Gemini Corporation Reports Fiscal 2012 Results

Gemini Corporation (TSX VENTURE:GKX) today announced its financial results for
the fiscal year ended December 31, 2012.


The trend of increased revenue in 2012 over 2011 continued through the fourth
quarter with an increase of 6.5% to $19,896,000 compared to $18,673,000 for the
same period last year. This brings total 2012 revenue to $87,187,000, which is a
36% increase over the $64,102,000 achieved in 2011. The growth in revenue slowed
in the fourth quarter as clients chose to delay or defer project decisions due
to the uncertainties related to western Canadian oil and natural gas commodity
price constraints. This development dampened activity and profitability for the
fourth quarter and is expected to result in lingering effects through 2013 as
surplus supply and market delivery challenges are addressed. Notwithstanding
these conditions, the backlog of work in both the Field Solutions and Engineered
Solutions segments remain solid and activity is expected to regain strength
early in 2013.


Business development efforts directed toward key clients and potential new
clients are continuing to reveal project opportunities that are expected to
expand the Corporation's backlog of work. Notwithstanding the market
uncertainties, clients are forecasting fairly consistent spending for 2013
compared to 2012 and Gemini is expecting to achieve revenue growth through
increasing its share of the client spending programs.


Fourth quarter gross profit for 2012 was $2,958,000 compared to $2,904,000 for
the same period in 2011. The slowdown in activity experienced in late November
and through December resulted in a reduction in gross profit for the quarter as
staff utilization levels declined. Gross profit for the year in absolute dollars
increased as a result of the substantial revenue improvement, but declined as a
percent of revenue to 16% from 18% in the prior year. This margin compression
was a result of labour and material cost escalation, reduced utilization due to
variable work flow, and the Corporation's focus on lower risk field service
projects, which earn somewhat lower margins. Management is taking steps to
return margins to more traditional levels through the implementation of a number
of operational excellence initiatives centered on optimized utilization and
efficiencies gained through technology, training and automation.


Net earnings for 2012 improved substantially to $785,000 (2.1 cents per share)
compared to the net loss of $1,700,000 (4.9 cents per share) incurred in 2011.
The positive profitability achieved in the first three quarters of the year was
unfortunately reduced by a fourth quarter net loss of $224,000 (0.5 cents per
share) due to the slowdown experienced near the end of the year.


"2012 has been a significant turning point for Gemini and the prospects for the
future are bright even with some of the headwinds that are currently swirling",
said Gemini's President and CEO, Doug Lautermilch. "We have regained
profitability and the equity financing completed late in the year positions us
well to invest in increased capability prior to what we expect to be a stronger
market demand for our services in 2014 and beyond. Our operations have been
successfully repositioned and our new business development team is making solid
progress with both existing and new clients to secure an increasing backlog of
work. We are expecting to generate increasing annual profitability as the future
unfolds."


About Gemini Corporation

Gemini Corporation is a professional services firm that designs, builds and
maintains energy and industrial facilities. Founded in 1982, Gemini provides
services on either a standalone basis or by combining engineering and field
service capabilities to increase project efficiency and provide a single point
of accountability. The Corporation's principal target markets are conventional
and unconventional oil and gas, in-situ heavy oil, and heavy industrial
facilities. Shares of Gemini trade on the TSX Venture Exchange under the symbol
"GKX". For more information about the Corporation and its services, go to
www.geminicorp.ca.


Gemini's 2012 annual financial report will be filed with SEDAR at
http://www.sedar.com on or before March 5, 2013.


CONSOLIDATED FINANCIAL HIGHLIGHTS



                                Three Months Ended               Year Ended 
                                        (Unaudited)                (Audited)
Operating Highlights                                                        
 ($'000)                      Dec 31,      Dec 31,      Dec 31,     Dec 31, 
                                 2012         2011         2012        2011 
Revenue                     $  19,896    $  18,673    $  87,187   $  64,102 
Gross profit                    2,958        2,904       14,222      11,526 
Income (loss) before                                                        
 interest & taxes                (154)        (419)       1,411      (1,991)
Net Income (loss)           $    (224)   $    (430)   $     785   $  (1,700)
                                                                            
Earnings per share (basic                                                   
 & diluted)                 $  (0.005)   $  (0.012)   $   0.021   $  (0.049)
                                                                            
                                              December 31,      December 31,
Balance Sheet Highlights ($'000)                      2012              2011
Working capital                              $      12,084     $       7,119
Total assets                                        26,088            28,585
Shareholders' equity                                17,689            13,069



Disclaimer

This news release may contain forward looking information that represents
Gemini's internal projections, expectations, estimates or beliefs concerning,
among other things, future operating results and various components thereof or
Gemini's future economic performance. All statements other than the statements
of historical fact may be forward-looking statements. In some cases,
forward-looking statements can be identified by terminology such as "may",
"will", "should", "expects", "projects", "plans", "anticipates", and similar
expressions. The projections, estimates and beliefs contained in such
forward-looking statements are based on management's assumptions relating to
Gemini's performance and competition within the sectors in which it competes,
the continuation of the current regulatory and tax regimes in the jurisdictions
in which Gemini operates, and necessarily involve known and unknown risks and
uncertainties, including risks and assumptions relating to client service
demand, field service costs, labour rates, and other factors that may cause
actual performance and financial results in future periods to differ materially
from any projections of future performance or results expressed or implied by
such forward-looking statements. Accordingly, readers are cautioned that events
or circumstances could cause results to differ materially from those predicted
or suggested. The Corporation does not undertake to update any forward-looking
information in this document whether as to new information, future events or
otherwise.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Gemini Corporation
Doug Lautermilch
President & CEO
[phone]
[e-mail]


Gemini Corporation
Robert Brookwell
Executive VP & CFO
[phone]
[e-mail]