OXFORD, Miss., Dec. 15, 2005 (PRIMEZONE) -- DeMarco Energy Systems of America, Inc. (Pink Sheets:DMES) announces today that it has signed a Letter of Intent to purchase all the assets of American Geothermal. The due diligence process is well advanced and an announcement to close on this acquisition has been set for early in the new year.
American Geothermal will become an important operating subsidiary of DeMarco Energy (soon to be renamed Energy Vision International), adding $300,000.00 of profitable revenues for year-end 2005 with sales for 2006/2007 predicted to be $1,000,000.00 and $4,000,000.00 respectively. The company will immediately begin tendering and installing the DeMarco Energy-patented Geothermal Heat Pumps.
American Geothermal is at the forefront of geothermal technology and DeMarco Energy is delighted to welcome its CEO, Victor DeMarco to the management team. Mr. DeMarco is the son of DeMarco Energy's highly respected former chairman and inventor of the 'Energy Miser System', the late Mr. Louis DeMarco.
Victor DeMarco brings over 18 years of personal experience in the geothermal heating and cooling business as well as a rich history as a pioneer in the geothermal industry. Projects include large commercial, military base housing and residential. Since leaving DeMarco Energy in 2003 Victor has successfully built American Geothermal Systems, a private company, up from zero to over $300,000 in annualized gross sales in the last 18 months. The acquisition of American Geothermal represents an extremely positive step towards our plans for future growth.
"I look forward to, once again, being a part of DeMarco Energy Systems of America," said Mr. DeMarco. "I have the utmost confidence in the new team and look forward building DeMarco Energy Systems into to a worldwide leader in the geothermal industry."
The ever-increasing cost of energy use is of vital importance to all residential and commercial consumers of electricity. Governments around the globe are beginning to take the threat of energy shortages seriously. Many are introducing grants to encourage users to convert or include energy saving technology in new housing projects. Concurrently, governments have made commitments by signing international agreements to reduce greenhouse emissions. Companies with a long track record of successful installations and proven conservation technology such as DeMarco Energy are well positioned to benefit
Anthony Welch, Chairman of DeMarco Energy added, "What we promised stockholders earlier this year, we now deliver. This acquisition represents the first of many. We diligently work to expand the company's asset and revenue base and add new technologies to our portfolio. Today's announcement advances operations and places us on a firm foundation for the days to come. Our goals are lofty and we set bold objectives. We encouraged investors to watch our progress as we become one of the world's leading energy-conservation companies. Our recent alliance with Modern Technology Corp (OTCBB:MOTG) is another example of our efforts to expand the company's influence."
Mr. Welch continues: "We are grateful to the shareholders and past investors of DeMarco Energy for their understanding and support during our period of rebuilding. We believe their patience will be rewarded in the months and years ahead."
About American Geothermal. Inc.
American Geothermal was incorporated in Austin, Texas in 2003 and specializes in the promotion and installation of geothermal heating and cooling technologies. For more information, visit the company's website at: http://www.amgeosystems.com.
About DeMarco Energy Systems of America, Inc. (Energy Vision International)
Energy Vision International, a.k.a. DeMarco Energy Systems, expanded its business plan in 2004 to include energy-related acquisitions, marketing its patented geothermal water-air heating/cooling systems, and sales of energy conservation solutions. The company has geothermal installations in Oregon, Pennsylvania, Washington, Montana, South Dakota, Mississippi, California and Texas. EVI's primary focus is to provide energy efficient technologies to commercial and institutional markets through the application of the DeMarco 'Systems' patents and other acquired technologies. For more information, visit the company's web site at: http://www.demarcoenergy.com.
Safe-Harbor Statement
This press release contains statements (such as projections regarding future performance) that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to those detailed from time to time in the company's filings with the Securities and Exchange Commission.
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