SOURCE: Megola, Inc.

October 12, 2005 09:15 ET

Megola Announces Continued Sales Into the Petrochemical Industry

ScaleGuard Technology to Be Implemented at Largest Ethylene/Polyethylene Complex in the World

CORUNNA, ON -- (MARKET WIRE) -- October 12, 2005 -- Megola Inc. (OTC BB: MGOA), a leading environmental solution provider in physical water treatment, air purification, microbiological control, and wastewater treatment, is pleased to announce that its ScaleGuard technology is continuing to garner interest in large industrial operations in Canada, recently being purchased for treatment at a petrochemical plant in Alberta.

Based on the performance of ScaleGuard in the petrochemical industry in Ontario (http://biz.yahoo.com/pz/041014/65576.html), one company has purchased the technology to implement at another of its plants, which is the largest ethylene and polyethylene complex in the world, in Joffre, Alberta. At the Joffre plant, the ScaleGuard systems are to be installed as part of a permanent piping project for their Quality Control Laboratory.

The ScaleGuard systems will treat the cooling water service to their ASTM presses. The systems will greatly reduce the frequency of preventative maintenance that is performed in order to keep the presses from fouling with calcium carbonate scale, which inhibits heat transfer and cooling efficiency. The systems will also increase the life expectancy of the equipment since the presses are typically cleaned with acid solutions, which can corrode the metal components of the presses.

"Industrial operations are starting to recognize the cost-savings potential that ScaleGuard can offer. In our trial projects, that subsequently resulted in sales, our customers realized significant savings in their preventative maintenance and energy costs. To have local plant technologists extolling the merits of ScaleGuard to their colleagues at operations across the country is a great testimony to our technology," states Joel Gardner, CEO of Megola Inc.

The ScaleGuard technology is designed to eliminate the problems industrial water users encounter when heating and recycling water. Calcium carbonate (scale) build-up in heat exchangers, sample pots, compressors, hot water tanks, cooling towers, boilers, piping, fittings and machinery inhibits water flow, decreases heat transfer capability, shortens the life span of the affected equipment and drives up maintenance and energy costs. ScaleGuard systems prevent and remove scale build-up and also eliminate the need for harsh, corrosive chemicals to treat the water, which reduces costs and allows companies to become more environmentally friendly.

Industrial Market for Scale Control

The U.S. corrosion and scale-inhibitors industry, combined with the softener industry, is worth $737 million, and estimated to grow to $775 million by 2007. The U.S. water treatment chemical market is projected to grow at an average annual rate of 4.1%, reaching more than $2.7 billion by 2007.

Scale is a major problem. By controlling the hard water (scale) deposits, the benefits of the ScaleGuard devices are as follows:

--  No need for scale prevention chemicals
--  Other chemical use and costs are reduced
--  Energy savings due to reduced pumping loads
--  Reduces maintenance and plant equipment downtime
--  Increases design/operating efficiencies
--  Removes scale from existing equipment
--  No regular maintenance required for Megola equipment
--  Longer life for plant capital equipment
--  Water quality unchanged
--  Product line for most pipe sizes and flow rates
--  Can be installed on all piping material
--  No more acid baths
    
For more information on Megola Inc. and its products please visit the corporate website (http://www.megola.com).

The matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially. These risks are detailed from time to time in the company's periodic reports filed with the Securities and Exchange Commission including the company's Annual Report, Quarterly Reports and other periodic filings. These forward-looking statements speak only as of the date hereof. The company disclaims any intent or obligation to update these forward-looking statements.

Contact Information

  • CONTACTS:
    Equiti-trend LLC
    (800) 585-6988 TF
    858 436-3350

    Megola Inc.
    (866) 281-3258
    IRinfo@megola.com