PRESS RELEASE: Blainville, QC, March 17, 2011 — Xebec Adsorption Inc. (TSX: XBC) ("Xebec"), a provider of biogas upgrading, natural gas and hydrogen purification solutions for the clean energy market, announced today that it has signed a license and engineering service agreement for a total value of USD 3.25 million with Nuvera Fuel Cells ("Nuvera") to allow for the development of two rapid cycle hydrogen purification units for use in hydrogen refueling and merchant/industrial hydrogen applications. Under the terms of the agreements, Xebec will receive an upfront payment of USD 1.75 million and the remainder over the course of the development period.
The development work Xebec will perform under this engineering service agreement ("ESA") builds on previous development programs that Xebec has conducted over the past 10 years, and in particular builds on previously completed product development projects for advanced separation and rapid cycle PSA technology. In addition, Xebec has entered into a license agreement with Nuvera for some of its hydrogen purification related Intellectual Property (IP) for refueling and merchant/industrial hydrogen applications.
Kurt Sorschak, President and CEO of Xebec said, "We are very happy to strengthen our relationship with Nuvera, because of their focus towards development and commercialization of key hydrogen energy technologies. Our partnership will allow us to address global challenges such as rising energy costs, energy security, increasing power consumption and environmental quality on a more rapid basis. We, at Xebec, are proud to be associated with Nuvera in this effort. "
Xebec also announced the departure of the Company's Chief Financial Officer, Ginette Gagne, effective March 14, to pursue other avenues. The company would like to thank Mrs. Gagne, for her dedicated work over the last 11 months and wishes her well in her future endeavors. Mrs. Lyne Routhier, C.A., currently the Corporate Controller of the company, will assume the responsibility of Chief Financial Officer on an interim basis.
ABOUT XEBEC ADSORPTION, INC.
Xebec Adsorption Inc. is a global provider of clean energy solutions to corporations and governments looking to reduce their carbon footprints. Xebec designs, engineers and manufactures innovative products that transform raw gases into marketable sources of clean energy. Xebec's strategy is focused on establishing leadership positions in markets where demand for biogas upgrading, natural gas dehydration and hydrogen purification is growing. Headquartered in Montreal (QC), Xebec is a global company with two state-of-the-art manufacturing facilities in Montreal and Shanghai, an R&D facility in Vancouver (BC) as well as a sales and distribution network in North America and Asia. Xebec trades on the TSX under the symbol XBC. For additional information on the company and its products and services, please visit the Xebec web site at www.xebecinc.com.
ABOUT NUVERA FUEL CELLS
Nuvera Fuel Cells is an alternative-power technology company focused on fuel cell stacks and related systems, on-site hydrogen production and dispensing systems for both commercial end-users and OEMs. Located in the U.S. and Europe, Nuvera manufactures hydrogen supply and fuel cell power products designed for efficiency, safety, and productivity. Visit www.nuvera.com.
Caution Concerning Forward-Looking Statements
Certain statements in this press release may constitute "forward-looking" statements within the meaning of applicable securities laws. This forward looking information includes, but is not limited to, the expectations and/or claims of management of Xebec with respect to information regarding the business, operations and financial condition of Xebec. Forward-looking information contained in this press release involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Xebec or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. This list is not exhaustive of the factors that may affect forward-looking information contained in this press release. When used in this press release, such statements use such words as "anticipate", "believe", "plan", "estimate", "expect", "intend", "may", "will" and other similar terminology. These statements reflect current expectations regarding future events and operating performance and speak only as of the date of this presentation. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward looking statements.