Genoil Inc. (GNOLF.OB) Provides 2009 Shareholder Update; Announces Significant Milestones

Genoil’s sand decontamination technology is designed to clean sand for use in concrete mixing, construction, and for the development of beaches. The company said it anticipates its patent will be granted by the U.S. Patent Office before March 8, 2010.

In the press release, the company highlighted its portfolio, including the Genoil Hydroconversion Upgrader (GHU), which upgrades and significantly increases the yields of heavy crude oils and heavy refinery feedstocks into light, clean transportation fuels; the Crystal Sea™ Separator, a bilge water treatment system that has met or exceeded the highest guidelines and standards of the United States Coast Guard; and the International Maritime Organization’s MEPC Resolution 107 (49) MEP for pollution prevention equipment for ship bilges.

Genoil also announced it has secured a contract with an agent with “considerable funding capacity” for its Crystal Sea technology for ports in the Middle East. The company anticipates initial contracts and work in major sanitation projects in the region in 2010.

David Lifschultz, chairman and CEO of Genoil, said he has been traveling abroad to boost support of its agents’ sales and market efforts, which he said he believes will drive “tangible commercial success” for Geinoil’s Crystal Sea technology in 2010.

“Most important, we have been engaged in high-level discussions with a number of sovereign nations regarding GHU Upgrading projects in the region. Though much of that work is under confidentiality agreements through agents that include some of the most prominent business men in the countries at hand, a great deal of progress has been made since I have headquartered myself in the Middle East over the past five months,” Lifschultz stated.

Lifschultz said the GHU is the driving force behind the company’s business and that as the world maintains and even increases its dependence on oil, the technology has high market potential, especially in the Middle East.

“Genoil’s Hydroconversion Upgrader is being met with significant interest in the Middle East and remains the single most valuable technology in our portfolio. Of the 900 billion barrels of heavy oil reserves produced in the world each year, only a small fraction is being converted to light oil. We believe the future of the global oil industry relies on conversion of those 900 billion barrels of heavy oil into light, clean transportation fuels and we at Genoil can do that on a mass basis with our patented GHU Upgrading technology,” Lifschultz stated. “We strongly believe that the broad adoption of Genoil’s GHU technology would be as transformative to the energy industry as Microsoft’s introduction of Windows was to the global technology revolution. Given the tremendous potential of our technology and the near-term prospects for having an initial agreement for commercialization of the GHU technology, we will continue to fund Genoil through small, private capital raises so as not to dilute our loyal shareholders.”