CERES POWER COMMENCES COMMERCIAL FIELD TRIALS

Ceres Power Holdings plc has commenced commercial field trials of its wall‐mounted Combined Heat and Power (CHP) product in people’s homes.  Following upon receipt of the formal CE (European Conformity) certificate, an operating fuel cell CHP product generating heat and power has now been installed in the family home of a British Gas customer in South East England.

The field trials will continue throughout 2011 and into 2012 with CHP products being deployed in a wide range of homes across the country.  The first wave of CHP products is being installed in customers’ homes during the first quarter of 2011, with the second wave of products incorporating valuable in‐field experience to follow six months later. The final wave of at least 150 field trial CHP products will take place in 2012 to test the Company’s ability to scale‐up for initial product sales and volume launch with British Gas.

Alongside the trials there is an extensive on‐going testing programme of CHP products and components at the Company’s test facilities. The CHP products for the field trials are being manufactured using processes which can be scaled up for volume production.  The fuel cells at the heart of the product are being produced at the Ceres factory in Horsham and the CHP boiler assembly is taking place at the Daalderop factory in Holland. Peter Bance, Chief Executive Officer of Ceres Power, commented; “We have made enormous progress in the development of our product over the past few months and the start of commercial field trials is a major milestone in Ceres Power’s development. I am delighted that our unique wall mounted fuel cell CHP product is now being installed in consumers’ homes and look forward to selling the product in conjunction with British Gas.”  http://www.cerespower.com

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