FuelCell Energy: Sale of power plant

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FuelCell Energy, Inc., a leading manufacturer of high efficiency, ultra-clean power plants using renewable and other fuels for commercial, industrial, government and utility customers, today announced the sale of a 300 kilowatt (kW) Direct FuelCell(r) (DFC(r)) power plant to improve the availability of reliable and environmentally friendly electricity for Barksdale Air Force Base (AFB) in Louisiana.

The DFC power plant was purchased by Concurrent Technologies Corporation (CTC), under contract with the United States Air Force Advanced Power Technology Office (APTO). CTC will provide research, design, development, testing, demonstration, and sustainment of the 300 kW carbonate fuel cell system at Barksdale AFB, Louisiana. The system is expected to be operational in early 2010.

The U.S. government is the largest electricity consumer in the world, with thousands of government buildings and military facilities in the U.S. and abroad. As the government continues to deploy ultra-clean, efficient DFC power plants, it will reduce its emissions and peak power requirements while increasing power reliability.

DFC fuel cell power plants generate power electrochemically, without combustion, producing near-zero air pollutants like NOX, SOX and particulate matter. FuelCell Energy's power plants generate baseload electricity 24/7 with 47 percent electrical efficiency, compared to 25 to 40 percent for combustion-based technology their size. When used in a combined heat and power application where the fuel cell's byproduct heat is being used for hot water or for space heating, DFC power plants can achieve up to 80 percent system efficiency. This efficiency results in significantly reduced CO2 emissions and lower power costs.

As a key Air Combat Command base, Barksdale has a pivotal role in the nation's deterrent force and serves as headquarters for the 2nd Bomb Wing, the oldest bomber wing in the Air Force. DFC power plants increase energy reliability and security because they operate locally independent of the grid. The DFC300 will support Barksdale's critical operations in emergencies such as blackouts, natural disasters, weather events and other threats to the grid. By supplementing the base's power grid with 24/7 baseload power, the DFC power plant increases the availability and reliability of Barksdale's power supply.

"DFC power plants are a high-efficiency, distributed power generation solution that meets Barksdale's high reliability and security requirements," said Bill Foster, Vice President Government Business Development for FuelCell Energy. "Installing a DFC power plant furthers the U.S. Department of Defense plan to increase energy efficiency and use more clean generation sources as set forth in the Energy Policy Act of 2005."

About FuelCell Energy

FuelCell Energy is the world leader in the development and production of stationary fuel cells for commercial, industrial, municipal and utility customers. FuelCell Energy's ultra-clean and high efficiency DFC(r) fuel cells are generating power at over 50 locations worldwide. The company's power plants have generated more than 275 million kWh of power using a variety of fuels including renewable wastewater gas, biogas from beer and food processing, as well as natural gas and other hydrocarbon fuels. FuelCell Energy has partnerships with major power plant developers and power companies around the world. The company also receives funding from the U.S. Department of Energy and other government agencies for the development of leading edge technologies such as fuel cells. For more information, please visit our website at www.fuelcellenergy.com.

About Concurrent Technologies Corporation

Concurrent Technologies Corporation (CTC) is an independent, nonprofit, applied scientific research and development professional services organization providing innovative management and technology-based solutions to government and industry. As a nonprofit 501(c)(3) organization, CTC's primary purpose and programs are to undertake applied scientific research and development activities that serve the public interest. For more information, visit www.ctc.com.

About Advanced Power Technology Office

The APTO was established by the United States Air Force to lead, manage and coordinate the USAF role in integrating advanced power and alternative-energy technologies into the USAF inventory of: ground vehicles, support equipment, Basic Expeditionary Airfield Resources (BEAR), fuel cell equipment, and base infrastructure. The APTO resides in the Warner Robins Air Logistics Center at Robins Air Force Base, Georgia. The goals of APTO are to provide increased capabilities and benefits to the warfighter; support the Air Force's environmental and energy policy requirements and reduce dependency on foreign energy sources by the insertion of advanced power technologies. For more information, visit www.robins.af.mil/units/apto.asp.

This news release contains forward-looking statements, including statements regarding the Company's plans and expectations regarding the continuing development and commercialization of its fuel cell technology. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Factors that could cause such a difference include, without limitation, general risks associated with product development, manufacturing, changes in the utility regulatory environment, potential volatility of energy prices, rapid technological change, competition, and the Company's ability to achieve its sales plans and cost reduction targets, as well as other risks set forth in the Company's filings with the Securities and Exchange Commission. The forward-looking statements contained herein speak only as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in the Company's expectations or any change in events, conditions or circumstances on which any such statement is based.

Direct FuelCell, DFC, DFC/T and FuelCell Energy, Inc. are all registered trademarks of FuelCell Energy, Inc. DFC-ERG is a trademark jointly owned by Enbridge, Inc. and FuelCell Energy, Inc.

Contact:
FuelCell Energy, Inc.
          Lisa Lettieri
          (203) 830-7494
          ir@fce.com

SOURCE: FuelCell Energy, Inc.
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