Merlin Ships First Terabyte System to Calgary's Geophysical Exploration & Development Corporation.

Business Editors

BURNABY, British Columbia--(BUSINESS WIRE)--Aug. 16, 2002

Lowest total cost of ownership combined with massive storage

capability protects strategic assets in data rich environment

Merlin Technologies (OTCBB:MLSW) today announced it has shipped its first Terabyte NAS (network attached storage) system to Geophysical Exploration & Development Corporation (GEDCO) in Calgary, Alberta. Packaged in the company's desktop rack-mounted form factor, the Terabyte system can store large amounts of seismic and potential field data to the equivalent of 300 feature length movies. The Merlin system provides GEDCO with a low total cost of ownership along with massive storage capability that fits perfectly into the high-technology solutions already available at GEDCO.

"We live in an extremely data rich environment," said Jeremy Jin, GEDCO Systems Analyst. The results of our exploration produce incredibly dense multi-media information and this data is our primary product. Our customers, most of whom are in oil, gas and mining exploration make massive investments based on our field research. We must protect this information - it is our principal strategic asset."

Robert G. Murray, Vice-President of sales and marketing for Merlin added: "GEDCO must be able to protect their information particularly when so many of their exploration efforts are remote from the home office. GEDCO works all over the world and they must be able to harvest and protect their data when it comes in from the field. It's important to be able to provide cost-effective, easy-to-use data protection. Our EssentialServer takes about 15 minutes to install and can be monitored remotely over the Internet - which, of course, fits GEDCO's needs perfectly."

Merlin offers a wide-range of competitively priced, fully integrated NAS systems ranging in storage capacity from 40 gigabytes to 1.12 Terabytes.

About Merlin Technologies

Merlin integrates leading-edge technologies into affordable, high-performance data storage/protection and security/loss prevention solutions. Designed to protect critical data, commercial assets and the people who use those assets, Merlin's products utilize state-of-the-art digital storage and backup and are easy to deploy and use.

Merlin's EssentialServer is a fast and economical way to add network attached storage (NAS) or integrated data backup, recovery and storage to a LAN. It is designed specifically for small to medium-sized business, corporate departments and regional offices to ensure that critical data is secure, protected and always available. Merlin's SecurDVR is a network attached digital video recorder (DVR) designed and implemented specifically as a proactive security and loss prevention solution. Capable of managing up to 16 closed circuit television (CCTV) cameras and a host of alarm mechanisms, the SecurDVR is being deployed throughout Canada in banks, retail chains, shopping centers, manufacturing facilities and commercial/residential buildings.

Merlin has offices in Burnaby, British Columbia and representation in Montreal, Quebec, Toronto, Ontario, Calgary, Alberta, Seattle, Washington and Tampa, Florida. The company's website is available at http://www.merlintechnologies.com/

About Geophysical Exploration & Development Corporation

As a full service geophysical consulting firm with world-wide experience, GEDCO offers professional services in 3D & 2D seismic design, processing and interpretation, as well as potential field services, such as high resolution aeromagnetics and gravity. The company's website is available at http://www.gedco.com.