Medical Services Signs Additional Marketing Agreement

August 25, 2005

Medical Services International Inc. (OTC: MSITF) is pleased to announce that it has been approached by another company, not involved in the medical industry, seeking an introduction into China for the marketing of its technology. Medical Services was able to demonstrate that its substantial contacts in China are not only real and valuable, but that the contacts are far more pervasive than just the medical industry. Significantly, Medical Services' Asian contacts enable it to offer access into China in a variety of industries that would normally take a company years and significant capital to cultivate.

As a result of these significant contacts in China as well as our relationship with The Nutmeg Group LLC, Medical Services has entered into a Distribution/Marketing agreements with Grifco International, Inc. whereby for its services, Medical Services receives an upfront non refundable marketing fee of $100,000 US as well as a non refundable fee of $100,000 US for each succeeding 12 month period where Medical Services is involved with Grifco. In addition to the fees to be paid, Grifco International, Inc. has agreed to pay a 5% commission on the revenues derived as a result of Medical Services connections, network or efforts.

Grifco International, Inc. specializes in the conception, architecture and development of tools for the coil tubing, wireline and snubbing industry throughout the world. With the huge expansion currently taking place in China's oil and gas industry it is expected that there will be a significant demand for the Grifco products. Currently, Grifco have clientele that boasts some of the biggest names in the oil and gas business including Halliburton, Exxon and Schlumberger.

In regard to its China project, Medical Services is delivering in excess of 70,000 kits per week as it continues to fill its first order in China totaling 635,000 kits by the end of October 2005. This order alone will generate over 1.4 million US in revenue.

The Company is currently shipping its test kits into 19 countries worldwide and is expecting regulatory approval in another 11 countries in the next 60 to 90 days.

About VScan ™

The VScan™ rapid test kit is a single use, easy to use, test for the screening of HIV 1&2, Hepatitis B&C, Tuberculosis (TB), Dengue Fever and West Nile, Malaria, Syphilis, and Prostate Cancer. The kits cannot be sold in Canada.

For further information contact:
Robert Talbot at 780-430-6363 or
Bill Whitehead, Jr., 416-822-5883

Medical Services International Inc. trades in the United States on the NQB Pinksheets under the symbol "MSITF".