Micromem Technologies Inc. announced that it has received the first installment payment towards the purchase order received for the initial sale of 2 of its ARTRA units (the "Units") for its project in Romania. This first installment of USD 63,800 is one of 4 payments to be received; the total funds to be received by Micromem for these initial 2 units will exceed USD 280,000. The Company has been advised that it can expect purchase orders for an additional 3 ARTRA units.

Each of the 5 ARTRA units ordered will be used for testing by different clients. As previously announced, the Units will be produced and shipped to Romania by the Company's California-based contractor/partner, Entanglement Technologies, and will be used to assess analytics software for both natural gas and oil applications. The Company expects that the Units will be delivered to the clients before the calendar yearend.

The analytics software system will be designed around analyzing tracer compounds which were previously successfully tested by Chevron. Micromem is confident that these analytics tests will be successful. Following positive testing at the University of Ploiesti in Romania, the software will be installed in the Units and evaluated by the Romanian partners.