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New Breakthroughs in Powdered Aluminum Mixes for Specific Applications as a Result of Nanotechnology Materials Analysis

AlumiFuel Power Corporation ("the Company") (OTCBB: AFPW) said today that its wholly owned operating subsidiary, AlumiFuel Power, Inc. ("API"), based in Philadelphia, Pennsylvania, an early production stage hydrogen generation company, has announced new breakthroughs in its AlumiFuel powdered aluminum mixes for specific applications as a result of nanotechnology materials analysis made possible by its membership in Drexel University's Nanotechnology Consortium and the resultant direct interaction with the Drexel Nanotechnology Institute (DNI).

As a member of the Drexel Nanotechnology Consortium, API has access to the world-class Central Research Facilities of Drexel University, including state-of-the-art analytical and imaging labs and a micro fabrication lab. The labs rely on a vast array of advanced equipment for electron microscopy, spectroscopy, x-ray diffraction, micro fabrication and other nanoscale functions.

The Drexel relationship has given API cutting edge capabilities to analyze, at the atomic level, pre- and post-reacted AlumiFuel powder mixtures and to observe small samples during the reaction. This technology allows for very precise observations of the fundamental chemical mechanisms that accelerate or decelerate the reaction, which will ultimately lead to more controllability and higher yields. API has processed dozens of images and spectrographs capturing the variety of crystal growth occurring during the reaction and also the shape, size and surface characteristics of the aluminum before the reaction.

API's Chief Technology Officer, Mr. John Boyle, a nationally renowned hydrogen expert, said, "These observations already have helped API tailor the size, shape and dispersion of AlumiFuel mixtures for various applications -- ranging from a rapid low temperature release of hydrogen for inflating weather balloons, to a slower steady release of hydrogen for fuel cells to generate electricity or a high temperature reaction to power steam turbines for underwater propulsion."

As a result of this synergy, API and DNI are also collaborating in the pursuit of various Department of Defense R&D program opportunities, with DNI serving as a subcontractor to API on selected Small Business Technology Transfer and Small Business Innovative Research proposals.

API's President & CEO, Mr. David Cade, said, "We are extremely fortunate to have such a close working relationship with Drexel Engineering. This has enabled API to more aggressively pursue our business plan as we commercialize our technology and penetrate our target markets."

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