DeMarco Energy's Geothermal Technology Showcased.

Energy Editors/Business Editors

AUSTIN, Texas--(BUSINESS WIRE)--Jan. 29, 2004

DeMarco Energy Systems of America Inc. (OTCBB:DMES) showcases its geothermal technology for heating and cooling.

The Energy Miser heat pump system by DeMarco Energy Systems of America Inc. is being installed in the energy-efficient concept home being built by a joint venture of a local television station and some master developers and designers in Austin, Texas. There are several of these homes that will be built in various locations around the United States. The concept home will headline "a premier master-planned community...designed with a focus on preserving the native Hill Country while treading lightly on the terrain." DeMarco is pleased and excited to be used in this modern-day project.

DeMarco Energy's geothermal system is a perfect fit within these strict parameters. The system is environmentally friendly in many ways. Some of these include no burning of fossil fuels, no outdoor equipment, quiet operation and 70% of your hot water needs (for free) as a special byproduct. DeMarco Energy's geothermal heat pumps use one-third of the energy of a standard air-conditioning/heating system. This translates into an energy bill reduction of 40% to 70%. "This project is a perfect fit for our system," states Victor DeMarco, president of DeMarco Energy. "We look forward to the exposure a job like this will bring to our technology, especially in a home of this caliber."

The technology will be featured on the local television station through a series of segments called vignettes which will track the home as it is being built. The vignettes will begin in February with DeMarco's segment expected to start in March or April.

DeMarco Energy is highlighted on the Web site of The Stockbroker.com with a new analyst's report just published (www.thestockbroker.com).

This News Release may contain forward-looking statements relating to future results, performance, plans, events or other matters. Words such as "potentially," "will," "anticipates," "believes," "plans," "expects," "future," "intends" and similar expressions are used to identify these forward-looking statements. Such statements involve numerous risks and uncertainties, including, but not limited to, risks and uncertainties pertaining to development of the company's products and services and markets for such products and services, the timing and level of customer orders, competitive products and services and pricing, changes in economic conditions and the markets for the Company's products and services and other risks and uncertainties. Actual results, performance and events may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this News Release. DeMarco financials can be found in its filings with the Securities and Exchange Commission, which can be accessed at www.sec.gov.