Kelso Presents at FSX Show in Dallas, Texas

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 20, 2012) - Kelso Technologies Inc. (TSX VENTURE:KLS)(OTCQX:KEOSF)(PINKSHEETS:KEOSF) -

Kelso reports that it will be a presenter at the Financial Services Exchange ("FSX") convention in Dallas, Texas from January 26 - 28, 2012. FSX "Connect for Success" conferences are one of the oldest and most trusted financial services forums in the United States. The Company's business model has now matured to the point that it can present its value proposition to accredited investors, investment professionals and financial institutions in the United States.

Kelso is an emerging railroad equipment supplier that produces and distributes new innovative technologies for the safe containment of hazardous materials ("HAZMAT") during transport. Proprietary products include the Company's unique external pressure relief valves ("EPRV") and a revolutionary new entry manway securement system trademarked the "Kelso Klincher™" ("KKS"). All products are patented designs that reduce the risk of environmental harm due to non-accidental release events in the transport of HAZMAT.

In 2012 the Company continues to build the capability of its production, sales and distribution operations. Past industry skepticism and resistance has turned to bona fide engineering assessments of our products. We are now working on product specifications and adoption schedules for 2012 and 2013 with manufacturers and retrofitters of railroad tank cars in conjunction with numerous Fortune 500 customers who transport hazardous commodities such as crude oil, ethanol, petrochemicals and other toxic chemicals. Purchase orders are expected and will be announced when received.

Production of our KKS products commences in early 2012 in our second assembly plant that was purchased in mid 2011 in Bonham, Texas. A third 20,000 square foot assembly plant in Bonham is in the final design stage and expected to open in June 2012 with a target capacity of 10,000 KKS units per year.

Our new KKS provides a revolutionary change in the handling dynamics and infrastructure of the HAZMAT industry. It is a major industry innovation and addresses stringent environmental sensitivities and worker safety. Our KKS program is being well supported by regulators, railroads, customers, industry workers and emergency response organizations.

Our main challenge to market penetration is that the railroad industry is very slow to design or adopt new technologies. In many cases designs have not changed in decades even though environmental sensitivities and engineering problems haunt and perplex the industry. This circumstance provides Kelso with a strong business opportunity to deliver technology solutions for our customers that improve performance, provide cost benefits and improve longevity. Our technology goal is to have our EPRV and KKS become the "best available technology" standard on all HAZMAT applications that are specified by rail tank car manufacturers, retrofitters and repair shops. The focus is to build a successful multi-million business on behalf of the shareholders of Kelso Technologies.

For a more complete business and financial profile of the Company, management encourages interested parties to view the Company's website at www.kelsotech.com and public documents posted on www.sedar.com.

On behalf of the Board of Directors,

James R. Bond, CEO and President

Legal Notice Regarding Forward Looking Statements: This news release contains "forward-looking statements" within the meaning of applicable Canadian securities legislation. Forward-looking statements are indicated expectations or intentions. Forward-looking statements in this news release include that in 2012 the Company will continue to build the capability of its production, that purchase orders are expected; that production will commence in our second facility in early 2012, that a third 20,000 square foot assembly plant with a capacity target of 10,000 KKS units is expected to come on stream in Bonham, Texas in mid 2012; and that Kelso can build a successful multi-million business on behalf of its shareholders. The Company's products involve detailed proprietary and engineering knowledge and specific customer adoption criteria, hence factors that could cause actual results to be materially different include that we may be unsuccessful in raising any additional capital needs that may arise; we may not have sufficient capital to develop, produce and deliver new orders; we may not get the product orders that we expect; product development may face unexpected delays; orders that are placed may be cancelled; product may not perform as well as expected; markets may not develop as quickly as anticipated or at all; or that the construction or other plans for plants run into permit, labor or other problems. Further, we are reliant on certain key employees who may leave the Company and we may be unable to protect or defend our intellectual property. Investors are cautioned against placing undue reliance on forward-looking statements. We assume no responsibility to update these forward looking statements except to the extent required by law.