Energy Research Corporation's Partner Reports Fuel Cell Contract
20 November 1998
Energy Research Corporation's Partner Reports Fuel Cell Contract
DANBURY, Conn.--Nov. 19, 1998--Energy Research Corporation (AMEX:ERC) is pleased to report that MTU, a DaimlerChrysler AG affiliate , has announced that it has received a contract from the municipal utility in Bielefeld, Germany for a 250 kW Hot Module fuel cell using ERC's Direct Fuel Cell stack.
ERC has been working with MTU and a consortium of European utilities and equipment suppliers since 1989 developing its carbonate fuel cell technology, which combines extremely high fuel efficiency with extremely low emissions. The other members of the consortium are Ruhrgas, a German gas distribution company, RWE Energie, a diversified German electric utility, Haldor Topsoe, a Danish catalyst and engineering company and Elkraft, a Danish electric utility. MTU owns approximately 11% of ERC's stock.
MTU's Hot Module design combines fuel cell stacks made in ERC's Torrington, Connecticut production facility with a German made balance-of-plant, using an innovative and highly simplified design that is expected to substantially reduce manufacturing and installation costs. The fuel cell is scheduled to be delivered in the second half of 1999 using standard truck transportation, and is intended to demonstrate high temperature cogeneration, feeding a customer's process steam system as well as providing electricity to the local network.
On July 22, 1998 ERC and MTU announced a cross-licensing and cross-selling agreement that, among other things, allows ERC to sell MTU's Hot Module in the North American market.
Energy Research Corporation, located in Danbury and Torrington, Connecticut, is an internationally recognized leader in the field of electrochemical technology for electric power generation and storage. ERC is developing its Direct Fuel Cells and batteries through funding from and in cooperation with government, electric utility and major international industrial organizations.
This press release contains forward-looking information, including discussions regarding the use and the expected cost competitiveness of the Company's fuel cell technology. There are numerous factors, both known and unknown that could cause actual results to differ materially from those forward-looking statements, including, without limitation, general risks associated with product development and introduction, changes in the utility regulatory environment, potential volatility of energy prices, rapid technological change, and competition, as well as other risks set forth in ERC's filings with the Securities and Exchange Commission. There can be no assurance that the Company will be able to meet any of its development or commercialization schedules or that any of its products or technology, once developed, will be commercially successful. The forward-looking statements contained herein speak only as of the date of this press release. ERC expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in ERC's expectations or any change in events, conditions or circumstances on which any such statement is based.