Trend to High Fidelity Simulators Continues in Fossil Power Plant Market; GSE Awarded Contracts Over $2.7 million in Value.

BALTIMORE -- GSE Systems, Inc. (GSE) (Amex:GVP), a leading global provider of real-time simulation and training solutions to the power, process, manufacturing and Government sectors, announced the award of multiple contracts for high fidelity fossil power plant simulators in its Asia Pacific and US markets. The value of the contracts, which will use GSE's JADE(TM) simulation tools, exceeds $2.7 million.

GSE's JADE(TM) (JAVA Advanced Development Environment) simulation software combines an easy to use graphical environment, with GSE's proprietary algorithms to automatically create sophisticated software models of plant fluid, electrical, logic and control systems. These models when coupled together closely replicate a plant's actual response. Because JADE(TM) is based upon JAVA technology, JADE(TM) is platform independent, allowing customers to use Microsoft Windows, LINUX or UNIX operating systems.

The Company received a contract from independent power producer Kapar Energy Ventures in Malaysia for the upgrade of its 500MW Coal Fired Simulator at the Sultan Salahuddin Abdul Aziz Power Plant. The simulator upgrade will now utilize GSE JADE(TM) based models to provide a more accurate simulation of the plant systems and processes.

In Korea, the Company received a contract to supply a JADE(TM) license, plant models, and services from Emerson Process Management Korea Ltd. Power & Water Solutions. The fossil fueled power plant project will utilize Emerson's Ovation control system and GSE's JADE(TM) models for validation of plant process and control logic design.

The Company also received a contract from Emerson Process Management Power and Water Systems, Inc. to build a high fidelity simulator for American Electric Power's (AEP) John E. Amos Unit 3 Power Plant. Amos is a supercritical 1300MW unit located in St. Albans, VW. AEP is installing a flue gas desulphurization system, which is a significant addition to the plant designed to reduce emissions, as well as upgrading existing control room instrumentation with Emerson's state of the art Ovation distributed control system.

Mr. John Moran, Chief Executive Officer for GSE, said "The Asia Pacific contracts represent clients with simulation experience who have previously used competitor technology. They selected GSE and our JADE(TM) technology because it matches the sophisticated modeling needs for these plants. This is consistent with the continued growth we see in the Asian market, particularly for high fidelity fossil plant simulation solutions."

"The Amos project represents the sixth fossil supercritical related simulator project received by our Company over the last two years. It is gratifying that GSE technology has been selected for these novel power plant designs where model accuracy is critical to engineering evaluations and operations training."

GSE Systems, Inc. provides training simulators and educational solutions. The company has over three decades of experience, over 265 installations, and 100 customers in more than 25 countries. Our software, hardware and integrated training solutions leverage proven technologies to deliver real-world business advantages to the energy, process, manufacturing and Government sectors worldwide. GSE Systems is headquartered in Baltimore, Maryland. Our global locations include offices in St. Mary's, Georgia, Sweden, and China. Information about GSE Systems is available via the Internet at http://www.gses.com.

This news release contains forward-looking statements that involve risks and uncertainties. We use words such as "expects", "intends" and "anticipates" to indicate forward looking statements. The actual future results of GSE Systems may differ materially due to a number of factors, including but not limited to, delays in introduction of products or enhancements, size and timing of individual orders, rapid technological changes, market acceptance of new products and competition. These and other factors are more fully discussed in the Company's annual report, and in statements filed with the Securities and Exchange Commission.

If any one or more of these expectations and assumptions proves incorrect, actual results will likely differ materially from those contemplated by the forward-looking statements. Even if all of the foregoing assumptions and expectations prove correct, actual results may still differ materially from those expressed in the forward-looking statements as a result of factors we may not anticipate or that may be beyond our control. While we cannot assess the future impact that any of these differences could have on our business, financial condition, results of operations and cash flows or the market price of shares of our common stock, the differences could be significant. We do not undertake to update any forward-looking statements made by us.