DynaMotive to Focus in Biofuels and Derivative Products Says Andrew Kingston, President and CEO, Intention to Divest its Metal Cleaning Subsidiary is Announced

    VANCOUVER, May 1 - DynaMotive Technologies Corporation
(OTCBB: DYMTF) announced today that it intends to focus exclusively in the
bioenergy field and in the development of BioOil derivative products and that
it intends to divest its Metal Cleaning Subsidiary, DynaPower, Inc.
(DynaPower). Furthermore, it announced that it has entered into a Letter of
Intent with DynaPower Management for a potential Management Buyout (MBO). The
Company intends to complete the divestiture by the third quarter this year.
The Company will retain intellectual property ownership (Patents) and will
continue to receive on-going royalties from its patents.
    Commenting on the decision, Andrew Kingston, President and Chief
Executive Officer of DynaMotive said, "While the Metal Cleaning Subsidiary has
progressed substantially over the past two years, the Company believes that
focusing its resources in the bioenergy field will provide better returns to
its shareholders. Through the divestiture of DynaPower, we will be able to
achieve the focus necessary to capitalize on our leadership position in the
pyrolysis field.
    The Company has recently acquired Border Biofuels Limited in the UK and
through this, gained access to significant contracts in Europe for power
generation with guaranteed power purchase arrangements under the UK's Non
Fossil Fuel Obligation. Additionally, it has entered into a Memorandum of
Understanding with Canadian Forest Products Ltd. to further develop commercial
applications for pyrolysis. Maximizing the value of these agreements and
increasing DynaMotive's power contract portfolio is clearly where the
Company's focus will be directed."

    DynaMotive Technologies Corporation is an energy systems company that is
a world leader in the development of technology to produce competitively
priced fuels from renewable and non-depleting biomass. As a clean fuel to
replace natural gas, diesel and other fossil fuels to produce power and heat
in industrial boilers, gas turbines and diesel engines, pyrolysis fuels
present significant market opportunities that DynaMotive intends to exploit
commercially. The Company and its partners are also engaged in research and
development on a range of derivative products that, if successful, could
potentially further enhance the market and value for BioOil as an alternative
fuel and product source.
    The Company's DynaPower division produces industrial metal cleaning
systems that eliminate the need for toxic chemicals traditionally used by the
wire manufacturing industry to clean their products. DynaPower systems have
now been sold in North and South America, Europe and Asia.

    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 as to the possible sale of DynaPower
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 delays in the possible sale of DynaPower, 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.