Astris Energi Reveals Fuel Cell Development Progress.

Business Editors/Energy Writers

MISSISSAUGA, Ontario, Canada--(BUSINESS WIRE)--March 10, 2000

A small high technology company based in Canada -- Astris Energi Inc. (ASRF) -- Friday revealed that it has achieved substantial progress in the development of commercially viable alkaline fuel cells as power sources for vehicles and other applications.

Guided by Jiri K. Nor, a pioneer developer of fuel cell technology, Astris has been quietly pursuing that goal for nearly 17 years and has devoted more than $12 million to the effort, part of which was supported by grants from the Canadian government.

Teams of scientists and engineers, both in Canada and in the Czech Republic, have made remarkable advances in the translation of fuel cell technology used in all manned space vehicles to efficient and economical power sources for industrial and commercial uses on the ground.

"We have been concentrating recently on one- to five-kilowatt systems suitable for golf carts, fork-lift trucks and similar vehicles," Nor said, adding that the company's Czech subsidiary has already completed and operated a 4 kW system.

"We are now entering the latter stages of this program and believe we will be able to demonstrate a viable fuel cell-powered golf car, as an example of our system's capabilities, within the next year," Nor commented.

Fuel cells are like batteries that never run down. Their basic fuel is hydrogen and oxygen from the air, and they operate without recharging as long as these fuels are supplied. They are non-polluting since the only product of operations is pure water. That's why they are ideal for supplying electricity and water in manned spacecraft.

Astris Energi some years ago chose the Alkaline Fuel Cell (AFC) technology for commercial development, Nor said, because of it significant advantages over the competing Polymer Electrolyte Membrane concept, especially in cost. Astris' "Energy Master" AFCs have been designed to use base metals or metal oxide plates while PEMs require expensive platinum.

The company's Czech subsidiary has years of experience in fabrication of these key system components, Nor added.

Fuel cell power generators can be used wherever power is not available from any electrical utility grid -- golf carts, forklifts, motorhomes and portable generators of all sizes. To speed preparations for entry into these vast markets, the company is considering an equity investment or a partnership with a substantial concern, Nor concluded.

NOTE: Any statements contained in this release that are not statements of fact may be considered "forward-looking statements," as that term is defined under federal security laws. Forward-looking statements are subject to risks, uncertainties and other factors, including, but not limited to, those described in Astris Energi's filings with the Securities and Exchange Commission.

Such forward-looking statements are only predictions and may differ materially from actual future events or results.