SOURCE: O2Diesel Corporation

April 04, 2005 01:00 ET

The Financial Times and Kansas Corn Commission Join Forces to Help Reduce Harmful Diesel Emissions Through the CityHome™ National Clean Air Program

NEWARK, DE -- (MARKET WIRE) -- April 4, 2005 -- O2Diesel Corporation (AMEX: OTD) today announced the Financial Times unveiled the first in a series of newspaper advertisements to promote clean air through the use of O2Diesel™, an ethanol-diesel fuel blend, in municipal transit buses as part of its sponsorship of CityHome™, a national clean air initiative. (

CityHome launched Lincoln, NE, and Johnson County, Kansas City, KS, programs during March 2005. These initiatives involve partnerships between municipal transit systems, O2Diesel and corporate sponsors whose contributions help offset the program costs to the transit operators.

One of the world's leading business organizations, Financial Times' support for CityHome™ began last week through the first of several full-page ads that will extend through June 2005.

"CityHome is doing important, ground-breaking work for the betterment of our environment in our beloved cities throughout the United States. The FT is proud to be a sponsor of the CityHome initiative," said Elissa Tomasetti, VP of Marketing for Financial Times, Americas. The CityHome ad in Financial Times may be seen at

Confident that a new ethanol-blended fuel can improve air quality, the Kansas Corn Commission is a sponsor of Johnson County's CityHome Program to operate its bus fleet t on O2Diesel™, an ethanol-blended diesel.

"Johnson County is looking for ways to improve air quality, and this program is a step in the right direction," said Kansas Corn Commission Chairman Bob Timmons, Fredonia. "The CityHome O2Diesel™ program will go a long way in demonstrating the clean air qualities of ethanol. We're making this investment for ethanol and also for clean air in this metropolitan area."

The key to the CityHome program in Johnson County is O2Diesel's use of ethanol fuel made from corn grown on Kansas farms.

"Using diesel mixed with our corn-based ethanol in city bus transportation makes a lot of sense," Timmons said. "We know mass transit offers environmental benefits over the use of individual vehicles, and by using a cleaner-burning fuel, those benefits are even greater. This project will drive home the fact that ethanol-blended diesel can play an important role in providing cleaner air to this growing area."

The Kansas ethanol industry continues to grow with six plants producing 135 million gallons per year of the clean-burning, renewable fuel from about 50 million bushels of Kansas grains. A seventh plant, the 35 million gallon East Kansas Agri Energy plant at Garnett, is expected to begin production by mid-year.

More About O2Diesel: The Company and Its Fuel Technology.

O2Diesel Corporation (AMEX: OTD) is a pioneer in the commercial development of a cleaner-burning diesel fuel alternative that provides excellent performance and environmental benefits for centrally fueled fleets and off-road equipment of all kinds. Engineered and designed for universal application, O2Diesel™ is an ethanol-diesel blend treated with the company's proprietary soybean oil-derived stabilizing additive that substantially reduces harmful emissions without sacrificing power and performance. Extensive independent and government-recognized laboratory and in-use field tests have demonstrated the effectiveness of O2Diesel™ -- the introduction of this cost-effective, cleaner-burning diesel fuel is now underway in the United States and other global markets. For more information please refer to

Forward-Looking Statements

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding O2Diesel Corp's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year. "O2Diesel" and "CityHome" are trademarks of O2Diesel Corp.

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