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OriginOil Selects Award-Winning Engineering Firm for Product Rollout

PACE will fast-track market availability of Single Step Extraction systems

Los Angeles, CA — July 27, 2011 — OriginOil, Inc. (OOIL), the developer of a breakthrough technology to extract oil from algae and an emerging leader in the global algae oil services industry, today announced it has selected Pacific Advanced Civil Engineering, Inc. (PACE) of Fountain Valley, California, to fast-track the rollout of its line of Single Step Extraction™ systems in response to immediate customer demand.

“We looked for a highly-qualified, fast-moving and conveniently located engineering firm to help us fast-track product delivery,” said Paul Reep, OriginOil’s Senior VP of Technology. “We are very happy with our selection of PACE. With its extensive water engineering experience and exposure to international markets, PACE will help us respond rapidly to our growing number of commercial opportunities.”

“We are thrilled to be a part of this exciting new technology development. The combination of our expertise in water engineering and practical experience with complex treatment systems will help turn OriginOil’s innovative vision into reality,” said Mark Krebs, PACE’s President.

In May, OriginOil announced it had received a firm order for a large-scale algae extraction system from a leading solutions provider in the field of industrial CO2 waste management, Australia’s MBD Energy, Ltd. (MBD). The order followed successful trials of OriginOil’s equipment focused on optimizing capacity to handle large volumes of algae continuously.

The system is expected to process up to 1100 liters (300 gallons) per minute of algae culture continuously, enough to process the daily harvest at MBD’s upcoming one hectare (2.3 acre) site at Queensland’s Tarong power station where algae is grown from flue gas carbon dioxide. MBD has also ordered a smaller mobile system for the building stage at Tarong, which will also equip the early stages of future MBD algae carbon capture and recovery projects.

PACE will help OriginOil engineer the Tarong systems, and quickly turn around a standard OriginOil commercial offering on modular sizes that customers can easily combine to meet any scale of harvesting requirement.

PACE has received international and domestic awards from organizations including the EPA, Los Angeles Regional Water Quality Control Board and Global Water Intelligence for engineering advanced treatment systems that employ complex mechanical and biological treatment operations. The firm has also been recognized as a leader in the research and application of new technologies and processes.

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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