SOURCE: MagneGas Corp.

MagneGas Corp.

July 12, 2010 09:00 ET

MagneGas Receives First $1.0 MM Investment Installment From China Partner

DDI Reaffirms Pledge for Final $1.0 MM Installment by September 30th

TAMPA, FL--(Marketwire - July 12, 2010) -  MagneGas Corporation ("MagneGas" or the "Company") (OTCBB: MNGA), a producer of a metal working fuel and natural gas alternative made from liquid waste, announced that it received on June 30th the first $1.0 MM investment installment from Beijing-based DDI Industry International ("DDI"). DDI also reaffirmed its pledge to complete its investment by September 30th, wiring the remaining $1.0 MM on or before that date.

"We now have the financial resources to begin exploring the full potential of the MagneGas Technology, and we are proud that we have achieved this without burdening the Company -- and its investors -- with debt or other potentially detrimental financing structures," stated MagneGas President Richard Connelly. "We are further pleased that DDI has so quickly fulfilled on its good-faith commitment to expedite its investment. We believe that this is representative of the partnership forged to date, and of the mutually productive developments to come."

For full details on the DDI initiative, visit http://bit.ly/9D1p2a.

DDI retains the option to extend the full close until December 31, 2010, though it has provided written confirmation that it will honor the September 30, 2010 pledge. MagneGas management cannot offer any assurance as to the final closing date. 

To be added to the MagneGas investor email list, please email justin.davis@cirrusfc.com with MNGA in the subject line.

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About MagneGas Corporation (www.magnegas.com)

Founded in 2007, Tampa-based MagneGas Corporation (OTCBB: MNGA) is the producer of MagneGas™, a natural gas alternative and metal working fuel made from liquid waste such as sewage, sludge, manure and certain industrial and oil based liquid wastes. The Company's patented Plasma Arc Flow™ process gasifies liquid waste, creating a clean burning fuel that is essentially interchangeable with natural gas, but with lower green house gas emissions. MagneGas™ can be used for metal cutting, cooking, heating or powering bi fuel automobiles.

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