12 March 2015

Clean Air Power Limited

("Clean Air Power")

US Genesis EDGE Dual-Fuel™ Distribution Agreement

Clean Air Power (AIM:CAP), the developer and global leader in compression-ignited natural gas engine systems for heavy duty vehicles is pleased to announce that it has signed a distribution partnership agreement with Bruckner Truck Sales, Inc. ("Bruckner's"), the leading Volvo and Mack dealership in the Southwestern region of the US.

Headquartered in Texas, Bruckner's operates 22 dealerships at locations across Colorado, Kansas, New Mexico, Oklahoma and Texas. In partnership with Clean Air Power, Bruckner's will offer a full installation and support service to the first customers of Clean Air Power's Genesis-EDGE Dual-Fuel™ system in these key launch states.

The Southwestern region of the US represents an important launch market for the Genesis-EDGE Dual-Fuel™ system due to high diesel to natural gas price differentials and significant state incentives for natural gas vehicles.  In Colorado, for instance, tax incentives are available for up to 55% of the capital cost of the system and Oklahoma offers similar incentives for up to 45% of the capital cost.  Together these factors make the business case for Genesis-EDGE Dual-Fuel™ system compelling, more than halving the average payback period.

John Pettitt, Chief Executive of Clean Air Power, said: "I am delighted that we have formalised our partnership with Bruckner's and are now ready to win the first orders for our Genesis EDGE Dual-Fuel™ product in this key part of the US market. Our Dual-Fuel™ system is the only such system to have achieved full EPA certification and as a long established Volvo and Mack dealer with a loyal customer base, Bruckner's is the ideal partner to support its launch ."

Brian Bruckner, President of Bruckner's Trucks, said: "Demand for natural gas vehicles in the US is growing and we anticipate that Clean Air Power's Genesis EDGE Dual-Fuel™ system will help us by offering a differentiated product that delivers real fuel cost savings ."

Enquiries:

About Clean Air Power

Clean Air Power designs, develops and delivers compression-ignited natural gas engines for heavy duty transport applications and manufactures innovative hydraulic valves, injectors and filters for natural gas engines sold to truck manufacturers around the world.  Clean Air Power's patented Dual-Fuel™ and second-generation MicroPilot technology enables engines to run on natural gas mixed with diesel (or any suitable combustion fuel) providing the "spark" that ignites the gas.  Substituting natural gas for diesel cuts fuel costs, emissions of carbon, nitrous oxide and particulates whilst retaining the original engine's power, efficiency and reliability characteristics.  Clean Air Power operates, directly or through distributor partnerships, in the US, Europe, Russia and Australia.

Initially founded in the USA in 1991, over $90m has been invested in developing the technology with the result that 62 patents are currently held or pending. The holding company of the Group is based in Bermuda with operational subsidiaries in the UK, the USA and Australia. The Group was admitted to the AIM market of the London Stock Exchange in February 2006