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DynaMotive Technologies Signs Agreement with Genergy plc to Test Clean Fuel

6 June 2000

Test on Solar's Turbines as a Clean Fuel to Generate Power

    SEVILLE, Spain, - DynaMotive Technologies Corporation announced today that 
it has signed an agreement with Genergy to test DynaMotive's BioOil as a clean 
fuel to generate ``green'' power. The fuel will be tested in the Solar Taurus 60
unit which is marketed by Genergy under licence, within their Dale Gas Power 
turbine range. This testing program is significant as it will further expand the
gas turbine market for potential users of BioOil fuels. The announcement was 
made at the 1st World Conference and Exhibition on Biomass for Energy and 
Industry taking place in Seville, Spain from June 5-9, 2000.

    The test program between DynaMotive and Genergy involves a series of
combustion and turbine tests to ascertain the suitability of BioOil as a
liquid fuel to be used in the Taurus gas turbine and to determine key aspects
of engine performance and emissions profile. The testing, which is being
coordinated by Genergy of the UK, will be conducted at the Solar facility in
San Diego, California.

    ``We are very pleased to be collaborating with Genergy and Solar
Turbines,'' said Antony Robson, Managing Director of DynaMotive Europe
Limited. ``This builds on our strategy of validating BioOil on an increasing
range of power generation equipment and will ultimately provide customers with
more flexibility in their selection of BioOil-fueled systems.

    ``Solar are recognized as industry leaders in adapting their turbine
technology to a range of fuel applications and developing turbines with very
low exhaust emissions. Our agreement with Genergy will enable us to
demonstrate the commercial value of clean burning BioOil fuel in their gas
turbines and accelerate our commercialization program in conjunction with a
highly respected industry leader.''

    Genergy Managing Director, Richard Nutton, said, ``DynaMotive has proven
its capability to consistently produce high quality BioOil, a liquid fuel
which is clean burning, greenhouse gas neutral and made from renewable organic
waste materials. We look forward to working with DynaMotive to test their
fuels in our gas turbines. Successful completion of these tests may provide
the opportunity to further position ourselves in a large and growing renewable
energy market worldwide.''

    A wholly owned subsidiary of TT Group, Genergy have been packaging gas
turbines for thirty years under their Dale brand and Solar Turbines for over
twenty years for use in cogeneration schemes or in static and mobile standby
power applications. They are also the only UK packager of Solar Turbines.

    Solar Turbines, a wholly owned subsidiary of Caterpillar Inc., is the
world leader in industrial turbines in the 1-15 megawatt (MW) capacity. Solar
has sold more than 10,000 gas turbine systems for industrial power generation,
marine propulsion applications, and oil and gas production and transmission.
Solar have also pioneered the development of SoLoNOx turbines to reduce
exhaust emissions and allow customers to comply with newer, more stringent
regulations.

    Headquartered in Peoria, Illinois, Caterpillar Inc. is the
world's largest manufacturer of construction and mining equipment, diesel and
natural gas engines and industrial gas turbines. As a Fortune 500 company,
Caterpillar Inc. operates in nearly 200 countries and has more than $25
billion in assets.

    DynaMotive is a world leader in the development of technology to produce
BioOil clean fuels for power generation in gas turbines, diesel engines and
boilers. BioOil is produced using a technology that converts low value forest
and agricultural wastes into a liquid fuel. Unlike fossil fuels, BioOil is
clean burning, low in SOx and NOx emissions, greenhouse gas neutral and can be
produced economically from renewable biomass waste materials. The Company's
pilot plant in Vancouver, BC produces BioOil which is used for engine testing
and research and development. DynaMotive is scaling up to commercial BioOil
production units over the next two years.

    Forward Looking Statement

    Statements in this news release concerning the company's business outlook
or future economic performance; anticipated profitability, revenues, expenses,
or other financial items; and statements concerning assumptions made or
expectations as to any future events, conditions, performance or other
matters, are ``forward-looking statements'' as that term is defined under the
Federal Securities Laws.

    Forward-looking statements are subject to risks, uncertainties and other
factors which could cause actual results to differ materially from those
stored in such statements. Such risks, uncertainties and factors include, but
are not limited to, changes and delays in product development plans and
schedules, customer acceptance of new products, changes in pricing or other
actions by competitors, patents owned by the Company and its competitors, and
general economic conditions, as well as other risks detailed in the Company's
filings with the Securities and Exchange Commission.