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OriginOil Files Patent for Breakthrough Technology to Transform Algae into Oil

Quantum Fracturing Improves Efficiency of Algae Oil Production

Los Angeles , CA – August 20, 2007 – OriginOil, Inc., the developer of a breakthrough technology to transform algae, the most promising source of renewable oil, into a true competitor to petroleum, announced the recent filing of its first patent application.

The application titled, “Algae Growth System for Oil Production,” discloses the Company’s proprietary system and industrial process whereby microalgae can be grown and harvested rapidly to extract algae oil for fuel and chemical production. Unlike many approaches to algae oil cultivation, OriginOil employs a novel technology by working at the microscopic scale. This scale unlocks many properties of biology, chemistry and physics that can massively enhance the efficiency of algae production as a high-yield, cost-competitive replacement for petroleum.

Specifically, the invention applies mass transfer and fluid fracturing science to optimize the growth and harvesting of algae cells. This technology is branded Quantum Fracturing™. In the growth phase, nutrients are fractured and injected into algae culture, achieving total and instantaneous distribution of nutrients to the algae culture without disrupting the fragile algae cells. In the extraction phase, more intense fracturing is applied to generate an ultrasound effect that breaks the tough outer membrane of the algae in an energy-efficient manner.

Nicholas Eckelberry, the Company’s director of development and lead inventor explained, “For the past fifteen years, we have applied technologies similar to Quantum Fracturing in the food and beverage industry with great success such as optimizing yogurt and beer production. By systematically incorporating Quantum Fracturing into our OriginOil System, we believe we can deliver an efficient, self-contained machine that can operate round-the-clock producing an endless supply of algae oil.”

Riggs Eckelberry, the Company’s chief executive officer and co-inventor commented, “This technology will help new and existing fuel producers to use algae as a new source for oil instead of petroleum. With oil prices trending ever-upwards, we know algae oil can be a cost-effective solution to the world’s energy problems.”

Safe Harbor Statement:

Matters discussed in this update contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this update, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein, and while expected, there is no guarantee that we will attain the aforementioned anticipated developmental milestones. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, product, and distributor performance, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors detailed in reports filed by the Company.

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