release are expressly qualified, in their entirety, by this cautionary statement. Additionally, statements included in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Further information on potential risk factors that could affect Genoil's financial results can be found in Genoil's disclosure materials filed on SEDAR at www.sedar.com and with the Securities Exchange Commission available at www.sec.gov.

ADVISORY: The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.

Contact Information

  • Genoil Inc.
    David Lifschultz
    Chairman and CEO
    (914) 834-7794
    www.genoil.ca