Clean Power Technologies Inc.
OTC Bulletin Board : CPWE
FRANKFURT : C1L

Clean Power Technologies Inc.

February 15, 2010 09:30 ET

Clean Power Signs Consultancy Agreement With Cascade Sierra Solutions

providing access to US regulatory expertise, fleet operators and political contacts

NEWHAVEN, UNITED KINGDOM--(Marketwire - Feb. 15, 2010) - Clean Power Technologies Inc. (OTCBB:CPWE)(FRANKFURT:C1L) ("Clean Power" or the "Company"), a developer of unique systems to reduce emissions and fuel usage by harnessing wasted exhaust energy, is pleased to announce that it has signed a consulting agreement with Cascade Sierra Solutions, (CSS), a U. S. based non-profit environmental organization which is dedicated to saving fuel and reducing emissions from heavy-duty diesel engines. CSS operates in the States of Washington, Oregon and California with a primary focus on the Interstate 5 corridor. CSS is a well recognized and respected organization in the United States, both in the industries it serves and amongst regulators – at a state and federal level. Clean Power will benefit greatly through CSS's expertise and contacts which will help to accelerate The Company's development project and rapid road to commercialization.

Ms. Sharon Banks, Founder and Chief Executive Officer of Cascade Sierra Solutions, and Mr. Joel Smith, Technical Advisory Team Coordinator, recently visited Clean Power's Newhaven facility to witness the development of its Clean Energy Separation And Recovery (CESAR) project and receive a technical briefing from the Company's engineering team. After reviewing and evaluating the fuel efficiency and emissions reduction benefits of the CESAR technology, the Cascade visitors concluded that it offers elegant solutions to emissions and compliance problems and agreed to act as consultants and advisors to Clean Power.

Under the terms of the consulting agreement CSS has agreed to provide a range of services that include, but are not limited to, the following:

  • advice on current and proposed fuel efficiency and emissions reduction regulations in the U.S.;
  • introduction of the CESAR technology to US Federal and State government agencies;
  • assistance to Clean Power in creating customer awareness of the CESAR technology in the USA and other countries where CSS is conducting business;
  • assistance to Clean Power with the certification and validation process with Federal and State regulatory agencies, including, but not limited to:
    • Environmental Protection Agency;
    • Smart Way; and
    • the Department of Transportation at Federal, State and Municipal levels.
  • advice on the Tax Credit application process for the CESAR system;
  • help securing tests with prospective truck users and trucking companies; and
  • introduction of Clean Power's technology to truck OEM engineers and vehicle refrigeration system manufacturers to enable approvals of Clean Power's technology and discussions on technology integration and applications.

Mr. Abdul Mitha, President and CEO of Clean Power Technologies commented, "This agreement and partnership with Cascade Sierra Solutions is a golden opportunity for a young, rapidly growing and dynamic company such as Clean Power: guiding us through the maze of regulatory and certification requirements; helping raise high level awareness of our CESAR system; and creating marketing opportunities with a wide range of industry audiences. CSS is uniquely positioned with regulators, not only at the Environmental Protection Agency and its Smart Way division, but also at the Department of Transport and within agencies in the states of California, Oregon and beyond. CSS represents the trucking industry from large fleets to individual owner-operators, as well as the broader supply chain such as port and truck-stop operators. Their ultimate endorsement of the CESAR technology will be a big leap forward for Clean Power Technologies."

Clean Power is developing CESAR technology for refrigerated trailer (or 'reefer') engines in the grocery sector and also for electricity generation from the methane produced at landfill sites. The company has established collaborative relationship with one of the largest grocery chains in the U.S. for its reefer application and has recently signed to commence field testing of its landfill gas system a waste-to-energy operator in the United Kingdom. The market potential in these two these sectors is huge, both in North America and throughout the World, where the CESAR technology is designed to provide substantial fuel savings whilst reducing emissions from internal combustion engines. CESAR has additional applications in sectors such as shipping, mining and military vehicles, as it can be easily adapted for any application where wasted exhaust heat could be captured and used to produce power.

Cascade Sierra Solutions brings together clean fuel technologies, low-cost financing and government grants to enable the trucking industry to save fuel and reduce emissions.

Ms Sharon Banks, CEO of Cascade Sierra Solutions said, during her visit: "Clean Power's heat recovery project is very impressive and offers promising alternatives to existing technologies. On learning about the truck application, some of our fleet clients have already offered their vehicles to trial the CESAR system. We will help Clean Power through the Regulatory Approval process, introducing them to our close contacts at the Environmental Protection Agency and Department of Transportation. Indeed, we expect both State and Federal regulators to be highly receptive to this technology."

Commenting on the landfill application, Ms Banks continued, "State and local municipal authorities will welcome any technology that addresses the nation's serious waste management issue, in this case capturing greenhouse gases from decaying waste, preventing their escape into the atmosphere and turning them into a much-needed energy source."

Mr Joel Smith, Technical Advisory Team Coordinator at CSS commented as he toured the facility: "Clean Power's CESAR system is truly a disruptive technology; I am impressed by the Company's unique and novel approach. In addition to the US market, Cascade believes there will be significant interest in China, where we are acting as environmental consultants on pollution control projects and are keen to make introductions for Clean Power. I wish the Company every success as Cascade assists them in any way it can to accelerate CESAR's market adoption".

Mr. Mitha concludes: "Clean Power believes that it has an elegant solution to the dual challenges of fuel efficiency and emissions reduction. With comprehensive testing of our truck refrigeration units now completed, under the guidance of a major US grocery chain, our goal now is to start operational roll-out of our CESAR technology as soon as possible. We are confident that this new association with Cascade Sierra Solutions will put that commercialization process on a fast track".

About Clean Power Technologies

Clean Power Technologies is committed to developing unique systems to reduce emissions and fuel usage by producing power from wasted energy. The CPT system can be applied to a range of vehicles, including locomotives, heavy trucks and light cars, and for industrial power generation such as landfill sites. The Company's proprietary technology significantly increases fuel efficiency through its Clean Energy Separation And Recovery (CESAR) system, which takes otherwise wasted heat energy from the exhaust of a conventional combustion engine and modifies it through a heat recovery system to generate clean power.

Clean Power Technologies has cooperative research and development agreements in place with one of the USA's largest grocery chains, freight haulage companies and international engineering corporations. Clean Power Technologies is also working in a collaborative relationship with a leading non-profit environmental organization in the United States.

Testing of the CESAR system on a Caterpillar C15 diesel engine has demonstrated that by recovering around 40% of the exhaust gas energy, efficiency improvements approaching 10% of the C15 running power can be achieved. The Company is in advanced stage of the development of this system for applications on landfill site generators and truck auxiliary power supply.

The Company boasts a highly experienced engineering team, whose vision and technical capabilities are driving the implementation of this unique technology. Clean Power Technologies operates out of its development facility in Newhaven, East Sussex, UK.

The Company is listed on OTCBB in the USA and is also listed on XETRA on the Frankfurt Stock Exchange.

About CESAR

Clean Power's Clean Energy Separation And Recovery (CESAR) technology is designed to increase fuel economy and reduce emissions by capturing and reusing otherwise wasted heat from the exhaust of a conventional combustion engine. A heat exchanger captures waste energy, which is then used to power a secondary vapour engine that generates electricity. In vehicle applications this electricity can then be used to power auxiliary electric engines and even supply power to the vehicle 'primary' engine. A burner can be used to power the secondary vapour engine when the primary engine is shut down.

The CESAR system can be used to power auxiliary truck systems, such as trailer refrigeration and cab cooling or heating, in regulatory 'no idle' and 'quiet' zones. In addition to initial truck applications, CESAR can be further applied in Clean Power's well developed passenger car program and also in the locomotive and marine sectors.

In stationary applications CESAR can provide a continuous source of electrical power to supplement that produced by a generating engine, for no additional input resource. This is particularly attractive for generators running on landfill methane gas, in that more power can be produced from this clean resource.

About Cascade Sierra Solutions

Cascade Sierra Solutions (CSS) (www.cascadesierrasolutions.org) is a non-profit organization dedicated to saving fuel and reducing emissions from heavy-duty diesel engines. CSS was formed in March 2006 to expand the program to offer a complete corridor approach and to offer - not only APUs - but all known technologies to save fuel and reduce diesel emissions. CSS operates in the States of Washington, Oregon and California with a primary focus on the Interstate 5 corridor.

Ms Sharon Banks created The Everybody Wins lease program, which coordinated a grant and a tax-credit with a lease-to-own contract to finance Auxiliary Power Units (APUs) to truck owners and fleets. The program resulted in 350 upgrades and annual fuel savings of over 700,000 gallons—along with associated emissions. These annual fuel savings continue as long as the equipment is on the road.

The success of Everybody Wins lease program motivated CSS to establish CSS outreach Centres which are strategically located with major truck stops. While the primary target of CSS outreach is the long-haul operator, the centers provide education and incentives for local fleets as well.

Disclaimer

Forward Looking Statements - The information contained herein regarding risks and uncertainties, which may differ materially from those set forth in these statements, in addition to the economic, competitive, governmental, technological and other factors, constitutes a 'forward-looking statement' within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995 and is subject to the safe harbors created thereby. While the company believes that the assumptions underlying such forward-looking information are reasonable, any of the assumptions could prove inaccurate and, therefore, there can be no assurance that the forward-looking information will prove to be accurate. Accordingly, there may be differences between the actual results and the predicted results, and actual results may be materially higher or lower than those indicated in the forward-looking information contained herein.

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