He's Back! Cold Fusion Pioneer Dr. Martin Fleischmann Joins D2Fusion Engineering Team to Deliver Long Awaited Energy Devices to the World.

SAN FRANCISCO -- On the 17th anniversary of Dr. Martin Fleischmann's first public revelation of room temperature, non-radioactive nuclear fusion, D2Fusion, Inc. is proud to announce Dr. Fleischmann's agreement to serve as its senior scientific advisor. D2Fusion, a California-based solid state fusion energy firm with engineering centers in Silicon Valley and Los Alamos, New Mexico, is a subsidiary of Solar Energy Limited (OTCBB:SLRE). The company will employ Dr. Fleischmann's experience and expertise to produce prototypes of solid state fusion heating modules for homes and industry.

In brief, "cold fusion" involves the fusion of two nuclei of deuterium or heavy hydrogen into a single helium atom accompanied only by a burst of heat. Unlike "thermonuclear hot fusion" that requires the plasma-inducing inferno of the sun or a hydrogen bomb, solid state fusion reactions can be produced at normal temperatures in certain hydrogen-loving metals without unleashing hot fusion's dangerous radiation. Many experimental reports suggest the importance of nanoscale reaction sites and the occurrence of coherent quantum electrodynamic (QED) states that circumvent the strong mutual repulsion of positively charged deuterium nuclei. The QED features are markedly similar to processes now familiar in solid state physics, such as superconductivity, and have led the company to conclude that "solid state fusion" is a more accurate and fruitful characterization of the field.

Before Professor Fleischmann's historic work at Utah University with his associate Dr. Stanley Pons, he taught electrochemistry at Britain's MIT, the University of Southampton; was named a Fellow of the Royal Society; and served as Council president of the International Society of Electrochemistry. Initially inspired by Alfred Coehn's groundbreaking work on proton conduction in the late 1920s, Dr. Fleischmann labored privately and tirelessly in the early eighties to deepen his understanding of quantum electrodynamics, which he came to see should allow low temperature coherent fusion phenomena. After his demonstration of this effect in Utah and the March '89 announcement, he continued his QED work in France funded by Toyota's research and development institute and subsequently in Italy with the support of several prestigious Italian energy labs. At D2Fusion Prof. Fleischmann will work in conjunction with Dr. Thomas Passell, the firm's CTO and a former manager in the Electric Power Research Institute's Nuclear Power Division, who directed the North American power industry's investigations of "cold fusion" phenomena for five years. Fleischmann will also aid and consult with top Los Alamos physicists at D2Fusion's New Mexico R&D laboratory.

D2Fusion CEO Russ George notes, "Dr. Fleischmann's genius inspired a generation of audacious researchers and there are now thousands of scientific reports confirming the reality, safety and stunning promise of solid state fusion energy. Aided by his insight and most recent discoveries, we believe it is time to start delivering that potential to the world.

"True, our theoretical grasp of all the processes in play remains imperfect, but neither can we fully explain the workings of aspirin, acupuncture or high temperature superconductivity. Unresolved questions about their mechanisms have not stopped us from enjoying their respective benefits, which are pale indeed compared to what solid state fusion offers. We are now certain that heat generation from this process is copious, safe, inexpensive and reproducible, and in terms of commercialization that seems like a perfect place to start."

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A number of assertions in this press release may be considered to be forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Act of 1995. These forward-looking statements involve a number of risks and uncertainties, including timely development, and market acceptance of products and technologies, competitive market conditions, and the ability to secure additional sources of financing. The actual results Solar Energy Limited may achieve could differ materially from any forward-looking statements due to such risks and uncertainties.