Global Signs MOU with ShenMu SanJiang Coal Chemical Company Ltd. To Form A New Joint...

Global Signs MOU with ShenMu SanJiang Coal Chemical Company Ltd. To Form A New Joint Venture Entity to Utilize KDV Technology in the People's Republic of China

NEW YORK--(Business Wire)--
Global Energy (OTCBB:GEYI), an alternative energy innovator
focusing on the processing of organic solid and energy waste into
usable products, today announced that the Company had entered into a
Memorandum of Understand (MOU) with ShenMu SanJiang Coal Chemical
Company Ltd. ("Shaanxi") located in the People's Republic of China.

Global has certain rights to market and use technology and
equipment for the conversion of Municipal Solid Waste ("MSW"), organic
materials, sludge and other hydrocarbon materials to diesel oil based
on the AlphaKat KDV technology.

Under the terms of the MOU, Global and Shaanxi, pending completion
of due diligence of the KDV technology in Germany, plan to jointly own
a new entity. Global would own 51% of the new entity, unless Sinopec
Beijing Governmental Energy Company becomes a substantial equity
partner, in which case Global's interest would be 26%. The new entity
would initially build, own and operate an AlphaKat system expected to
produce ten thousand (10,000) liters of diesel per hour from tar oil.
Shaanxi is a producer of blue coal, where significant quantities of
tar oil are produced as a residual of the production process. Shaanxi
would provide the new company with tar oil at a discount to the
published market price for conversion into high quality diesel. The
MOU provides for the extension and growth capabilities of the "system"
after successful conversion of tar oil to diesel. Global Energy, under
the terms of the MOU, would be entitled to royalties from the sale of
diesel produced by the AlphaKat KDV Technology.

Completion of the transaction is subject to due diligence and
negotiation of final documentation.

"The completion of the transaction in the MOU would represent a
huge leap forward for our company into the People's Republic of China
and to meeting our mission of a global presence, providing
ecologically sound solutions to the burgeoning energy crisis while
generating revenue. Global estimates that there are potentially
millions of tons of tar oil in the region. We enthusiastically enter
the due diligence process and hope to sign a final agreement in the
near future," stated Asi Shalgi, CEO of Global Energy.

About ShenMu Sin Jiang Coal Chemical Company Ltd. ("Shaanxi")

Shaanxi is active in the field of converting charcoal to oil and
blue coal by pyrolysis reaction (heating coal in an oxygen free
atmosphere) in the People's Republic of China. The Company produces
approximately 200,000 tons of residual oil sludge per year.

About Global Energy

Global Energy's mission is to commercialize innovative
technologies which produce energy from waste and renewable sources,
while contributing to a vision of a cleaner environment. Global Energy
intends to use the most efficient and environmentally friendly of all
currently available alternative fuel technologies, each originally
developed and patented by acclaimed scientists.

For further information please visit www.global-energy.net

Forward-Looking Statements.

Statements in this press release which are not purely historical
are forward-looking statements and include any statements regarding
beliefs, plans, expectations or intentions regarding the future. Such
forward-looking statements include, among others, that we plan to
jointly own a new entity with partial ownership by Global; that the
new entity will initially build, own and operate an AlphaKat system to
produce ten thousand (10,000) liters of diesel per hour; that Shaanxi
will provide the new company with tar oil at a discount to the
published market price for conversion into high quality diesel; that
there are potentially millions of tons or tar oil in the region; that
we will sign an agreement in the near future; and that we will use the
most efficient and environmentally friendly of all currently available
alternative fuel technologies, each originally developed and patented
by acclaimed scientists.

Actual results could differ from those projected in any
forward-looking statements due to numerous factors. Such factors
include, among others: (i) the inherent uncertainties and speculative
nature associated with biofuels and alternative fuel sources; (ii)
potential environmental liabilities, weather, mechanical failures,
safety concerns, labor problems and financing problems; (iii) changes
in economic conditions, adverse exchange rates and financial markets;
(iv) the risk that we are not able to execute our business plan, such
as entering agreements with strategic partners, leasing land,
obtaining loans, etc; (v) the inability to retain key employees; (vi)
changes in energy prices and the high cost of alternative fuels; (vii)
Global Energy's inability to finance its operations or growth; (viii)
the inability to obtain all necessary government, environmental and
regulatory approvals; (ix) an increase in competition in the biofuel
and alternative fuel market; (x) the possibility that our technology
does not work as well as expected; and (xi) inability to access
additional funds under the arranged convertible debenture which is
subject to certain conditions to funding. Further, our or Shaanxi's
due diligence may determine that the project is not feasible.
Investors should consider all of these risks and should also refer to
the risk factors disclosed on the SEC filings of other start up
alternative energy companies.

Global Energy Inc.
Cynthia DeMonte, 917-273-1717
cdemonte@demonte.com

Copyright Business Wire 2008