SOURCE: HydroFlo, Inc.

September 12, 2005 08:00 ET

HydroFlo to Donate Water and Filtering Systems for Hurricane Katrina Survivors

Wholly Owned Subsidiaries MARTI and HydroFlo Water Treatment Agree to Provide Potable and Wastewater Treatment Systems to DOD and FEMA to Aid in Hurricane Relief Effort

RALEIGH, NC -- (MARKET WIRE) -- September 12, 2005 -- HydroFlo, Inc. (OTC BB: HYRF) today announced portfolio company Metals & Arsenic Removal Technology, Inc. (MARTI) has agreed to donate water filtering systems along with consulting services to aid in the Hurricane Katrina disaster relief effort. The initial commitment for distribution of water pitchers and filters is for 5,000 units. The first shipment is expected the go out this week to DOD and other shipments will follow to FEMA as units are produced by our Chinese manufacturer.

HydroFlo portfolio company HydroFlo Water Treatment (HWTI) has committed its time and energy to providing equipment and knowledge during the rebuilding process of the wastewater treatment plants in the ravaged area.

HydroFlo contacted DOD and FEMA through its relationship with John D. Milne and mCapitol Management. Mr. Milne will aid in expediting the relief effort thru his government contacts. Mr. Milne stated, "mCapitol Management is contacting, on behalf of HydroFlo, the Federal Government Departments and Agencies responsible for providing safety, food, shelter and water to the victims of Hurricane Katrina on the Gulf Coast and offering through those Federal authorities water filter kits to citizens in need of safe drinking water. We are also contacting the Governors of Mississippi, Alabama, and Louisiana."

The toxicity of the floodwaters is one of the key elements of concern for officials in the Gulf Region. Based on a recent news report by the Associated Press, Concerns Grow About Toxic Floodwaters, first response organizations such as the Department of Health, the Centers for Disease and Prevention, and the Federal Emergency Management Agency have determined that, "The floodwaters are thick with sewage-related bacteria that are at least 10 times higher than acceptable safety limits. [They] contain E. coli, certain viruses and a type of cholera-like bacteria."

According to Dennis L. Mast, Chief Executive Officer of HydroFlo, ARTI-64™, the patented MARTI water filtration technology, reduces many of these bacteria in water making it safer for human consumption. He explained the company's commitment to the victims of Hurricane Katrina, "I am extremely concerned for the health and well-being of the people in the Gulf Region who have been stricken by this devastating event. I have personally lived through 5 hurricanes, and I know what type of damage a storm of Katrina's magnitude can have on the lives of families and individuals. I am honored to be able to offer these services to our fellow citizens during this horrific crisis."

Metals & Arsenic Removal Technology, Inc. (MARTI) is an international provider of water treatment solutions, treating water for industrial, municipal and residential customers. MARTI markets, designs, builds, and installs water filtration and treatment systems for the removal of arsenic in drinking water. Water contaminated with bacteria, viruses and poisonous toxins is killing people. The ARTI-64™ media combination is one of the most effective methods to eliminate and reduce these pollutants in order to provide clean potable water to the world.

HydroFlo Water Treatment, Inc. (HWTI) is an international provider of wastewater treatment solutions for industrial and governmental customers. HWTI designs, builds, and installs equipment used for pre-treatment of wastewater within sewers and pressure collection systems. The Company was founded in 1999 and provides equipment to end users and Original Equipment Manufacturers throughout the United States and Europe. The Company provides a full range of related services to companies and municipalities to treat their wastewater at the treatment plant by the use of the energy efficient aeration systems in treatment lagoons.

HydroFlo ( is a Business Development Company, as defined by the Investment Act of 1940. Headquartered in Raleigh, North Carolina, HydroFlo's core focus is to seek out synergistic acquisitions that will provide capital appreciation and income from its portfolio companies. The mission of HydroFlo, Inc. is to acquire and develop innovative technologies and businesses that will improve the quality of water throughout the world by means of detection, treatment, and removal of contaminants. By so doing, our most precious resource can be rendered safe and abundantly available for all future generations, and thereby, improve the quality of life on Earth.

Forward-Looking Statements

Statements regarding financial matters in this press release other than historical facts are "forward-looking statements" within the meaning of section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. The company intends that such statements about the Company's future expectations, including future revenues and earnings, and all other forward-looking statements be subject to the safe harbors created thereby. Since these statements (future operational results and sales) involve risks and uncertainties and are subject to change at any time, the Company's actual results may differ materially from expected results.

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