Start of research collaboration

6 May 2014

Clean Air Power Limited

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

Collaboration with Queens University Belfast to develop a Dual-Fuel process for small-cylinder diesel engines

Clean Air Power (AIM:CAP), the developer and global leader in Dual-Fuel engine management systems for heavy-duty diesel engines, is pleased to announce the start of a collaborative research programme with Queens University, Belfast (QUB) to develop a Dual-Fuel combustion process for application in small-cylinder diesel engines used in the light-duty automotive market.

The programme is to be carried out at QUB on a single-cylinder research engine built to replicate the state-of-the-art light-duty diesel engines used in next-generation passenger cars and light commercial vehicles (LCVs). The 2-3 year project is supported by grant funding from the Department for Education and Learning (DEL) and the Centre for Advanced Sustainable Energy (CASE), run by the UK Government body, Invest Northern Ireland. Clean Air Power will provide equipment and technical support to QUB during the project and has established a co-operation agreement with the university covering rights on any intellectual property generated.

This project complements an on-going funded research programme undertaken with Brunel University aimed at developing the next generation of advanced Dual-Fuel combustion systems for heavy-duty diesel engines.

In addition to the new research project, Clean Air Power today announces that it has continued to strengthen its Dual-Fuel IP portfolio with the recent granting of a US patent No. 8,688,351 "Modification of Engine Control Signal Timing by Emulation of Engine Position Sensors". This technology further improves Clean Air Power's Dual-Fuel engine control mechanism and delivers practical advantages in terms of improved gas utilisation and engine performance.

John Pettitt, Chief Executive of Clean Air Power said: "Whilst the focus for Clean Air Power remains firmly on the heavy-duty vehicle market in the short to medium-term, the project with QUB represents a cost-effective means of extending our knowledge and IP base into the high volume market of small-cylinder diesel engines. Clean Air Power is continuously making improvements to our Dual-Fuel process and this research programme, along with recent additions to our IP portfolio, further enhances our position as a premium developer and supplier of cutting edge Dual-Fuel technology."

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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 67 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.