Plasma Environmental Technologies Inc.

Plasma Environmental Technologies Inc.

February 24, 2005 10:20 ET

Plasma Environmental Technologies Inc.: Tests Planned for Fuel Cells Powered by Hydrogen Produced From Industrial Waste


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: PLASMA ENVIRONMENTAL TECHNOLOGIES INC.

TSX VENTURE SYMBOL: PE

FEBRUARY 24, 2005 - 10:20 ET

Plasma Environmental Technologies Inc.: Tests Planned
for Fuel Cells Powered by Hydrogen Produced From
Industrial Waste

TORONTO, ONTARIO--(CCNMatthews - Feb. 24, 2005) - Plasma Environmental
Technologies Inc. (TSX VENTURE:PE)

Plasma Environmental and Astris Energi Inc. Agree to Pursue Technology
Partnership

Plasma Environmental Technologies Inc. (PET), a Canadian company that
turns waste into clean energy and Astris Energi Inc. (OTC Bulletin Board
- ASRNF) a company that produces hydrogen powered alkaline fuel cells,
are teaming up to pursue opportunities to employ the hydrogen produced
from PET's waste-processing technology for use in Astris' hydrogen fuel
cell systems.

Plasma's "Plasma Assisted Gasifier" (PAG) process is a unique
cogeneration system that safely and effectively converts solid organic
waste into energy, a technology co-owned by Kinectrics Inc. The PAG
utilizes the plasma gasification of waste materials with significant
inherent BTU values to produce a high value fuel gas which is rich in
Hydrogen. Waste (feedstock) that may be converted into hydrogen by the
PAG includes sorted municipal solid waste (MSW) with a high BTU value,
agricultural waste, de-watered sludges, and chipped tires. The energy
produced can either be sold, or used internally to supplement the site's
electricity costs. This form of distributed, alternative energy is a
rapidly growing niche market.

Astris Energi Inc. (www.astris.ca) is based in Mississauga, Ontario.
Astris is a research and development company which designs and develops
hydrogen fuelled electric power generating systems based on alkaline
fuel cell ("AFC") technology for use in stationary, portable and
transportation applications.

The Teaming Agreement with Astris is in three stages. The first stage
will determine the suitability of the hydrogen gas produced in the PAG
waste destruction process for use in Astris' hydrogen fuel cell systems.
Upon completion of Stage 1, Stage 2 will lead to the selection of a PAG
installation site for a demonstration/pilot project to further evaluate
the performance of the PAG produced hydrogen in Astris' fuel cell
systems. Finally, Stage 3 will lead to the commercialization of the PAG
waste-destruction and hydrogen generating process and the Astris' fuel
cell applications.

The integration of PET's PAG and Astris' hydrogen fuel cell systems has
many applications and tremendous commercial potential. This integration
represents the ability to safely and economically divert certain wastes
from landfills and convert them into a clean fuel that is
environmentally-friendly.

"This Teaming Agreement with Astris symbolizes both PET's and Astris'
commitment to the environment. We are very excited about the possible
convergence of our two technologies and the fantastic opportunities that
could develop. Not only is this a significant milestone for our Company,
but we also feel this is a significant milestone for modern society and
the environment as a whole", said John Wright, President of PET.
"Imagine being able to convert certain wastes into a safe and clean
energy that can power fuel cells. There is a growing need for
environmentally safe methods of waste disposal along with the ability to
produce alternative and clean energy. To say the least, we are thrilled
to be working with Astris on this endeavour."

"Hydrogen distribution is currently a large component of the total fuel
cost for our fuel cell systems, directly impacting operations costs."
said Peter Nor, VP marketing and Corporate Development of Astris Energi.
"The PAG installation could supply hydrogen where it is needed. The
waste stream produced at a manufacturing plant, for example could be
used to produce fuel for special purpose vehicles powered by alkaline
fuel cells, such as fork-lift trucks and golf cars. This Agreement with
PET has the potential to develop significant new revenue streams for
Astris."

Plasma Environmental Technologies Inc. is a Canadian public company that
trades on the TSX Venture Exchange (symbol: PE). PET develops and
markets plasma-based systems for the safe and cost-effective destruction
of hazardous and non-hazardous wastes. Plasma technology is a thermal,
non-incineration process that converts targeted solid wastes into energy
(hydrogen and electricity)

Astris Energi Inc. is a late-stage development company committed to
becoming the leading provider of affordable fuel cells and fuel cell
generators internationally. Over the past 21 years, more than $17
million has been spent to develop Astris' alkaline fuel cell for
commercial applications. Astris is commencing pilot production of its
POWERSTACK™ MC250 technology in 2005. Astris is the only publicly
traded company in North America focused exclusively on the alkaline fuel
cell. Additional information is also available at the company's website
at www.astris.ca.

Kinectrics, formerly a division of Ontario Hydro, is now an independent
company formed to help the North American energy sector improve business
performance through science and engineering. Based in Toronto,
Kinectrics applies its expertise to generation, transmission,
distribution, and industrial energy services. Kinectrics is also
internationally renowned in the field of environmental engineering,
including applications of plasma arc technology. www.kinectrics.com

Forward-Looking Statements

Any statements in this release that are not statements of fact may be
considered "forward looking statements" as that term is defined under
securities laws in the United States and Canada. Forward-looking
statements are only predictions and may differ materially from actual
events or results.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Plasma Environmental Technologies Inc.
    Alex Falconer
    (905) 332-9693
    (905) 332-9792 (FAX)
    falconer@plasmaenvironmental.com
    www.plasmaenvironmental.com
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.