KleenAir Systems Inc. Reviews CARB Trading Credit Certification Program

IRVINE, Calif.--Sept. 15, 2004--KleenAir Systems Inc. (OTCBB:KAIR) announced today that the California Air Resource Board (CARB) reviewed plans for Retrofit Verification of KleenAir's NOxMaster(TM) NOx Reduction System (SCR), including its Diesel Particulate Filter.

KleenAir received an Executive Order in April 2002, enabling it to sell its SCR system in California, as well as select other states. However, that certification procedure did not allow for the issuance of Emission Trading Credits to users of the systems. Such credits would contribute to offsetting the cost of the system.

"It was decided to wait for a Retrofit Verification program in order to qualify for credits. Testing protocols for this program have now been accepted by both CARB and the Environmental Protection Agency (EPA)," stated Lionel Simons, president of KleenAir Systems Inc.

During the meeting it was agreed that, under newly established arrangements governing the relationship between CARB and EPA, KleenAir Systems Inc. could complete its current EPA program application and have the results accepted by CARB for the purposes of acquiring emission credits in California.

KleenAir Systems Inc. recently announced that their U.K. affiliate recently signed a contract for a pre-IPO equity of $2.25 million with Hoodless Brennan, a London corporate broker and major fund-raiser active on the Alternative Investment Market (AIM). This agreement will be in effect shortly.

About KleenAir

KleenAir is at the cutting edge of automotive emission reduction technology including Selective Catalytic Reduction (SCR), Diesel Particulate Filters, Diesel Oxidizing Catalysts and advanced catalytic technology that significantly reduces nitrogen oxides, carbon monoxide, hydrocarbon and particulates. These pollutants have been shown to be a major contributor to heart and lung disease.

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