ORYXE Energy Announces First Delivery of Groundbreaking Diesel Additive to SemFuel Terminal; Delivery Brings Early Adoption TX-LED to Houston Market

IRVINE, Calif.--Aug. 1, 20056, 2005--ORYXE Energy International announced today that the company has begun delivery of its proprietary additive, OR-LED, to SemFuel, a wholesale distributor of refined petroleum products. SemFuel will be supplying the Houston area with diesel fuel in compliance with the new Texas Low-Emission Diesel (TX-LED) rule over a month prior to the October 1, 2005 TX-LED deadline.

TX-LED (Texas Low-Emission Diesel) is the new, cleaner-burning diesel fuel mandated for use in 110 Texas counties to improve air quality.

SemFuel's early adoption of OR-LED is the second such program announced in recent weeks. In July, Sun Coast Resources, Inc. began using the OR-LED additive to supply TX-LED compliant fuel to City of Dallas storage facilities.

"These early-adoption programs are significant because they demonstrate the energy industry's commitment to supplying compliant product, which will result in cleaner air for everyone in the state of Texas," said Walter Schindler, chairman and chief executive officer of ORYXE Energy. "SemFuel is now in a position to work with additional early-adoption customers and ensure supply in the Houston marketplace."

SemFuel consulted with MidContinental Chemical Company, an ORYXE Energy distribution partner, on the installation of proper infrastructure to distribute an estimated 150,000 barrels per month of TX-LED compliant fuel out of its North Houston terminal. Miller Intermodal Logistics Services has been contracted to deliver OR-LED to the North Houston terminal.

"With ORYXE Energy's OR-LED additive, SemFuel has the flexibility to supply our customers with TX-LED compliant product in the most economically feasible way," said Sara Hordinski, SemFuel's vice president of marketing. "Everyone at SemFuel is excited to be playing a major role in providing cleaner-burning diesel at a competitive price."

OR-LED is the first proportionally-injected diesel additive to be approved by the Texas Commission on Environmental Quality (TCEQ) for use in alternative plans to meet the Texas Low-Emission Diesel rule.

OR-LED's approval by the TCEQ followed a rigorous engine testing protocol performed at the West Virginia University National Research Center for Alternative Fuels, Engines, and Emissions Laboratory, recognized by the Environmental Protection Agency and certified by the California Air Resources Board. The tests were conducted under strict federal testing guidelines and procedures.

The tests showed that OR-LED demonstrated a greater than 5.7 percent reduction in Oxides of Nitrogen (NOx), greater than 20 percent reduction in Total Hydrocarbons (THC), the main contributors to smog formation, and approximately 10 percent reduction in Carbon Monoxide (CO), a poisonous gas, all major concerns for Texas air quality stewards.

About ORYXE Energy

ORYXE Energy International, Inc., (www.oryxe-energy.com) based in Irvine, Calif., develops, certifies and distributes proprietary additives that improve fuel performance and reduce toxic emissions from the combustion of hydrocarbons, such as diesel fuel and gasoline. Founded in 2001, ORYXE Energy was named a Top 100 Innovator by Red Herring magazine in late-2004. The company holds one U.S. patent and has 10 patents pending.

Odyssey Venture Partners (www.odysseyventure.com) of Costa Mesa, Calif., and Ridgewood Capital (www.ridgewoodcapital.com) of Ridgewood, N.J. are the lead venture capital investors in ORYXE Energy.

About MidContinental Chemical Company

MidContinental Chemical, Inc. (www.mcchemical.com) provides comprehensive solutions to the petroleum industry, including petroleum terminals, lube oil manufacturers, pipeline operators and aftermarket producers. In addition to specialty chemicals, MidContinental assists clients with equipment needs and provides specialized support services, such as regulatory compliance and marketing programs.

About SemFuel

Based in Denver, Colo., SemFuel, a division of SemGroup LP (www.semgrouplp.com), is a North American commercial supplier and wholesale distributor of refined products. The company's vast network predominately serves the Gulf Coast and Mid-Continent regions of the United States. SemFuel primarily stores, transports and markets gasoline, diesel, jet fuel and specialty products. It provides customers a clear market view, pricing options and many supply alternatives.

Forward-Looking Statements

Estimates, expectations and business plans are forward-looking statements. Actual future results, including product introduction schedules, market receptiveness, regulatory approvals and commercial viability, could differ materially due to changes in conditions affecting the industry, political, legal or regulatory developments, and market conditions.