---

Syntroleum Plans Joint Fuels Marketing Effort With FuelCell Energy

31 October 2000

Syntroleum Plans Joint Fuels Marketing Effort With FuelCell Energy

    TULSA, Okla., Oct. 30 Syntroleum Corporation
announced today that Syntroleum and FuelCell Energy, Inc.
have entered into a Fuel Marketing and Offtake Option Agreement
to enable FuelCell Energy to buy and resell Syntroleum synthetic fuels to its
customers and to allow FuelCell Energy customers to buy synthetic fuel
directly from Syntroleum and/or Syntroleum licensees.
    Market studies will be conducted to determine the feasibility of deploying
FuelCell Energy Direct FuelCell(R) (DFC(R)) systems with synthetic fuel in
various target markets.  These markets include, but are not limited to,
shipboard applications, island power generation applications, and other
remote, environmentally sensitive areas.
    Under the terms of the agreement, FuelCell Energy has also acquired the
option to purchase synthetic fuels from Syntroleum's planned Sweetwater
Project under development in Australia, or other Syntroleum plants when they
become operational.  The option provides for up to 1,000 barrels per day of
synthetic fuels for up to 10 years, in shipments of at least 30,000 barrels.
Prices will be determined at the time of shipment.
    "We see an increasing opportunity for fuel cells in the future energy mix,
both in transportation and stationary power applications, " stated Mark Agee,
president and chief operating officer for Syntroleum.  "We believe that
ultra-clean fuels, such as those made with Syntroleum technology, will be an
enabling factor that will accelerate introduction of fuel cells into more
commercial markets.  The use of Syntroleum fuels in FuelCell Energy's fuel
processors will allow them to significantly reduce costs.  The lack of sulfur
in these ultra-clean fuels should reduce maintenance costs and complexity of
the units.  In addition, the high hydrogen content will improve the power
generated per gallon of fuel consumed."