SOURCE: AlumiFuel Power Corporation

AlumiFuel Power Corporation

April 10, 2014 10:00 ET

NovoFuel and Genport to Analyze Requirements for Development of Optimized Renewable Energy System to Support Cannabis Cultivation

PHILADELPHIA, PA--(Marketwired - Apr 10, 2014) - Early production stage hydrogen generation company, NovoFuel, Inc. (NovoFuel), a wholly-owned subsidiary of AlumiFuel Power Corporation (OTCQB: AFPW), announced today that it is undertaking a detailed analysis in response to the enormous and rapidly expanding energy requirements of cannabis growers in the U.S. and Canada. (See AFPW news release of March 5, 2014). The analysis is aimed at determining an optimized renewable energy systems solution for cannabis cultivation in areas where medical marijuana is legalized. The analysis is being done in conjunction with Genport, srl of Italy, NovoFuel's renewable energy partner (see AFPW news release of December 19, 2013). The two companies believe they have all requisite technologies in-house to field a system responsive to the needs of cannabis growers, while solving resultant power problems of local utilities. At the present time, marijuana growing for medicinal purposes is legalized in 20 U.S. states, and there is pending legislation to follow suit in 13 other states. Two states, Washington and Colorado, have also legalized it for recreational purposes, and 13 other states are considering similar legislation. Marijuana growing is legalized throughout Canada. 

This has become a major growth industry, with billions of dollars expected to be expended over the next several years. Growers range from mom-and-pop operations to large greenhouse facilities. This rapid growth and energy intensive profile have triggered a serious problem regarding the use of local grid power to assure successful cultivation -- involving special lights, heat, air conditioning, dehumidifiers, driers and other ancillary equipment for indoor locations, and massive irrigation for outdoor operations. A typical one room indoor facility can use up to 10kW of power, which is a tremendous burden on the local power utilities; this situation has already caused power outages and brown-outs in certain Colorado municipalities. The most scholarly treatment of this issue is a report written by Evan Mills, PhD, of the University of California and the DOE: "Energy up in Smoke: The Carbon Footprint of Indoor Cannabis Production." (http://evan-mills.com/energy-associates/Indoor.html)

In response to this unusual set of circumstances, NovoFuel and Genport are conducting a funded analysis to determine the optimal configuration of renewable energy technologies and products to handle the power requirements of marijuana cultivation. The analysis will use sophisticated microgrid modeling tools to assess on and off-grid applications encompassing hydrogen fuel cells, large banks of lithium-ion batteries, solar and mini-wind power sources -- all integrated on a real-time basis by world-class energy management and control systems. Based on the study output, NovoFuel / Genport plan to develop a prototype "plug-and-play" system using NovoFuel / Genport products for installation and testing at a pre-determined location in the U.S. NovoFuel has established contacts in the marijuana growing industry and related electrical energy contractors in implementing this pilot program -- which has the potential to become the industry standard. NovoFuel / Genport expect to field a cost-effective solution with prices that are competitive with traditional fossil-fuel based power systems. 

The investment community has recognized the tremendous emerging opportunity to invest in technologies and products which will handle the burgeoning marijuana energy demands; reliance on renewable energy sources will eliminate harmful emissions, reduce the power load for local utilities, and lessen the need for foreign oil. Mr. David Cade, President of NovoFuel, said: "The cannabis growing arena represents an ideal application of the NovoFuel / Genport hybrid alternative energy technologies. This same solution can also be applied to the mining and farming industries."

About NovoFuel, Inc.
NovoFuel, Inc., a wholly owned operating subsidiary of AlumiFuel Power Corporation, is an early production stage alternative energy company that generates hydrogen gas and heat through the chemical reaction of aluminum, water, and proprietary additives. This technology is ideally suited for multiple applications requiring on-site, on-demand fuel sources, serving National Security and commercial customers. The Company's hydrogen generation feeds fuel cells for backup and portable power, provides lift gas for weather balloons, and can replace costly, hard-to-handle and high pressure K-Cylinders. Its hydrogen/heat output is also being designed and developed to power fuel cell-based and turbine-based undersea propulsion and auxiliary power systems. The Company has significant differentiators in performance, adaptability, safety and cost-effectiveness in its target market applications, with no external power required and no toxic chemicals or by-products.

Safe Harbor for Forward-looking Statements
This news release may contain forward-looking statements that are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. While these statements are made to convey to the public the company's progress, business opportunities and growth prospects, they are based on management's current beliefs and assumptions as to future events. However, since the company's operations and business prospects are always subject to risk and uncertainties, the forward-looking events and circumstances discussed in this news release might not occur, and actual results could differ materially from those described, anticipated or implied. For a more complete discussion of such risks and uncertainties, please refer to the company's filings with the Securities and Exchange Commission.

Contact Information

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