Digital Energy & Farming Announced that KEMA, Inc. to Assist Newly Formed Energy Savings & Security LLC in Marketing Breakthrough HVAC Controller.

Business & Energy Editors

NEW YORK--(BUSINESS WIRE)--April 29, 2004

Digital Gas, Inc. (OTC Pink Sheets:DIGG) -- Digital Energy & Farming announced that KEMA, Inc. has agreed to assist Energy Savings & Security LLC, a newly organized subsidiary, in marketing the first HVAC Controller designed to provide significant energy savings and enhance national security by preventing the occurrence of brownouts and blackouts.

KEMA, an international consulting firm providing technical and management consulting, testing, inspections, certification, and training services to more than 500 electric industry clients in 70 countries, has a superlative record of assisting governmental and regulatory agencies, utilities and customers in reorganizing the worldwide electricity industry.

KEMA will enhance Energy Savings & Security's marketing program to utilities and retailers through product packaging design, preparation of marketing materials and messaging and by identifying utilities with high potential for purchase of the products in large quantities. Its unmatched technical expertise and in-depth understanding of the energy industry, has helped clients throughout the world to address the challenges and to capitalize on the opportunities of restructuring and liberalization. Their expertise covers the complete spectrum of activities in this area, ranging from national energy policy and industry restructuring to detailed strategic and analytical assistance. Headquartered in Arnhem, the Netherlands with subsidiaries and offices worldwide, KEMA employs more than 1,500 full-time professionals and leading experts in many facets of the energy utility industry.

Rusi F. Patel, Vice President of KEMA will coordinate the consulting services to Energy Savings & Security. Within KEMA, Mr. Patel is in charge of a specialized management consulting group focusing on the energy and environmental industries. Formerly President of EFI, Inc., which was sold to Xenergy after he contributed significantly to the company's growth and exit strategy, Mr. Patel focused on the commercialization of emerging technologies, distributed generation, feasibility of fuel cell power, demand response and electric load and price forecasting. While at PHB Hagler Bailly, of Boston, MA, he was a Senior Member, Retail Strategy Practice. While at Arthur D. Little Inc., of Cambridge, MA, he was Group Leader, Energy and Utilities Practice.

Patel's team will review testing conducted by Oak Ridge National Laboratory and Phillips Consumer Electronics. They will also track and review a proposed 10,000 unit test that would be conducted in government, office and residential buildings in a major US city. Although the prior tests and reports on the HVAC Controller clearly establish the efficacy of the product, the company anticipates that additional testing will only accelerate its sell-in to these markets.

Energy Savings & Security is pleased to report that it has been in negotiations with an experienced lending firm for the provision of two billion dollars in purchase order lines of credit for the HVAC controller over a two-year period. The funding request was based on conservative in-house projections of market share. As a result, the company has received a pre-qualified written offer to finance all of its potential purchase order requests. The financing, which would be by one or more of the largest providers of purchase order financing, would allow Energy Savings & Security to finance in excess of the above sales figure, in the event that the product is accepted widely by the utility industry and end users. If Energy Savings & Security accepts this offer, the financing would be conditional on a successful review of a final due diligence package that would include a description of the product, the installation process as well as information on the company its commercialization plan. Management is confident that this process will be successfully concluded.

Energy Savings & Security has assembled an excellent management and consulting team drawn from leading energy, finance, commercial and professional firms, as well as from government service and technical labs.

Based on its belief that both utilities and consumers should embrace this product as soon as possible to strengthen the functioning of the grid, Energy Savings & Security has already prepared itself for a rapid sell-in. In addition to moving to secure multi-billion dollar lines of credit to finance large purchase orders, company representatives are negotiating with major international insurers to provide incentive programs for both utilities and consumers and are likewise holding discussions with major international leasing firms to provide programs to facilitate purchase.

Most significantly in the aforementioned regard, the company has decided to establish pricing that will allow for a two-year payback of the cost of the product.

Energy Savings & Security was formed as a limited liability corporation to facilitate direct investment in the company by strategic partners.

Digital Gas is committed to developing clean gas, electricity and food in the US in order to provide its shareholders with high yield and high growth in a safe and secure part of the world, the heartland of the US.

For further information: call Brian Smith [phone] or email [e-mail]. For inquiries from the utility industry or potential strategic partners: call Rusi F. Patel [phone], Ext 217.