Gemini Corporation
TSX VENTURE : GKX

Gemini Corporation

May 03, 2007 16:10 ET

Gemini Expands Heavy Oil Market Participation

CALGARY, ALBERTA--(CCNMatthews - May 3, 2007) - Gemini Corporation (TSX VENTURE:GKX) today announces the signing of a Master Construction Contract with a significant heavy oil producer. This is a multi-year agreement for the provision of mechanical construction services for their steam assisted gravity drainage (SAGD) heavy oil projects. Personnel have been deployed on the projects and Gemini's participation is expected to increase as the year progresses. In addition to this contract, Gemini has been successful in securing other long-term module fabrication and field service projects within the heavy oil sector. These opportunities will help to replace the major bitumen pipeline project Gemini has been working on, which will be winding down through the second quarter of 2007.

An important part of Gemini's strategy is to selectively expand its service offering within the heavy oil sector while maintaining its support for existing and new clients in the conventional oil and gas sector. Gemini has been diligently building its heavy oil expertise and as a result this market has grown to represent nearly 40% of revenues in 2006. This proportion is expected to increase further as engineering services provided to new and existing SAGD projects continue to grow. The SAGD market has been targeted by Gemini as a growth opportunity that fits well with the Corporation's engineering and field service expertise.

"These agreements are an exciting opportunity to enhance our relationship with these existing and new clients", said Carl Johnson, Gemini's President and CEO. "We have been aggressively pursuing more long-term, stable opportunities in heavy oil and downstream processing to support our continued growth. Our new field service facility planned for the Fort Saskatchewan area will provide additional capacity to service these types of projects well into the future as oil sands development continues. This strategy will also help to offset the cyclical nature of our traditional work, which has really been evident over the past three quarters."

About Gemini Corporation

Gemini Corporation offers a wide range of interrelated services including project management, engineering, fabrication, construction, operations and maintenance of oil & gas and industrial facilities within Canada and internationally. The Corporation is a leading provider of engineered solutions and field services through either stand-alone or integrated, full-service approaches to a broadening client base in the energy, environmental and industrial sectors.

Shares of Gemini trade on the TSX Venture Exchange under the symbol "GKX". For more information about the Corporation and its services, go to www.geminicorp.ab.ca.

Disclaimer

This news release contains forward looking information that represents Gemini's internal projections, expectations, estimates or beliefs concerning, among other things, future operating results and various components thereof or Gemini's future economic performance. All statements other than the statements of historical fact may be forward-looking statements. In some cases, forward-looking statements can be identified by terminology such as "may", "will", "should", "expects", "projects", "plans", "anticipates", and similar expressions. The projections, estimates and beliefs contained in such forward-looking statements are based on management's assumptions relating to Gemini's performance and competition within the sectors in which it competes, the continuation of the current regulatory and tax regimes in the jurisdictions in which Gemini operates, and necessarily involve known and unknown risks and uncertainties, including risks and assumptions relating to client service demand, field service costs, labour rates, and other factors that may cause actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. Accordingly, readers are cautioned that events or circumstances could cause results to differ materially from those predicted or suggested. The Corporation does not undertake to update any forward-looking information in this document whether as to new information, future events or otherwise.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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