Nanotechnology Now - Press Release: AlumiFuel Power, Inc. Advances Its Fuel Customization Capabilities

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Abstract:
Early production stage hydrogen generation company AlumiFuel Power, Inc. ("API"), the Philadelphia, Pennsylvania-based wholly owned operating subsidiary of AlumiFuel Power Corporation (OTCBB: AFPW) (the "Company"), announced today that it has made further breakthroughs in developing optimal fuel mixture configurations for its various target applications.

AlumiFuel Power, Inc. Advances Its Fuel Customization Capabilities

Philadelphia, PA | Posted on August 16th, 2010

These advances greatly enhance API's ability to provide unique high energy density fuel sources for fuel cells, turbines and thermoelectric converters powering Unmanned Undersea Vehicles (UUVs) and man portable power systems, each a multi-billion dollar market. API and its portable power partner, Ingenium Technologies, Inc. of Rockford, Illinois, are presently executing a US Navy R&D contract for a novel energy source for UUVs, and are actively pursuing specific opportunities involving man portable systems for military and commercial portable power applications, replacing gasoline generators and batteries.

API's proprietary powder mixtures, which are composed of aluminum and various proprietary additives, are capable of generating hydrogen and steam at various rates, depending on the particular application. Furthermore, properties of the aluminum powder particles also affect the reaction. Given that each of API's target applications requires different output levels, fuel customization is essential for optimal performance. Using specially developed benchtop reactors to test small batches of powder configurations, API engineers are able to achieve rapid results, minimizing turnaround time. These reactors are fully instrumented and provide temperature, pressure, and volume & mass flow data -- speeding up the engineering development of complete integrated fuel module systems for UUV and man portable power products.

This internal testing is complemented by analysis conducted at Drexel University. With its industrial consortium membership in the world-class Drexel Nanotechnology Institute, API has been able to use cutting edge nanoscale analysis to assure highly efficient and accurate fuel mixture optimization. API and Drexel are conducting multiple powder experiments inside electronic microscopes that will, under the scope of the Navy R&D contract, customize fuel mixtures for the UUV power system. The resulting powder mixtures will be integrated into API's canisters for the UUV system, as well as cartridges for the man portable power generators.

API's Director of Engineering, Mr. Sean McIntosh, said: "This research has been vital for the customization of our powders for the broad spectrum of API products. In addition to ensuring that the mixtures will provide output levels that fit the customers' needs, this development leads to the maximization of energy density and affordability of API's products, giving our potential customers a significant technological and economical incentive to choose our technology over competing products."

Safe Harbor for Forward-looking Statements
This news release may contain forward-looking statements that are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. While these statements are made to convey to the public the company's progress, business opportunities and growth prospects, they are based on management's current beliefs and assumptions as to future events. However, since the company's operations and business prospects are always subject to risk and uncertainties, the forward-looking events and circumstances discussed in this news release might not occur, and actual results could differ materially from those described, anticipated or implied. For a more complete discussion of such risks and uncertainties, please refer to the company's filings with the Securities and Exchange Commission.

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About AlumiFuel Power
API (www.alumifuelpowerinc.com) is an early production stage alternative energy company that generates hydrogen gas and superheated steam through the chemical reaction of aluminum, water, and proprietary additives. This technology is ideally suited for multiple niche applications requiring on-site, on-demand fuel sources, serving National Security and commercial customers. API's hydrogen feeds fuel cells for portable and back-up power, fills inflatable devices such as weather balloons, and can replace costly, hard-to-handle and high pressure K-Cylinders. Its hydrogen/heat output is also being designed and developed to drive turbine-based underwater propulsion systems and auxiliary power systems, and as the fuel for Flameless Ration Heaters. API has significant differentiators in performance, adaptability, safety and cost-effectiveness in its target market applications, with no external power required and no toxic chemicals or by-products. For more news and information on API, please visit www.irgnews.com/coi/AFPW.

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Contacts:
Paul Fetkowitz, Vice President, Sales
Kaymont Consolidated Industries, Inc.
P.O. Box 11053, Hauppauge, NY 11788
631-951-9100

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212-835-3210

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