OriginOil, Inc. Report to Shareholders: GEN 2 Scalable Frack Water Cleanup System Completed

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Modular system on way to Colorado for testing, while existing industrial demo system continues to operate successfully in West Texas

OriginOil's new GEN 2 frack water cleanup system, featuring a new touch screen control system

Up to four of these can fit into a 40-foot container, treating up to half a million gallons each day.

OriginOil Inc. (OTC/QB: OOIL), developer of Electro Water Separation (EWS), the high-speed, chemical-free process to clean up large quantities of water, announced today that in a letter to shareholders, CEO Riggs Eckelberry reported that the prototype of a GEN 2 frack water cleanup system is complete and on its way to Colorado for field testing.

The full report is now available on OriginOil.com's website at http://www.originoil.com/ceos-update/gen-2-done

Eckelberry stated that each Gen 2 module can process up to 3,000 barrels per day (bpd) of contaminated frac flowback and produced water. Up to four of these can fit into a 40-foot container, treating up to half a million gallons each day.

He also reported that the Company's GEN 1 industrial demo system continued to process contaminated water successfully at a Salt Water Disposal (SWD) site near Midland, Texas.

And in a TV interview yesterday (video), he and co-founder Nicholas Eckelberry reported on the recent Algae Biomass Summit and how algae is being harvested for animal feed, a growing market.

Safe Harbor Statement:

Matters discussed in this release contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this release, 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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Jerry Schranz

Tom Becker
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