GM, Hydrogenics Demonstrate No-emission, No-compromise Hydrogen-powered Forklift

OSHAWA, Ontario, Feb. 1, 2005 -- General Motors of Canada Limited and Hydrogenics Corporation today demonstrated that commercially viable hydrogen-powered industrial vehicles are closer to the market than many people think.

Hydrogenics is leading a consortium of partners to develop, demonstrate and move fuel cell-powered forklifts toward commercialization. This is the first time a fuel cell vehicle supported by an onsite hydrogen fuelling station has been demonstrated at a GM facility. This project is being partially funded with a $1.45 million contribution from Sustainable Development Technology Canada (SDTC). SDTC is a foundation created by the Government of Canada that operates a $550 million fund to support the development and demonstration of clean technologies that address issues of climate change, clean air, water and soil quality.

"This trial of hydrogen-powered forklift trucks at GM's car plant in Oshawa is just one example of the steps GM and its partners are taking as we head down the road to the hydrogen economy," said David Paterson, vice- president, corporate and environmental affairs, GM Canada. "Demonstration projects like this are critical to the development of fuel cell technology. With predictable duty cycles, lift trucks are an ideal application from which to learn, and a large plant like ours, where external elements are not a factor, is an ideal place in which to conduct a trial like this."

"The Government of Canada, through SDTC, is pleased to support leadership shown by companies such as General Motors of Canada Limited and Hydrogenics Corporation in their response to the challenge to take action on climate change," said the Honourable R. John Efford, Minister of Natural Resources Canada. "Using this hydrogen fuel-cell technology for industrial vehicles has the potential to dramatically reduce greenhouse gas emissions -- a major contributor to climate change -- and enhance Canadians' quality of life."

"The development of new technologies for environmental and economic sustainability is key to the Government of Canada's mandate," said the Honourable Stephane Dion, Minister of the Environment. "Canadian companies are world leaders in the development of fuel cells and other hydrogen technologies -- something that Canadians should be proud of."

"Demonstrations of new environmental technologies, such as the one Hydrogenics is conducting with General Motors of Canada, will keep Canada at the forefront of innovation," said the Honourable Joseph Volpe, Minister of Citizenship and Immigration and the Minister Responsible for Ontario. "This country, and this province, benefit when we all work together to bring new ideas forward."

Hydrogenics, in partnership with GM Canada, demonstrated the hydrogen fuel cell-powered forklift and a Hydrogenics HyLYZER hydrogen refueling station. Because the HyLYZER refueling station is compact -- with easy connection points -- it can be transported easily from site to site. The HyLYZER can produce a variable amount of hydrogen, depending on requirements, and it can refuel a forklift in a fraction of the time that the batteries can be changed or recharged on a battery-powered unit.

"Currently, industrial vehicles contribute almost 13 percent of the global total of transportation-related greenhouse gas emissions," said Pierre Rivard, president and CEO of Hydrogenics. "We believe that one of the first commercial uses for hydrogen powered-vehicles will be in industrial vehicle fleets, such as forklifts, where dedicated on-site refuelling stations can meet immediate refuelling needs. Fuel cell-powered forklifts are ideal for indoor facilities, such as factories and warehouses, because they produce no exhaust emissions, and they have significant operational advantages over traditional battery-powered forklifts. We have always known that being environmentally friendly is not enough on its own to sell this technology. It simply has to be better than what people use now."

"SDTC supports the development and demonstration of clean technology applications such as fuel cell-powered forklifts, to bring environmental and economic benefits to all Canadians," said Vicky J. Sharpe, president and CEO of Sustainable Development Technology Canada (SDTC). "Our long-term approach is to invest in the current need for hydrogen-powered industrial vehicles as a pathway to affordable clean power for all types of vehicles."

Over the past year, Hydrogenics and a consortium of technology and end-use partners have been working to develop, demonstrate and advance fuel cell- powered forklifts toward commercialization. The project is being financially supported by a $1.45 million contribution from Sustainable Development Technology Canada, which is leveraging a $1.98 million commitment from the Hydrogenics-led consortium. The consortium members include Deere & Company, FedEx Canada, General Motors of Canada, NACCO Materials Handling Group and the Canadian Transportation Fuel Cell Alliance. SDTC's funding supports testing and refinement of the technology, as part of the development and demonstration process.

About General Motors of Canada

Headquartered in Oshawa Ontario, General Motors of Canada employs 22,000 people nationwide. GM of Canada manufactures a variety of vehicles, engines, transmissions and other components, and markets the full range of General Motors vehicles and related services through 785 dealerships and retailers across Canada. Vehicles sold through this network include Chevrolet, Pontiac, Buick, GMC, Cadillac, Hummer, Saturn and Saab.

About Hydrogenics

Hydrogenics Corporation (http://www.hydrogenics.com/) is a leading global developer of clean energy solutions, advancing the Hydrogen Economy by commercializing hydrogen and fuel cell products. The company has a portfolio of products and capabilities serving the hydrogen and energy markets of today and tomorrow. Hydrogenics, based in Mississauga, Ontario, Canada, has operations in North America, Europe and Asia.

About SDTC

STDC is a foundation created by the Government of Canada that operates a $550 million fund to support the development and demonstration of clean technologies that address issues of climate change, clean air, water and soil quality. These solutions deliver environmental, economic and health benefits to Canadians. An arm's length, not-for-profit corporation, SDTC works with private, financial, academic and public sectors and with the Government of Canada to build a sustainable development technology infrastructure in Canada.