CAP.L Regulatory News (CAP)

23 May 2013

Clean Air Power Limited

("Clean Air Power" or the "Company")

Comment on the launch of the UK's first open access Bio-LNG filling station

Clean Air Power (AIM: CAP), the developer and global leader in dual-fuel engine management software for heavy duty vehicles, welcomes today's announcement by Gasrec of the launch of the UK's first open access Bio-LNG filling station in Daventry.

The management of Clean Air Power consider the opening to be an important milestone in the development of a nationwide natural gas refuelling network that will help drive the uptake of heavy-duty natural gas and dual-fuel engines in the UK. Gasrec has already committed to an investment programme to establish the first national network of refuelling stations for Bio-LNG, a blend of liquefied natural gas (LNG) and liquid biomethane (LBM), planned to be operational by 2015.

Investment in natural gas refuelling infrastructure by major gas suppliers and multi-location logistics organisations is increasing across Europe and North America. This is in response to the growing availability of natural gas and to rising demand for LNG and dual-fuel heavy goods vehicles (HGVs) from fleet operators, such as Sainsbury's in the UK, who recognise the significant fuel cost and emissions reduction benefits they offer.

Clean Air Power is at the forefront of this worldwide trend towards the adoption of natural gas as a road fuel for HGVs. The Company's Dual-Fuel™ system and engine management software enable HGVs to run primarily on natural gas without sacrificing any of the performance or reliability characteristics of a normal diesel engine. If the natural gas supply runs out, the Dual-Fuel™ system can switch to operate on 100% diesel, giving complete diesel operational back-up.

Clean Air Power's Dual-Fuel™ system is already available in Europe as an interfaced OEM product through a major HGV manufacturer and as the Company's own branded Genesis-EDGE retrofit product. Clean Air Power is also developing a Genesis-EDGE retrofit product for the large and growing US market where the ready availability of natural gas is helping to drive customer demand.

John Pettitt, Chief Executive of Clean Air Power said:

"The launch of Britain's first open access Bio-LNG filling station by Gasrec represents a breakthrough for the LNG vehicle industry in the UK and demonstrates the growing importance of natural gas as a road fuel in the UK and around the world. The adoption of natural gas vehicles is accelerating worldwide driven by cost savings, reductions in emissions and the expansion of refuelling infrastructure as the major gas supply companies, such as Gasrec, increasingly look to invest significant capital in new fuelling stations. All of these factors are contributing to the growing trend towards the adoption of natural gas as a road fuel and, as the leading supplier of dual-fuel technology, Clean Air Power is well positioned to benefit."

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Notes to Editors

About Clean Air Power

Clean Air Power is the developer and provider of Dual-Fuel™ combustion technology for heavy duty diesel engines. Dual-Fuel™ engines substantially cut fuel costs and carbon emissions without sacrificing the original engine's characteristic efficiency or reliability. Clean Air Power is well positioned to assist corporations and governments to deliver on their environmental commitments while at the same time reducing transport operators overheads.

Initially founded in the USA in 1991, around £50m has been invested in developing the technology with the result that 65 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.

Further information on Clean Air Power is available at www.cleanairpower.com