Fuel-Tech N.V. Acquires Martin Marietta's Fuel Treatment Chemical Business; Signs Long-Term Supply Agreement for FUEL CHEM Business.

Energy Editors/Business Editors

STAMFORD, Conn.--(BUSINESS WIRE)--Oct. 1, 2003

Fuel-Tech N.V. (Nasdaq: FTEK) today announced that its subsidiary, Fuel Tech, Inc. (Fuel Tech), has acquired the fuel additive business of Martin Marietta Magnesia Specialties, LLC (MMMS), a subsidiary of Martin Marietta Materials, Inc. (NYSE: MLM) and the leading U.S. producer of magnesia-based chemical products. In addition, Fuel Tech has signed a long-term supply agreement with MMMS for chemicals used in the Company's FUEL CHEM(R) business, which, through its patented Targeted In-Furnace Injection (TIFI) technology, controls boiler slagging, corrosion and opacity problems. The terms of the transaction were not disclosed.

Steven C. Argabright, President and Chief Operating Officer of Fuel Tech, commented, "We are extremely pleased to be acquiring a fuel treatment chemical business from a company of this caliber. It provides an excellent strategic fit and will allow us to leverage our technology with Martin Marietta Magnesia Specialties' customer base, while providing us with new contacts and market intelligence. In addition, a long-term chemical supply contract was signed with MMMS to ensure that our customers receive the highest-quality chemical products."

John R. Harman, Vice President and General Manager at MMMS, commented, "Given Fuel Tech's reputation, we are comfortable having our former customers work with them, and believe they will benefit from Fuel Tech's proprietary technology."

Mr. Argabright added, "We continue to be excited about the growth opportunities in our FUEL CHEM business. As we said on our last conference call, we have seen more market activity here in the last four months than we have in the last year. Our recent announcement of the successful application at Western Farmers' HUGO Station combined with our strategic agreement with Peabody Energy, the world's largest coal company, facilitates our further penetration in this market. We expect significant additional business to be gained during the next six to eight months, which will give us the recognition and critical mass we need to move forward."

About Fuel-Tech N.V.

Fuel-Tech N.V. is a leading technology company engaged in the worldwide development, commercialization and application of state-of-the-art proprietary technologies for air pollution control, process optimization, and advanced engineering services. The Company's NOx reduction processes, which include the NOxOUT(R), NOxOUT CASCADE(R), NOxOUT ULTRA(R), Rich Reagent Injection (RRI) and NOxOUT SCR(R) technologies, have established Fuel-Tech N.V. as a leader in post-combustion NOx control systems, which are installed on over 300 units worldwide.

New technologies that have grown out of the core NOx reduction business form the basis of the FUEL CHEM(R) and ACUITIV(TM) businesses. FUEL CHEM technology centers around the unique application of chemicals to improve the performance of combustion units while the Company's ACUITIV business includes high-end visualization software that was developed as part of Fuel Tech's sophisticated Computational Fluid Dynamics (CFD) modeling techniques utilized to predict the behavior of industrial processes. The Company's FUEL CHEM products are being applied to over 80 combustion units burning a variety of fuels. For more information, visit Fuel-Tech N.V.'s web site at www.fueltechnv.com.

This press release contains statements of a forward-looking nature regarding future events. These statements are only predictions and actual events may differ materially. Please refer to documents that Fuel Tech files from time to time with the Securities and Exchange Commission for a discussion of certain factors that could cause actual results to differ materially from those contained in the forward-looking statements.