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Southern States Power Co. Generators Installed And Ready For Backup Standby Power Project

    ONTARIO, Calif.--July 21, 2001--Southern States Power Company, Inc. (OTCBB:SSPC) announced Saturday that the three 2-megawatt generators that are capable of delivering a total of 6 megawatts of biofueled standby backup electrical power to the University of California Riverside are in place, and have successfully completed start-up and testing procedures. The testing of these units has proven their capability to provide power for the University of California, Riverside, and their ability to feed energy to the Riverside power grid. Control of the project has been transferred to Riverside Public Utilities, who will operate the site.
    The generators were installed by the firm of Henkels and McCoy, a nationwide electrical contractor, in conjunction with Southern States Power Company. Start-up and testing procedures were completed by Cummins/Onan factory authorized personnel. Cummins technicians were flown to the site to program the computerized utility paralleling system, one of only six in the world that utilize this advanced technology.
    "Southern States Power Company is please to help usher a new era in power generation integrating the use of alternative, renewable, clean-burning fuels," commented Harrison A. McCoy III, executive vice president of SSPC. "Approximately 5,000 gallons of the company's OXyG 100% Biodiesel is on hand to fuel this project, and Southern States Power Company's own tanker truck is on 24-hour standby for delivery of additional fuel as needed."
    SSPC recently announced that through its distributor, General Petroleum, it is regularly providing fuel to the city of Claremont, Calif., in addition to previously announced clients in Arizona.

    The Company

    The primary focus of Southern States Power Company, Inc. is to develop, produce and distribute alternative fuels, particularly its OXyG Biodiesel, for use by consumers and commercial businesses. While the demand for alternative fuels is great, there are few producers ready to meet the growing need.
    There are nearly 27 billion gallons of diesel consumed annually in the United States alone, and an additional volume is consumed internationally. It is the goal of the United States Department of Energy that 30% of petroleum based motor fuel be replaced by alternative fuels by the year 2010. Federal and state fleets are mandated to use up to 75% domestically produced alternative fuels. President George W. Bush's recently released National Energy Policy emphasized the growing role that biodiesel will play in the nation's energy future.
    Southern States Power is poised to capture a significant portion of the rapidly expanding biodiesel market through an aggressive marketing plan as well as contacts in government, business and industry. An alliance with soybean farmers in Iowa will supply the company with as much as 270 million gallons of feedstock for use in production of its OXyG Biodiesel. Tightening clean air standards and growing fossil fuel costs are forcing private commercial fleets to look toward alternative fuel products. Major biodiesel initiatives have been passed in Arizona, Ohio, New Jersey, Nevada, Delaware and Iowa. More information can be found at the company's website:

    Safe Harbor

    This news release may contain forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve a number of risks and uncertainties, including the timely development and market acceptance of products and technologies and other factors described in the company's filings with the Securities and Exchange Commission. The actual results may differ materially from any forward-looking statements due to such risk and uncertainties. The company undertakes no obligation to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.