Exhibit 99.1


ELGT Announces Sale of Canadian Subsidiary

DALLAS, TEXAS--(PR  NEWSWIRE)--August 11, 2004--Electric & Gas Technology,  Inc.
(OTCBB:ELGT) today announced that it has completed the sale of substantially all
of the assets of its wholly owned Canadian subsidiary Hydel Enterprises, Ltd. to
Circa Metals  Inc.,  a  subsidiary  of Circa  Enterprises  Inc.  (TSX:CTO).  The
purchase  price for these  assets,  subject to a final true-up  adjustment,  was
approximately USD$3.8 million paid in cash at closing.

Dan Zimmerman, President and CEO of ELGT, stated, "This transaction does a great
deal to improve our balance sheet and allows us to devote more resources  toward
the growth of our US operating  companies.  There are  encouraging  signs in our
markets  and we  believe  that  through  this  action  we will  see  significant
improvements in our results in the near term."

"The  sale  of  Hydel  follows  closely  behind  our  April  30  adjustments  to
non-performing  assets," Mr.  Zimmerman  continued.  "In the 10Q filing for that
period, we showed Hydel as a discontinued  operation.  The effective date of the
transaction was July 30th, allowing the Company to commence its FY 2005 with the
balance sheet adjustments in place."

In  concluding,  Mr.  Zimmerman  added,  "We are  positioning  the company for a
turnaround  this fiscal year,  which began last week.  In addition to completing
the sale of these assets, we have written off a number of investments that we've
carried  since the late 1990s and have  successfully  implemented  cost  cutting
measures in the Texas operations.  We expect to have more frequent announcements
this year to keep our shareholders apprised of our progress."

Electric & Gas  Technology,  Inc.  (ELGT) is a publicly  traded holding  company
that,  through its  subsidiaries,  operates in three main areas,  the utilities,
water and fabrication industries.

This  release  contains  forward-looking  statements  within the  meaning of the
Securities Exchange Act of 1934, which represents the Company's  expectations or
beliefs  concerning,  among other things,  future operating  results and various
components  thereof and the adequacy of future operations to provide  sufficient
liquidity.   The  Company  cautions  that  such  matters   necessarily   involve
significant  risks and  uncertainties  that could cause actual operating results
and  liquidity  needs to  differ  materially  from such  statements,  including,
without limitation:  (i) increased competition,  (ii) the price-sensitive nature
of product demand,  (iii) the Company's  dependence upon favorable  pricing from
its suppliers and (iv) other risks indicated herein and in filings with the SEC.

Contact:
Sandie Reeves 469-429-5298