Sustainable Energy Technologies Ltd.

Sustainable Energy Technologies Ltd.

March 03, 2008 09:00 ET

Sustainable Energy Technologies: December 31, 2007- First Quarter Results- Corporate Update

CALGARY, ALBERTA--(Marketwire - March 3, 2008) - Sustainable Energy Technologies Ltd. (TSX VENTURE:STG), reported its financial and operating results for the first Quarter ending December 31, 2007 on Friday February 29, 2008.

The Financial Statements, Management Discussion and Analysis and Corporate update containing a more fulsome discussion can be found with the Company's public documents on SEDAR ( and at the Company's website ( under Investor/Financials/Fiscal 2008.

Following are highlights from these documents:


- During Q 1, Sustainable Energy completed the commissioning of a large 5+ Mw solar tracker project in Spain installing more than 1,200 units. This was the first high volume commercial production of our product and a key milestone in our business plan. Commissioning of the project enabled us to begin effectively marketing our SUNERGY inverter products in Spain and Greece. In December, we reached agreement with an electronics distributor with outlets in the major centers of Aragon and Navarra to market our products in those Provinces.

- Proposed changes to Spanish feed in tariffs to come into effect in October 2008 will shift investment for large land based projects like this to industrial rooftops. In this application, the low voltage parallel inverter offers performance advantages wherever there is the potential for partial shading or where building design considerations require shorter more flexible strings.

- The extra low voltage of the SUNERGY inverter also enables the solar PV array to obtain "SELV" classification under European building codes. SELV classification recognizes the inherent greater safety of the lower operating voltages and effectively treats the solar PV array like another building product instead of a power plant.

- Indications are that the proposed changes will also catalyze growth in the use of solar concentrator ("CPV") trackers for the large scale projects. Recent market feedback indicates that our inverter technology addresses critical performance issues associated with CPV systems and can materially increase total system efficiencies.

- In December we reached agreement with one of Spain's most important solar companies, and a world leader in CPV trackers, to supply SUNERGY inverters for field trials of their CPV trackers. The trials are scheduled to begin in March 2008. We have also agreed with two North American companies to conduct field trials early this year. By late spring we will be able to quantify and validate the value proposition for CPV technologies

- During this Quarter, we learned from two of the largest distributors in Spain that our SUNERGY inverter can address performance issues with certain thin film technologies. We have also received interest from a competitor in private labeling our product for thin film applications. We are currently in discussions with these distributors, and with a Japanese module manufacturer, to develop a low voltage parallel bundle for distribution into the industrial rooftop market.

- In October, we announced a marketing partnership with one of Greece's largest wind and solar power project developers. We have also since established working relationships with other project developers in Greece as well as with a leading solar PV module manufacturer to offer bundled products for Greece and other regional markets.

- Indications are that markets in Greece will pick up in the April/May time frame. Greek markets stalled during Q1 due to overbidding for the 40% capital grant progam, and the government has been working to develop a program which will fairly allocate the grants.

- First Quarter revenues of $561,365 are up from $327,919 in Q1, 2006. Product sales were impacted in part by an unexpected bias of solar tracker project developers for the lower nominal price point of very large central inverters operating multiple trackers instead of the superior performance of smaller inverters each operating a single tracker. This will not be the case with CPV trackers which require the precise power point tracking central inverters cannot provide.

- The operating loss (before interest taxes and amortization) for the period was $686,382 down from $783,791 from the previous year. We have maintained tight control on running costs and the average monthly burn, excluding inventory and capital expenditures is approximately $200,000. Cash and short term investments are $3,736,661 and inventory is $1,589,000. Working capital at December 31 2007 was $5,278,910.

About Sustainable Energy: Based in Calgary Alberta, Canada, Sustainable Energy ( designs, manufactures and distributes power inverters for distributed renewable and alternative energy applications. Power inverters convert and control the raw power output of renewable power generators (such as solar and small wind power systems) and energy storage systems (such as batteries and stationary fuel cells) to grid-quality power. We have successfully developed products for stationary fuel cells, small wind turbines and solar photovoltaic ("solar PV") systems. Our inverters are based on patented and proprietary technologies which have unique value for alternative and renewable energy systems.

Certain statements contained in this press release may be considered as forward-looking. Such forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from estimated or implied results.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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