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Electronic Game Card Demonstrates Positive Sales Trend

4 August 2006

Electronic Game Card, Inc. (OTCBB: EGMI), the creator of the Electronic GameCard, has provided a six month update of its business activity, including milestones achieved subsequent to the update issued January 31, 2006.

Electronic Game Card ("EGMI") has entered a highly productive period, which was highlighted by its joint venture partner, Scientific Games Corporation (NASDAQ: SGMS), who markets and promotes the Electronic GameCard to the global lottery market. Steve Saferin, Scientific Games Properties' president, recently commented, "Both Kansas and Iowa have proven that the Electronic GameCard is the kind of innovative game that will catapult lotteries everywhere into the next generation of game play. The Electronic GameCard is a pioneering product for a pioneering lottery industry." This success of the Electronic GameCard has been demonstrated in several markets sectors and is receiving global interest.

In the United States:

- Kansas Lottery - After just 5 weeks of sales, Kansas Lottery placed a full second order for Electronic GameCards on July 21, 2006.

- Iowa Lottery released its third order of Electronic GameCards on July 31, 2006.

- Iowa also confirmed that they are the first State to launch the brand new Pocket Poker Electronic GameCard product.

- EGMI has manufactured and completed delivery of over 350,000 Electronic GameCards to the State Lotteries in the US.

- Golden Palace.com - an order of customized code-breaker Electronic GameCards was delivered to Golden Palace.com for its promotion campaign.

- MGM Grand Detroit - EGMI received its first Electronic GameCard order from a casino, MGM Grand, on July 6, 2006.

- Santa Ana Star Casino (New Mexico) - EGMI signed a contract with Santa Ana Casinos on July 26, marking its first contract with the Indian Gaming community.

- New Initiative - North American charity bingo with initial focus on Texas - subject to approval by State regulators.

- EGMI has developed several additional games to extend its appeal to a diverse group of interests.

In Europe:

- Talarius - the UK's leading slot hall operator, and PromoCom, the direct mail/premium rate promotion company in Ireland, have both successfully received completed shipments.

- EGMI remains on target to complete an order with a major online-casino company operating in Europe within the next quarter.

- EGMI has signed an order for a charity promotion in Norway. Order to be delivered by third quarter.

- EGMI has secured an agreement to work on a charity lottery in Sweden subject to final approval from the regulators.

Internationally:

- EGMI recently secured distribution agents in Ukraine, Israel, Australia and South Africa and plans on adding additional international distributors during the second half of the year.

- EGMI has completed and delivered its first sale to an international cruise line company for onboard gaming. A revenue GameCard is expected to be launched during second half 2006.

- EGMI has continued to review commercial opportunities for sales promotions, gaming and charity fund raising.

The company commented, "We are in the process of concluding our reorganization and with the significant success witnessed by the recent lottery orders, we are now poised to begin to benefit from the enormous potential of this innovative product. Our activity over the past several months has grown materially and we are now entering a stage in which our results will reflect these efforts.

"The Company has begun to experience the results of its shelf game strategy which was introduced earlier this year. This strategy standardizes Electronic GameCards in four formats that can now be supplied to customers within a four week turn-around period. Additionally we are witnessing a broad mix of commercial opportunities that are coming on stream across the gaming and charitable markets."

About Electronic Game Card. Inc.

Electronic Game Card Inc., (OTCBB: EGMI), develops, produces and markets the proprietary technology that is the "Electronic GameCard" which can be programmed to suit a variety of gaming and promotion applications. EGC's client base is across the $ 100 billion global market of state and national lotteries, Gaming and Casinos, Indian Gaming and the expanding sales promotion and incentive markets. EGC develops sales and marketing relationships with agents globally and has a joint venture with a major lottery focused US listed corporation which has purchased 10% of the EGC common equity stock.

July 2005, the Public Gaming Research Institute (PGRI) named the Electronic GameCard(TM) as a 2005 Lottery Product of the Year during its conference in Las Vegas. The PGRI award recognizes the importance of new products to the growth and continuing success of worldwide lotteries.

For further information please visit http://www.electronicgamecard.com

Certain statements in this news release may constitute "forward-looking" statements within the meaning of section 21E of the Securities and Exchange Act of 1934. The Company believes that its expectations, as expressed in these statements are based on reasonable assumptions regarding the risks and uncertainties inherent in achieving those expectations. These statements are not, however, guarantees of future performance and actual results may differ materially. Some of the factors that may affect the forward looking statements in this news release are the availability of licensed personnel to operate pharmacies, the availability of suitable pharmacy locations, and the acceptance of new technologies by the medical profession. Other risk factors are listed in the most recent Annual Report on Form 10-KSB and Quarterly Report on Form 10-QSB filed with the Securities and Exchange Commission. Such forward-looking statements involve risks, uncertainties, which may cause the actual results, performance, or achievement expressed or implied to differ.

Investor Relations:

Roger Holdom

Electronic Game Card, Inc.

+44-207-451-2480

investorrelations@electronicgamecard.com

Yvonne L. Zappulla

Managing Director

Wall Street Consultants Corp.

+1-212-681-4108

Yvonne@WallStreetIR.com

Press Relations:

Toby Hall / Jade Mamarbachi