ORYXE Energy International Announces Additional Series C Financing

Paladin Homeland Security Fund Investment to Accelerate Development of Fuel Additives that Improve Fuel Performance and Reduce Toxic Emissions

Irvine, Calif. – Feb. 23, 2006 – ORYXE Energy International, a leading developer and distributor of environmental fuel additives, announced today that the company has received financing from Paladin Capital Group, increasing its Series C round to $27 million.

In addition to Paladin, investors in the ORYXE Energy Series C financing include Ridgewood Capital, Odyssey Venture Partners and DSM Venturing. ORYXE Energy will use the funding to further the development, distribution and sale of its fuel additives that reduce toxic emissions from fossil fuels.

“Paladin places great importance on the development of breakthrough technologies that will help achieve U.S. energy goals,” said Alf Andreassen, managing director of Paladin Capital Group and co-founder of Paladin’s Homeland Security Fund. “ORYXE technologies have great potential for improving U.S. energy independence and reducing environmental pollution.”

Based in Irvine, Calif., ORYXE Energy develops and markets proprietary fuel additives based on breakthrough research in combustion science. The company is currently selling its diesel fuel additive, ORYXE LED, to fuel producers in the Texas Low Emission Diesel market, and has additional products in development that cost-effectively improve fuel performance and reduce toxic emissions.

“ORYXE Energy is pleased to welcome Paladin as a value-added partner,” said ORYXE Energy Chairman and Chief Executive Officer Walter Schindler. “Paladin’s expertise in helping technology companies reach significant commercial milestones will be an invaluable asset to us.”

About ORYXE Energy

ORYXE Energy International, Inc., (www.oryxe-energy.com) based in Irvine, Calif., develops, certifies and distributes proprietary fuel additives that improve performance and reduce toxic emissions from the combustion of hydrocarbons, such as gasoline, diesel, residual fuel and other distillates. 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 13 patents pending.

Odyssey Venture Partners (www.odysseyventure.com) of Costa Mesa, Calif., Ridgewood Capital (www.ridgewoodcapital.com) of Ridgewood, N.J. and Paladin Homeland Security Fund (www.paladincapgroup.com) of Washington, D.C. are the lead venture capital investors in ORYXE Energy.

About Paladin Capital Group

Headquartered in Washington D.C., Paladin Capital Group is a premier private equity firm that provides expansion capital for growing companies. Paladin has over $440 million under management and operates two funds with 20 portfolio companies. Paladin's Homeland Security Fund invests in enterprises whose principal business centers on products and services that address homeland security issues and needs. Importantly, the fund's leadership is comprised of individuals with a proven track record of financial expertise, national security experience and specialized technical competence. For more information, www.paladincapgroup.com

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.