Millennium Cell Completes Initial Testing Of Hydrogen On Demand For Automotive Applications

    EATONTOWN, N.J.--May 3, 2001--Millennium Cell announced today that initial testing of the Millennium Cell Hydrogen on Demand(TM) system for automotive applications has been successfully completed.
    A series of key objectives were established, identifying the necessary purity, pressure and rate for the stream of hydrogen produced by Hydrogen on Demand(TM) technology. All objectives to date have been met, and cooperation between Millennium Cell and DaimlerChrysler continues to further customize the Hydrogen on Demand(TM) system for automotive applications.
    In May 2000, Millennium Cell and DaimlerChrysler signed a proprietary rights agreement in which the automaker agreed to test the Hydrogen on Demand(TM) system developed by Millennium Cell. Since that time, Millennium Cell has designed, built, and operated a series of test stands to demonstrate the hydrogen generation system under conditions that emulate DaimlerChrysler's performance requirements.
    Millennium Cell is a development-stage company that has created a proprietary technology to safely store and generate hydrogen, as a clean and abundant energy source.
    "DaimlerChrysler is a leader in the automotive industry in seriously exploring alternatives to fossil fuels," said Rex Luzader, Millennium Cell Vice President for Business Development, Transportation. "We are very pleased to be working with them and pleased to announce that our program is proceeding on schedule and with positive results."
    Millennium Cell has invented and developed a proprietary process called Hydrogen on Demand(TM) that safely generates pure hydrogen or electricity from environmentally friendly raw materials. In the process, the energy potential of hydrogen is carried in the chemical bonds of sodium borohydride, which in the presence of a particular catalyst either releases hydrogen or produces electricity. The primary input components of the reaction are water and sodium borohydride, a derivative of borax. Borax is found in substantial natural reserves globally. The process supplies pure hydrogen for energy applications without the need for compression or liquefaction. Hydrogen from this system can be used to power fuel cells, as well as fed directly to internal combustion engines.
    For more information on Millennium Cell, visit www.millenniumcell.com or call 732-542-4000.
    This press release may include statements which are not historical facts and are considered "forward-looking" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect Millennium Cell's current views about future events and financial performance. These forward-looking statements are identified by their use of terms and phrases such as "believe," "expect," "plan," "anticipate" and similar expressions identifying forward-looking statements. Investors should not rely on forward-looking statements because they are subject to a variety of risks, uncertainties and other factors that could cause actual results to differ materially from Millennium Cell's expectations, and Millennium Cell expressly does not undertake any duty to update forward-looking statements. These factors include, but are not limited to, the following: (i) the cost and timing of development and market acceptance of Millennium Cell's fuel cell systems, (ii) competitive factors, such as price competition and new product introductions, (iii) the cost and availability of products, (iv) the cost of complying with current governmental regulations, and (v) other factors detailed from time to time in Millennium Cell's filings with the Securities and Exchange Commission.