Press Release

Ergenics Announces Advanced Electric Vehicle Battery

10/23/96

Demonstrates Advanced Electric Vehicle Battery

RINGWOOD, N.J., Oct. 21 -- Ergenics announced today that
it has achieved a major milestone in its rechargeable battery
development program with the demonstration of its first Hy-Stor(TM)
multi-cell bipolar advanced battery for electric vehicles. The
outstanding performance of the Hy-Stor battery is made possible by
coupling the established know-how of high energy storage density of
metal hydrides with the unmatched high cycle life capabilities of
nickel-hydrogen batteries, which have been used successfully in
orbiting satellites for over two decades.

The Hy-Stor battery offers safety, performance and economic advantages
over lead-acid, nickel cadmium and nickel metal hydride
batteries. Ergenics is initially targeting its application to the
market for electric and hybrid electric vehicles, where it provides
much longer cycle life, much greater range between charge cycles, a
greater temperature range of operation and substantial cost
efficiencies.

Unlike space batteries, which store their required hydrogen in
pressurized containers, the Hy-Stor battery stores its hydrogen, in
even higher densities, in a chemical bond with powdered metal at
ambient temperatures and ambient, or slightly lower, pressures,
thereby eliminating the safety hazards associated with highly
pressurized gas tanks, etc. Furthermore, the manufacture of the
Hy-Stor battery is a very "clean" process, as is its subsequent
operation. Since it involves no heavy metals or toxic substances, it
is environmentally friendly.

The Hy-Stor battery will provide an electric vehicle with more than
double than the range between recharges of currently available lead
acid batteries and 20% greater range than nickel metal hydride
batteries, at equivalent levels of acceleration performance. At the
same time, the Hy-Stor battery will retain its stored energy when not
in use, i.e., it will not "self discharge" as happens with other types
of batteries when idle, and will last far longer, longer than the
average life of an automobile today, due to its extraordinarily high
cycle life.  Hence, its overall economics should prove most
compelling.

Ergenics, believes that, eventually, the hybrid electric vehicle will
prove to be the most popular and, indeed, effective means of achieving
energy saving and pollution control objectives. It will have a base
load, highly efficient internal combustion engine, and use a battery
for purposes of acceleration and to store power from regenerative
braking. In that case, the Hy-Stor battery should prove an ideal
application with its life of 2,000 cycles at 100% discharge, 100,000
cycles at 15% discharge and high power pulse capacity.

Ergenics' Vice President for Research & Development, Mark Golben,
comments, "This milestone is the final step leading us to fabrication
of a full size electric vehicle battery." With cutting edge innovative
technology, Ergenics has been granted over 25 U.S. patents and
corresponding foreign patents. Privately owned, Ergenics, Inc., with
its headquarters and principal manufacturing operation in northern New
Jersey, is a world leader in the development and commercialization of
metal hydride technology.