AEP and Fuel-Tech sign agreement on emissions technology

COLUMBUS, Ohio, and STAMFORD, Conn., Oct. 18, 2000 (PRNewswire via COMTEX)— American Electric Power and Fuel-Tech N.V. today announced that they have executed an agreement for the use of Fuel Tech's Selective Non-Catalytic Reduction (SNCR) technology on AEP coal-fired power plants.

SNCR technology can reduce nitrogen oxide (NOx) emissions from coal-fired boilers. These NOx reductions are necessary in order to meet deadlines established by new environmental regulations.

The mutually beneficial agreement gives AEP guaranteed priority status for Fuel Tech's services on AEP's generating fleet during an expected period of unprecedented demand for the technology. Fuel Tech would be the sole-source SNCR provider to AEP. Financial terms of the agreement were not disclosed.

Fuel Tech to date has installed more than 30 of its nitrogen oxide reduction processes on utility boilers in the U.S. and abroad.

"This agreement provides AEP with needed flexibility as we continue to refine our overall NOx compliance strategy," said Martin L. Mearhoff, AEP's vice president of advanced technology and renewable energy. "AEP and Fuel Tech led the industry in demonstrating Fuel Tech's NOxOUT® Process last year at AEP's Cardinal plant, which proved this low capital cost technology is efficient and cost-effective on large coal-fired boilers. We are committed - and aggressively working - to assist the commercialization of multi-pollutant control technologies for our industry. This agreement with Fuel Tech complements that commitment."

Steven C. Argabright, president and chief operating officer of Fuel Tech, Inc., commented, "We are extremely excited and gratified to be chosen by AEP as a partner in its plans to comply with new regulations on NOx emissions. The agreement, which marks the second agreement of its kind with a major electric utility, will benefit AEP by providing pricing insurance and implementation priority while providing Fuel Tech sole supplier status for SNCR-based technologies and updated outage schedules to allow for maximum efficiency of program implementation."

About AEP

American Electric Power is a multinational energy company based in Columbus, Ohio. AEP is one of the United States' largest generators of electricity with more than 38,000 megawatts of generating capacity. AEP is also a wholesale energy marketer and trader. Information on AEP and its subsidiaries is available on the Internet at www.aep.com .

About Fuel-Tech N.V.

Fuel-Tech N.V. is a leading technology company engaged in the worldwide development, commercialization and application of state-of-the-art proprietary technologies for air pollution control, process optimization, and advanced engineering services. The company has developed NOx reduction processes, which include NOxOUT®, NOxOUT CASCADE®, Amine Enhanced Fuel Lean Gas Reburn (AEFLGR™), Fuel Lean Gas Reburn (FLGR™) and NOxOUT SCR™.

For more information, visit Fuel-Tech N.V.'s web site at www.fueltechnv.com .

© 2000 PR Newswire. All Rights Reserved.

Sponsored by FLSmidth

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