SOURCE: GreenMan Technologies Inc.

GreenMan Technologies Inc.

March 15, 2011 09:00 ET

GreenMan Subsidiary Wins Order for Dual Fuel Conversion of Six Oil Rig Diesel Generators for Two Leading Independent Oil and Gas Exploration Corporations

Introductory Order Opens Up the U.S. Well-Head Gas Market

LYNNFIELD, MA--(Marketwire - March 15, 2011) - GreenMan Technologies, Inc. (OTCQB: GMTI) announced that its American Power Group Inc. ("APG") subsidiary has won an order to convert six Caterpillar 3512 generators to operate using APG's dual fuel technology utilizing well-head gas and diesel. The order was booked through the domestic land drilling contractor of the two end customers. The dollar value of the order and the end customers were not disclosed for competitive reasons but a recent industry survey ranked the two independent oil and gas exploration corporations in the top 40 oil & gas companies in the United States with combined natural gas reserves of 5 trillion cubic feet equivalent (TCFE) and combined annual revenue of $3.5 billion. The conversions are scheduled to be completed in GreenMan's third fiscal quarter (June 2011).

APG's dual fuel system converts diesel engines and diesel generators to function more efficiently and at a lower operating cost (average net fuel cost savings of 30% - 40%) by seamlessly displacing 40%-70% of the normal diesel fuel consumption with CNG, LNG, well-head gas, or bio-methane. APG's system is non-invasive to the OEM engine and operates within all OEM performance controls with the flexibility to return to 100% diesel operation at any time. APG's dual fuel conversion and emissions reduction systems can help users achieve their sustainability goals through lower carbon monoxide, nitrogen oxide, and particulate matter emissions. In addition, the introduction of natural gas through APG's dual fuel system does not impact diesel engine power or pulling torque and will assist in extending the engine's oil life as natural gas is a cleaner burning fuel compared to diesel.

Lyle Jensen, GreenMan's President and Chief Executive Officer, stated, "We are excited to have won these two conversions which provide us with two high profile opportunities to introduce the oil and gas industry to the economic and environmental benefits of APG's dual fuel technology. At a time when global diesel prices continue to escalate, the ability for oil rig operators to utilize either inexpensive well-head gas or plentiful domestic natural gas as a supplemental fuel will be very welcome." Mr. Jensen added, "We are prepared to scale and support the huge oil rig market thoroughly and enthusiastically, especially at such a critical time for our country."

About GreenMan Technologies
GreenMan's two alternative energy subsidiaries, American Power Group, Inc. ("APG") and APG International, Inc. ("APGI") provide a cost-effective patented dual fuel conversion technology for diesel engines and diesel generators. APG's dual fuel technology is a unique non-invasive energy enhancement system that converts existing diesel engines into more efficient and environmentally friendly engines that have the flexibility to run on: 1) diesel fuel and compressed natural gas ("CNG"); 2) diesel fuel and liquid natural gas ("LNG"); 3) diesel fuel and well-head gas; and 4) diesel fuel and bio-methane with the flexibility to return to 100% diesel fuel operation depending on the circumstances. The proprietary technology seamlessly displaces 40% to 70% of the normal diesel fuel consumption and the energized fuel balance is maintained with a proprietary controller system ensuring the engines operate to Original Equipment Manufacturers' ("OEM") specified temperatures and pressures. Installation on a wide variety of engine models and end-market applications requires no engine modification unlike the more expensive high-pressure alternative fuel systems in the market. See additional information at: www.greenman.biz and www.americanpowergroupinc.com.

"Safe Harbor" Statement: Under the Private Securities Litigation Reform Act
With the exception of the historical information contained in this news release, the matters described herein contain "forward-looking" statements that involve risks and uncertainties that may individually or collectively impact the matters herein described, including but not limited to the fact that we have sold the tire recycling operations which have historically generated substantially all our revenue and that we will be prohibited from competing in that business on a regional basis until 2013; the risk that we may not be able to increase the revenue or improve the operating results of our Green Tech Products or American Power Group divisions; the risk that we may not be able to return to sustained profitability; the risk that we may not be able to secure additional funding necessary to grow our business, on acceptable terms or at all; the risk that if we have to sell securities in order to obtain financing, the rights of our current stockholders may be adversely affected; the risk that we may not be able to increase the demand for our products and services; the risk that we may not be able to adequately protect our intellectual property; and risks of possible adverse effects of economic, governmental, seasonal and/or other factors outside the control of the Company, which are detailed from time to time in the Company's SEC reports, including the Annual Report on Form 10-K for the fiscal year ended September 30, 2010. The Company disclaims any intent or obligation to update these "forward-looking" statements.

Contact Information

  • Contacts:
    Chuck Coppa
    CFO
    or
    Lyle Jensen
    CEO
    GreenMan Technologies, Inc.
    781-224-2411

    Investor Relations Contacts:
    John Nesbett or Jennifer Belodeau
    Institutional Marketing Services (IMS)
    203-972-9200