CALL.L Regulatory News (CALL)

26 Sep 2007 07:00

Embargoed Release: 07:00hrs Wednesday 26 September 2007

Zenergy Power plc (`Zenergy' or the `Group') HTS Induction Heater Design Contract

Zenergy Power plc (AIM:ZEN.L), the specialist manufacturer and developer of commercial applications for superconductive (`HTS') materials, is pleased to announce that, further to the first commercial sale of its groundbreaking HTS induction heater, it has now been commissioned by a global metals producer (`the Client') to carry out design work to adapt the heater specifically for processing their heavy non-ferrous metals.

As announced on 24 September 2007, the Group recently sold the world's first HTS induction heater to the industrial aluminium producer Weser Alu GmbH (`Weser Alu'). Weser Alu purchased the machine from the Group's wholly owned subsidiary Trithor GmbH, Germany to improve the performance and efficiency of its industrial heating of aluminium billets. In doing so, Weser Alu will increase the productivity of its metal production facilities, improve the overall economic efficiency of its industrial processes and reduce its annual carbon footprint.

It is in recognition of these aforementioned economic and environmental advantages that the Client has commissioned the Group to carry out this design work. This HTS induction heater is foreseen to be used to heat `heavy non-ferrous' metal billets under very demanding industrial conditions.

By adopting the Group's proprietary HTS components, the HTS induction heater is capable of delivering significant reductions in energy consumption to the metals industry with consequent savings in associated operating costs and reduction in carbon emissions. From both an economic and environmental perspective, these energy savings are of particular significance when it is considered that, dependent on the country, between 1% and 5% of the total annual electricity consumed in any industrialised country is directly attributable to the operation of electrical heating equipment in the metals industry.

The Board considers this commitment of funds from the Client as a further significant commercial endorsement of the benefits brought about by the efficiencies of the Group's HTS induction heater technology.

The current addressable market for the Group's induction heaters is estimated to be c. ¢â€š¬2 billion per annum.

-Ends- www.zenergypower.com www.australiansc.com / www.scpowersystems.com / www.trithor.com For further information:Dr. Jens Mƒ¼ller Zenergy Power Plc + 49 22 26 90 60 200 Chief Executive Officer Tom Hulme Landsbanki Securities +44 207 426 9000 (UK) Limited Andrew Tan Hansard Group + 44 207 245 1100 www.hansardgroup.co.uk About Zenergy Group Plc

Zenergy Power plc is a global specialist manufacturer and developer of commercial applications for superconductive materials. Comprising three operating subsidiaries located in Germany (Trithor), USA (SC Power Systems) and Australia (Australian Superconductors), the Group is developing a number of energy efficient applications to be adopted in renewable energy power generation, energy distribution and large scale, energy intensive industrial processes.

Superconductive materials are capable of conducting electricity without any resistance and were first discovered in 1911 in what was to prove to be one of the most significant scientific breakthroughs of the 20th century.

The global HTS market is substantial and growing, with a number of market studies projecting multi-billion dollar markets for the application of HTS materials and products. The proliferation of the use of superconductor materials is largely being driven the following key factors:

* HTS materials are highly complementary to energy efficient technologies as a substitute for copper; * HTS wires have power densities of over 100X that of copper; * HTS materials deliver exceptional energy efficiencies and thus reduced consumption and running costs; * HTS applications are capable of delivering vastly increased levels of power with increased reliability and reduced material usage; * current developments are leading to substantially reduced costs in the production of HTS materials and are targeting to be cheaper than copper over the next few years; and * HTS technology is set to play a significant role in reducing CO2 emissions in line with international targets.