AEC Reveals its First Hydrogen Production Demonstration Unit, the H2 1500-A1.

BURLINGTON, Ontario -- Alternate Energy Corporation (AEC) (OTCBB:ARGY) today announced that its first alpha-stage unit, the H2 1500-A1, was recently demonstrated before two separate multinational engine companies in the U.S. This mobile "road show" was set up on-site with each organization, to review AEC's small scale, on-demand Hydrogen Production technology and discuss business opportunities.

Blaine Froats, Chairman and C.E.O., said: "We are pleased with the initial reactions and reception that AEC received to our alpha stage Hydrogen Production demonstration unit and look forward to further detailed discussions. AEC is very excited about the many notable opportunities coming up over the next few months."

The company is on schedule with an accelerated product development timetable to take advantage of several opportunities with targeted organizations. These meetings are the beginning of a series of such meetings over the coming months, whereby Alternate Energy Corporation will be showcasing its hydrogen production technology to a long list of prospective commercial customers, potential licensees, select government and institutional contacts and other interested commercial parties. These groups have been pre-qualified as having a demonstrated need for clean, alternative power.

For more information about AEC and to view pictures of the H2 1500-A1 demonstration unit go to AEC's web site at: http://www.cleanwatts.com.

To view a picture of the H2 1500-A1 please click on the following link:

http://www2.ccnmatthews.com/database/fax/2000/argy0719.jpg

About Alternate Energy Corporation

Alternate Energy Corporation (AEC) is energizing the hydrogen economy. AEC is the first company to provide a hydrogen device that has mass-deployment economics and provides small-scale, on-demand distributed generation of electricity. AEC's patent pending discovery in metallurgy permits a small-scale unit to generate hydrogen from water through a "green" process at a competitive level to the fossil fuel kWh cost of energy. AEC believes its product can have a revolutionary impact on the energy industry.

Forward Looking Statements: Statements herein express management's beliefs and expectations regarding future performance and are forward-looking and involve risks and uncertainties, including, but not limited to, the ability to negotiate outstanding prior debts of acquired companies; properly identify acquisition partners; adequately perform due diligence; manage and integrate acquired businesses; react to quarterly fluctuations in results; raise working capital and secure other financing; respond to competition and rapidly changing technology; deal with market and stock price fluctuations; and other risks. These risks are and will be detailed, from time to time, in AEC's Securities and Exchange Commission filings, including Form 10-KSB 10-QSB and 8-K. Actual results may differ materially from management's expectations.

Alternate Energy Corporation (OTC Bulletin Board:ARGY)