CORUNNA, Ontario, July 12, 2005 (PRIMEZONE) -- Megola Inc. (OTCBB:MGOA), a leading environmental solution provider in physical water treatment, microbiological control, wastewater treatment and air purification, is pleased to report uniform praise from its ScaleGuard water treatment customers in China. The company also has received word that satisfied customers in all the industries it serves, from Dairy Producers to Coal Mining Companies -- even the National Assembly of China -- have expressed intent to purchase additional units from Megola's Asian distributor Dalian Bingshan H2O3 Environmental Solution Co. Ltd (H2O3).
The above information was provided by Mr. Sufan Siauw, VP of International Sales and Chief Technology Officer of H2O3, (a subsidiary company of www.bingshan.com) a Chinese ozone water treatment system manufacturer that has partnered with Megola to promote and market Megola's products in Asia. Mr. Siauw also serves on the Advisory Board for Megola Inc.
Mr. Siauw reports, "The Great Hall of the People (the national assembly of China or parliament) is extremely happy with the performance of the ScaleGuard technology. They plan to install ScaleGuard throughout the parliament building in the future and a plan to add the product to the upcoming budget of building retrofits is in progress. With the establishment of the Chinese assembly facility for ScaleGuard and the resounding success in the Chinese market, we expect to have substantial sales generated through our Bingshan distribution group and acquired OEM manufacturing networks."
Additional Chinese highlights of the report include:
Mengniu Dairy Group (Mongolia Dairy Group -- Reuters symbols 2319.hk and CIADF.pk) is the biggest customer of ScaleGuard in China. Mengniu Dairy is the largest dairy producer in China and is the only public dairy company to trade in both the U.S. and Hong Kong. To date, Megola has installed over 50 units for Mengniu Dairy with the expectation that there will be the need for a further 300 to 500 units.
Runan Mu Gong Shan Group, a leading poultry integrator and processor in Shandong province is planning to triple its processing facility and will be adding to the 6 industrial units they currently have.
Zhoushan Gang Ming Foodstuff Industries is the largest seafood processor in China. They have built the largest seafood processing factories and cold storage facilities in the country and plan to install an additional 50 to 100 ScaleGuard units to go along with the 4 SG devices that currently run in their plants.
Zhong Mei Coal Mining Company is a deep coal bed mining company and is the first mining application for ScaleGuard. Chinese coal mining industry uses tremendous amounts of on-site refrigeration equipment, the cooling process is done using untreated ground water and calcification is a major issue. The 10 ScaleGuard units installed have successfully prevented scale from forming in the BAC evaporative condensers used by the mining company and they plan to purchase 30 to 50 additional units as their operations expand.
Beijing Tian Long Yuan Spa is one of the few ice-skating rinks in Beijing and is an extremely satisfied user of the ScaleGuard technology to treat their cooling tower.
Zhujiang Brewery, one of the leading breweries in Guangdong province, is very happy with the performance of ScaleGuard in their BAC evaporative condensers and have and immediate need for 20 additional SG devices. Megola plans to expand its presence in this market and is already providing quotes to at least one brewery in Shanghai. The potential for ScaleGuard is vast as there are approximately 1000 evaporative condensers throughout the brewery industry in China.
About Megola Inc.
Megola Inc. develops enabling technologies for industrial, commercial, agricultural, and residential users. Megola Inc. is in the process of greatly expanding both the scope of its offerings and its reach throughout the global marketplace. This is a continuance of the new business model that was launched last year. Megola has also expanded to include other applications and products, utilizing technologies such as ultraviolet light, ozone and copper ions, which the company believes will significantly boost its revenues.
Please visit the corporate website at www.megola.com for more information on the ScaleGuard device and other Megola products. 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.