Coates International, Ltd. Temporarily Places All Projects on Hold for Thirty Days, to Concentrate Its Efforts on Retrofitting Its Patented CSRV Technology into an Eighteen Wheeler Tractor Trailer.

WALL TOWNSHIP, N.J. -- Coates International, Ltd. (Coates) (OTCBB: COTE).

Coates International, Ltd. is pleased to announce that the Company is in talks with a number of companies in relation to licensing its patented CSRV Technology for applications of retrofitting engines in the heavy trucking industry. Eighteen-wheeler truck owners, fleet companies and some tractor trailer drivers have contacted the Company to inquire about retrofitting the Coates CSRV System to their trucks.

The U.S. heavy trucking industry is a vitally important element to the infrastructure, economy, and way of life in this vast country. If deterioration of this industry continues by increasing costs, every man, women and child in America could be affected in a most negative fashion.

Because of these potentials and the urgent demand for a remedy, management at Coates has decided to put all other projects on hold for thirty days, while staff concentrate its efforts on retrofitting the CSRV System to a heavy diesel truck engine and assembling it into an eighteen-wheeler tractor trailer.

* Truck drivers are losing their jobs.

* Tractor trailer fleet owners are expressing serious concerns about their company's ability to stay in business.

* Rising costs of diesel fuel and oil.

* Restraints put on them by changing EPA standards that lower the production of harmful emissions and particulates that are pumped into our atmosphere.

* Truck maintenance and servicing costs, plus loss of downtime.

* Fleet owners are being confronted by increasing costs associated with trucks which now get approximately 5 miles to the gallon as diesel fuel prices approach/exceed $5 per gallon.

* Drivers must spend at least 12 hours per day to make a day's pay.

* It appears that most people take this industry for granted and do not realize its vital importance.

* Nationwide the food we buy at our supermarkets is delivered by trucks to the rear doors of supermarkets so that consumers can leisurely walk around the aisles and pick goods off the shelves.

* Goods are delivered from shipping docks and railway depots to the door of their destination by truckers.

* Building materials, such as steel, lumber, bricks, mortar, etc., are delivered to sites all across the U.S. by heavy trucks.

* Fuel oil, gasoline, and propane are delivered to stations and depots throughout the country by heavy trucks.

* For the most part, pleas of truck fleet owners and drivers have been ignored by Washington and State Governments. They do not get perks or tax breaks and now are being penalized for their trucks' engines not meeting these standards. They only buy and use these trucks. They are not responsible for the design of the engines.

There are 107,943,782 heavy trucks registered on the roads in the U.S.A. yearly. Heavy truck business is a multi-billion dollar industry. Coates' management believes that the retrofitting of the Coates CSRV System and heads to these truck engines is one of the most lucrative licensing, franchising and manufacturing opportunities our Company has, and that is the reason for the change of plans.

Mr. George J. Coates, President and CEO of Coates International, Ltd. added the comment that, "When we retrofit the CSRV System and heads to these heavy truck engines, we remove more than 2,000 parts, including the pressurized oil supplied from the sump and replace all of those parts with only 2 moving CSRV shafts and 12 floating seals. The CSRV System can be assembled in approximately two hours. Retrofitting heavy trucks will open up many other opportunities of retrofitting, i.e. buses, off road machinery, marine applications, and many more. I believe this will be the way forward for our Company and its patented CSRV System."

For more information and pictures of our heavy truck progress which will be posted soon, please go to the Coates News website: www.mostadvancedengine.com.

About Coates International, Ltd.: Coates has recently completed development of its patented spherical rotary valve CSRV Industrial Internal Combustion Engine developed over a period of more than 6 years and other CSRV applications over 10 years. The underlying CSRV technology was invented by George J. Coates and his son Gregory. The CSRV system is adaptable to combustion engines of many types. This technology is currently adapted to a number of practical applications including industrial generators powered by engines incorporating the CSRV technology and designed to run on flare-off gas from oil wells, landfill gas and raw natural gas. The company is actively engaged in planning for production and rollout of these engines.

This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. By their nature, forward-looking statements and forecasts involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the near future. There are a number of factors that could cause actual results and developments to differ materially from forecasted results. These risks and uncertainties include market conditions, regulatory approvals, and other risks inherent in our operations. For a discussion of these risks and uncertainties, please see our filings with the Securities and Exchange Commission. Our public filings with the SEC may be viewed and printed on the website maintained by the SEC at http://www.sec.gov.