Proton Energy Systems Achieves Breakthrough in High Pressure Hydrogen Technology

PEM electrolysis efficiency and durability takes leap forward

WALLINGFORD, Conn., March 30 /PRNewswire/ -- Proton Energy Systems today
announced a major technological milestone involving its advanced high
pressure, proton exchange membrane (PEM) electrolysis technology. Proton has
demonstrated more than 18,000 hours of hydrogen generation at 2,400 psi,
without any external mechanical compression. The ability to produce hydrogen
at elevated pressure will help reduce the hydrogen storage footprint in
applications where space is a premium. Additionally, producing high pressure
hydrogen without generating high pressure oxygen provides a safer, more cost
effective on-site hydrogen solution. The elimination of a mechanical
compressor in the system makes it possible to reduce the overall capital cost
and operating cost of the installation. Proton's commercial PEM based
hydrogen generation systems are capable of running continuously at up to 400
psi and typically require external mechanical compression to achieve higher
pressures. The advancement in PEM based, high pressure electrolysis marks a
breakthrough that will have far-reaching implications for current and future
applications across a broad spectrum of markets.

Proton is the world's leading supplier of onsite hydrogen generators utilizing
PEM technology, which creates high purity hydrogen from de-mineralized water
and electricity. Proton's PEM electrolysis systems are utilized across a
variety of industries, including power, military and aerospace and
laboratories. And, with this latest advancement, the company continues to
lead the market in hydrogen innovation.

"We are thrilled to announce this technological milestone in PEM technology,
which has a variety of significant implications, including better efficiency,
cost reduction potential and system simplification," said Everett Anderson,
Director of Technology at Proton Energy Systems. "Our mission at Proton
Energy is to continue to develop and apply hydrogen technology in creative and
practical ways, and ultimately these advances will translate into even better
reliability, durability and value for our customers."

Proton has successfully developed and deployed these high pressure systems to
strategic partners both domestically and internationally for evaluation, one
of which has been testing successfully for more than a year. With the ability
to increase durability, reliability and efficiency, this breakthrough has
major potential across industries -- including power, military, aerospace,
homeland security, and other sectors that require or could benefit from high
pressure hydrogen.

The 2,400 psi milestone was achieved while at the same time also increasing
the hydrogen production by a factor of four from previous high pressure
hydrogen generation systems. The 2,400 psi advancement is also in line with
Proton's ultimate goal of generating hydrogen at 5,000 psi, without external
mechanical compression and with the same reliability and durability.

Proton Energy has also announced a second technological breakthrough that has
major efficiency and cost savings implications. Proton has worked to achieve
a 20 percent improvement in efficiency of its commercial PEM platform. At the
same time, additional efforts aimed at cost reduction of the cell stack
membrane-electrode assembly (MEA) have netted almost a 30 percent savings in
material cost. This is significant because the MEA represents the single
highest cost component within the electrochemical stack.

Proton Energy Systems is a global leader in hydrogen technology, and its
commitment to innovation has been recognized repeatedly during the past
several months with several military projects, including a $2.62 million
contract with the U.S. Army's Engineer Research and Development Center (ERDC)
to develop a Regenerative Fuel Cell System, and a $1.8 million contract with
the U.S. Army's Tank-Automotive Research, Development and Engineering Center
(TARDEC) to create an advanced fueling system capable of sustaining a military
fleet of hydrogen-powered vehicles.

For more information on Proton Energy Systems, visit www.ProtonEnergy.com

About Proton Energy Systems
Proton Energy Systems designs and manufactures proton exchange membrane (PEM)
electrochemical systems to make hydrogen from water in a zero pollution
process producing safe, pure, reliable onsite hydrogen to meet today's global
hydrogen requirements. Proton Energy Systems has been developing and
manufacturing world-class electrolysis systems since 1996, with more than 1500
units deployed world-wide, on every continent. With a reputation for building
robust, reliable, and safe systems, federal, state, and commercial partners
repeatedly seek the creative solutions that Proton Energy Systems has proven
it is capable of delivering.

Contact:
Mark Schiller Laura Wareck
Proton Energy Systems O'Neill and Associates
203-678-2185 617-646-1037
mschiller@protonenergy.com lwareck@oneillandassoc.com

SOURCE Proton Energy Systems

Mark Schiller of Proton Energy Systems, +1-203-678-2185,
mschiller@protonenergy.com; or Laura Wareck of O'Neill and Associates for
Proton Energy Systems, +1-617-646-1037, lwareck@oneillandassoc.com