DOE Awards $7.6 Million Grant to Waukesha Engine for Development of High Efficiency, Low Emissions Engines.

WAUKESHA, Wis. -- Waukesha Engine, a business unit of Dresser, Inc., has been awarded a $7.6 million grant from the U.S. Department of Energy (DOE) for a product development effort that will improve engine efficiency and further reduce emissions levels.

The grant is the continuation of the successful Waukesha Engine-DOE partnership that began in 2001 as part of the DOE's Advanced Reciprocating Engine Systems (ARES) program. The ARES program was created to encourage the development of large natural gas engines that operate with increased efficiency while meeting tight emissions requirements, maintaining current levels of reliability and durability and reducing ownership costs.

In the first phase of the ARES program, Waukesha developed its new APG(TM)1000 engine which is currently undergoing field testing and will be introduced at the Power Gen International Show in Las Vegas in December. The APG is intended for the world power generation market where it will be used to run generators that produce electricity.

"We met our thermal efficiency requirements for the first phase of the ARES program, achieving over 42 percent thermal efficiency," said Jim Drees, vice president of engineering for Waukesha. In Phase Two, the company's development efforts will be focused on attaining a goal of 47 percent thermal efficiency.

"The higher natural gas prices climb the more important practical technology like ARES becomes," Drees said. "Advanced technologies such as those designed into our new APG engine reduce fuel consumption and help to offset high fuel prices."

About Dresser, Inc.

Dresser, Inc. is a worldwide leader in the design, manufacture and marketing of highly engineered equipment and services sold primarily to customers in the flow control, measurement systems and compression and power systems segments of the energy industry. Headquartered in Dallas, Texas, Dresser has a comprehensive global presence, with more than 8,500 employees and a sales presence in more than 100 countries worldwide. The company's website is www.dresser.com.

About Waukesha Engine

Founded in Waukesha, Wis., in 1906, Waukesha Engine, a business unit of Dresser, Inc., is a manufacturer of spark-ignited, gaseous-fueled engines widely used in field gas compression, power generation and other mechanical drive applications. Waukesha Engine also packages Enginator(R) gen-sets and DC switchgear controls for the distributed generation market. Waukesha Engine's manufacturing and power systems facilities, located in Waukesha, are ISO 9001 certified. The company's website can be accessed at www.waukeshaengine.dresser.com.