Global Manufacturing Leader Signs Letter of Understanding to Build Clean, Steam Engines for Cyclone Power Technologies

POMPANO BEACH, FL--March 8, 2011: Cyclone Power Technologies Inc. has entered into a Letter of Understanding with TopLine Energy Systems, LLC, a licensee of global manufacturing leader TopLine Automotive Engineering, Inc. to build Cyclone's award-winning external combustion engines.

“This technology has the potential to be revolutionary, not only in renewable power systems, but also the transportation sector where our contacts run deep. We are very pleased to help Cyclone on their path to commercial success.”

Under the terms of this preliminary agreement, TopLine Energy will provide assistance with engineering and planning of Cyclone's WHE-25 model engines, and manufacture pre-production prototypes of these units starting immediately. Given the acceptable completion and review of this first stage, TopLine Energy will position itself as the Preferred Manufacturer for Cyclone's operating subsidiary Cyclone-WHE LLC, for mass production of these engines. Initial planned uses for the Cyclone WHE-25 range from industrial and vehicular waste heat recovery, to power generation from waste fuels such as used motor oil, to other similar renewable power applications.

"This is a monumental arrangement for Cyclone," stated the company's CEO, Harry Schoell. "By TopLine providing its vast experience, facilities and resources to further the development of our technology, we can expect a more robust, durable engine with an expedited trajectory towards commercialization."

TopLine Automotive, a 30+ year-old company, is currently one of the largest manufacturers of automotive after-market parts in the United States, supplying over 50% of the market. Headquartered in Chicago, IL, TopLine Automotive has operations throughout the world. TopLine Energy's primary home is a new, state-of-the-art 300,000 sq. ft. facility in Brooksville, FL. This Florida plant, only a few hours from Cyclone, is dedicated to the development and production of distributed and alternative energy products like the Cyclone engine.

"We have been following the remarkable progress of Cyclone for over two-years now, and we determined that the time is right to throw our hat into the ring," stated TopLine's CEO, Chet Staron. "This technology has the potential to be revolutionary, not only in renewable power systems, but also the transportation sector where our contacts run deep. We are very pleased to help Cyclone on their path to commercial success."