KleenAir Receives Air Resource Board Approval

    IRVINE, Calif.--May 8, 2003--KleenAir Systems Inc. (OTCBB:KAIR) announces receipt of a letter from the California Air Resource Board approving the Company's application to commence testing for its Retrofit Verification Program for the NOxMaster(R) NOx Reduction System.
    This will be the first such certification for Selective Catalytic Reduction (SCR) technology and will involve the use of ammonia injected in the exhaust stream to eliminate NOx. The system has been applied to a Ford F250 with a 7.3 liter Navistar engine and will qualify for heavy duty and medium duty on-road automotive applications. It involves both testing to certify the level of emissions reduction and a 60,000 mile on-road durability test.
    A testing standard for SCR was first recommended by a technical panel in early 2002. It received CARB Board approval in May of 2002. While the standard has not yet been implemented, CARB has accepted a proposed standard put forward by KleenAir and is fully supporting KleenAir's efforts to commercialize its emission reduction technology.
    "Being the first approved SCR technology in the US for diesel-powered vehicles positions KleenAir to secure a significant share of the US Retrofit market for SCR technology," said Lionel Simons, President, "and I expect one of our first target markets to be school buses where there is an uncalculated effect of emission pollution on the health of our children."
    There are over 440,000 diesel-powered school buses in the US and the EPA has launched a program to encourage upgrading and retrofitting as many as possible in order to reduce emissions of both NOx and Particulates. KleenAir is devising a strategy to combine its NOxMaster(R) with low-cost particulate reduction for use on school buses. It is currently reviewing with EPA its application for Retrofit Verification for such a total emissions solution.
    KleenAir is at the cutting edge of Selective Catalytic Reduction (SCR) technology that significantly reduces nitrogen oxides. KleenAir owns the patented and unique computer controlled ammonia system, the NOxMaster(R), which, when injected into the exhaust stream, interacts with NOx produced during combustion. The result converts environmentally hazardous NOx into harmless nitrogen and water. In addition, the Company's exclusive and unique converters significantly reduce particulates as well as hydrocarbons (HC) and carbon monoxide (CO). These pollutants have been shown to be a major contributor to heart and lung disease.

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    The statements contained in this release and statements that the company may make orally in connection with this release are not historical fact and are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those forward-looking statements, as such statements involve risks and uncertainties that could significantly impact the company's business and the actual outcome and results may differ materially.