Astris Energi Successfully Tests New Hydrogen Production System on Its Fuel Cell.

Energy Editors/Business Editors

MISSISSAUGA, Ontario, Canada--(BUSINESS WIRE)--Sept. 17, 2003

Astris Energi Inc. (OTCBB: ASRNF), leading developers of alkaline fuel cells to provide electric energy for small vehicles, homes and businesses, reported today that it has successfully conducted a test in which one of its fuel cells was operated using the hydrogen fuel produced by a new and potentially low-cost process demonstrated by Alternate Energy Corp. (ARGY).

The process had previously been tested for purity and volume by an independent laboratory engaged by Alternate Energy, but the test at Astris was the first in which the hydrogen fuel production unit was directly linked to an operating fuel cell. The result was sufficiently encouraging to warrant additional testing, according to Astris executives.

Astris and Alternate Energy last month signed a Letter of Intent for a proposed joint venture which would combine these fuel cell and hydrogen technologies to produce and sell complete stationary electric power systems for the huge household and business markets.

Astris has been operating a golf car powered by its 2 kilowatt fuel cell for more than two years and in 2001 delivered its first 4 kilowatt system to provide electricity, heat, air conditioning and hot water for homes and small businesses. Availability of a low-cost source of hydrogen gas would obviously benefit both these programs, the company said.

Any statement in this release that is not a statement of fact may be considered a "forward-looking statement" as that term is defined under federal security laws. Forward-looking statements are only predictions and may differ materially from actual events or results.