Hydrogen Engine Center is Part of the Solution

Jan. 25, 2007

Hydrogen Engine Center, Inc. is working to develop a world-wide market for reliable, site-specific, renewable power generation and alternative-fuel internal combustion engines for the industrial, distributed and standby power generation markets. The company's strategy is to quickly migrate its alternative-fuel engines currently in the market to hydrogen fuel. HEC builds engines and power-generation systems on technology that accumulated during founder Ted Hollinger's lifelong experiences. HEC believes it has the ability to "crack the code" on packing tremendous efficiency into its engine design. Hydrogen Engine Center, Inc.'s mission includes developing systems to promote a grid-independent future using renewable power with near-zero emissions for communities around the world. Current HEC projects include:

Department of Energy - National Renewable Energy Laboratory/Xcel Energy

HEC sold a 50kW hydrogen-fueled generator set to Xcel Energy (NYSE: XEL), a major U.S. electricity and natural gas utility company with operations in 8 Western and Midwestern states. The intended use of the generator set is for a wind-to-hydrogen research, development and demonstration project at National Renewable Energy Laboratory's (NREL) National Wind Technology Center in Boulder, Colorado. Researchers will analyze and compare hydrogen production directly from wind power versus using the electric grid. The hydrogen will be produced from electrolysis using an electrolyzer. The project is part of a joint venture between the U.S. Department of Energy's National Renewable Energy Laboratory and Xcel Energy.

Meeting California's New Emission Standards - Sawtelle & Rosprim, Inc.

HEC and Sawtelle & Rosprim, Inc. will work together to design and build the world's first Ammonia-Fueled Irrigation Pump System for the purpose of meeting California's new emissions requirements scheduled to go into effect in 2010. Plans include integrating HEC's ammonia-powered engine with Sawtelle's pump technologies and expertise to complete a prototype system for testing and evaluation. The prototype system is being designed to run 24 hours a day and is expected to be tested in California during the 2007 irrigation season. HEC intends to begin selling the finalized systems in California during 2008.

Wind/Hydrogen Project - Natural Resources Canada

Natural Resources Canada, an agency promoting the sustainable development and responsible use of Canada's mineral, energy and forestry resources, have taken delivery of a HEC 250kW power generator or "genset" for a wind/hydrogen project on Ramea Island off the southern coast of Newfoundland, Canada. Electric power and hydrogen will be generated from wind energy and under slack wind conditions, hydrogen will be used to create electric power. This reduces or eliminates the need to use fossil fuels.

Near-Zero Emission Power Generation - Grasim Industries

HEC and Grasim Industries Ltd. will work together to bring HEC's hydrogen engine technology to the chemical industry. Grasim, an Aditya Birla Group flagship company based in India, has purchased from HEC a hydrogen-fueled Oxx Power(tm) generator set. The two companies will collaborate to develop a closed loop system for stationary, near zero emission power generation for chlor-alkali manufacturing plants.

Marine Engines/Water Taxis - Brightwell Holdings BV/Labranda

HEC has received a Letter of Intent from an investment group "Brightwell Holdings BV" representing Turkish boat builder "Labranda" and in cooperation with UNIDO-ICHET (United Nations Industrial Development Organization and International Centre for Hydrogen Energy Technologies). The Letter of Intent puts HEC in position to design, test, build and ship up to 200 alternative-fueled marine engines capable of running on compressed natural gas "CNG" and / or hydrogen for use in water taxis. The water taxis are a 10.9 meter long catamaran boat that will provide transportation for up to 10 people in seaside towns. The plan is to build the marine engines based on HEC's new 7.5L V-8 that will replace the 240 HP diesel-fueled engines currently used to power water taxis in Turkey, UAE, Qatar, Saudi Arabia and Greece. Non-Fossil Energy Supply - ITM Power Plc

ITM Power Plc and HEC plan to jointly develop products for a non-polluting, gridindependent energy system which can undergo early field trial testing. HEC anticipates that ITM can offer an assured supply of hydrogen using ITM's low cost electrolyzer technology. ITM anticipates that HEC will provide an early route to the provision of a complete system package using HEC's proven engine technology. The combination of a hydrogen-fueled internal combustion engine and a low cost electrolyzer could provide the essential technology to convert low-value, intermittent, renewable energy (wind, solar) into a reliable, non-fossil energy supply. HEC personnel are always available to help you customize systems so that you can reduce your dependence on uncertain oil supplies and promote a cleaner future through renewable power generation.