Thermal Energy International Inc.
TSX VENTURE : TMG

Thermal Energy International Inc.

March 28, 2006 07:00 ET

Thermal Energy to Design Project for Johnson Controls' Client in U.S.

OTTAWA, ONTARIO--(CCNMatthews - March 28, 2006) -

Attention business, energy, environment editors

Thermal Energy International Inc. (TSX VENTURE:TMG) is pleased to announce it has received an initial contract from Johnson Controls (NYSE:JCI) to conduct detailed engineering and design on a heat recovery project for a U.S.-based client.

This is Thermal Energy's first commercial project development work in the U.S. and also expands the company's offerings into non-FLU-ACE®-based heat recovery solutions. The proposed project is for an industrial facility that is the largest of its kind in world, located in the mid-western U.S.

"Thermal Energy has been working very diligently at breaking into new industrial and geographic markets, and to diversify our suite of products and solutions for clients," said Thermal Energy President and CEO Tim Angus. "We look forward to completing this design phase and potentially moving forward with the implementation of this project both with Johnson Controls and their world-class customer."

"We are also pleased to be expanding our working relationship with Johnson Controls into the U.S. with this contract," added Mr. Angus.

The detailed engineering and design work is expected to confirm an earlier preliminary study provided by Thermal Energy which projected a reduction in energy use of approximately 20 percent. This would result in significant cost savings and a considerable reduction in airborne emissions including greenhouse gases.

The successful confirmation of proposed project costs and savings through this paid engineering study would result in the signing of a substantial contract for Thermal Energy, pending review and approval of the proposed technical solution by Johnson Controls and its customer. This approach recently led to the successful signing of Thermal Energy's largest FLU-ACE® contract to date through Johnson Controls in the pulp and paper sector. The Company looks forward to providing further details about this project as they become available.

About Thermal Energy

Thermal Energy International Inc. is an innovative technology company providing custom energy and emission reduction solutions. Headquartered in Ottawa, Canada, TEI is a designer, developer, fabricator, and supplier of proprietary and patented energy conservation, renewable energy products, environmental compliance (air) and technology solutions. Thermal Energy is a fully accredited professional engineering firm, and offers advanced process and applications engineering services. FLU-ACE® and THERMALONOx™ are trademarks of Thermal Energy.

To find out more about Thermal Energy International Inc. (TSX VENTURE:TMG), visit our website at www.thermalenergy.com.

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