Michael Murry named president and CEO of Catalytica Energy Systems

MOUNTAIN VIEW, Calif., Dec. 11, 2002 -- Catalytica Energy Systems Inc. announced Wednesday the appointment of Michael Murry, a former Ballard Power Systems executive, as president, CEO and director. Murry will officially join the Company and assume these responsibilities in early January.

Murry's career includes more than 20 years of business operations, marketing and sales management experience in the chemical and power industries. Having most recently served as vice president and general manager of Ballard's Power Generation Division, Murry brings to his new position a wealth of experience in the introduction of new power technologies to the marketplace.

"Catalytica Energy Systems is poised to capitalize on the substantial opportunities ahead for new energy technologies," said Murry. "It is exciting to come in at a time when considerable changes are unfolding in the energy and power industries and lead a company that is well positioned to participate in this reshaping marketplace. The Company has already taken significant steps throughout the year to improve its financial position and realign its business strategy relative to a changing energy landscape. These actions have provided a solid foundation for expanding our product offerings and pursuing corporate growth."

According to Ricardo Levy, chairman and interim president and CEO of Catalytica Energy Systems, "Mike is a proven leader with a demonstrated track record in building successful businesses, expanding operations and advancing new product development. His extensive background in heading up business ventures with multinational corporate partners, combined with his power industry experience and in-depth understanding of both the challenges and opportunities for new energy technologies, make him an ideal choice to execute Catalytica Energy Systems' business strategy going forward."

Prior to joining Catalytica Energy Systems, Murry held executive positions at Ballard Power Systems since October 2000. He first served as chief operating officer of Ballard Generation Systems, which focused on the stationary fuel cell business as part of a joint venture with Alstom of France, Ebara of Japan and the former GPU (now First Energy).

Most recently, Murry served as vice president and general manager of Ballard's Power Generation Division, where he was in charge of both the portable and stationary fuel cell businesses. Prior to his tenure at Ballard, Murry was vice president of marketing with the American Natural Soda Ash Corporation, a position he held since 1996. From 1981 to 1996, Murry held positions of increasing responsibility with the Dow Chemical Company in sales, marketing, product development and business operations.

Prior to joining Dow, he worked for Standard Oil of Ohio and The Upjohn Company. Murry has a Bachelor's degree and a Master's degree in Chemical Engineering from Michigan State University, and an MBA from Wharton Graduate School at the University of Pennsylvania.

Catalytica Energy Systems designs, develops and manufactures advanced products for cleaner, more effective energy production. Its proprietary technologies include the use of catalysts to mitigate the environmental impact of combustion sources, including power generation and transportation applications.

The company is marketing its first product, Xonon Cool Combustion™, a breakthrough pollution prevention technology that achieves ultra-low emissions levels for gas turbine power production. Xonon® prevents the formation of NOx, a primary contributor to smog, through a proprietary catalytic combustion process.

Additional technology development efforts include work on fuel processing for fuel cells, as well as adaptation of the Xonon technology to hybrid gas turbine fuel cells and to both over-the-road and stationary diesel applications. Find Catalytica Energy Systems on the Worldwide Web at www.CatalyticaEnergy.com.

Sponsored by FLSmidth

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