FCL - Technical Milestone

Embargoed Release: 07:00hrs Monday 17 December 2007

                               Zenergy Power plc                               

                          (`Zenergy' or the `Group')                           

                          Key FCL Technical Milestone                          

Zenergy Power plc (AIM:ZEN.L), the specialist manufacturer and developer of
commercial applications for high-temperature superconductive (`HTS') materials,
is pleased to announce that it has successfully tested its groundbreaking
electricity grid stability device, proving it to be capable of instantaneously
and automatically responding to multiple surges in electrical power whilst
maintaining a continuous, uninterrupted and stable supply of electrical power
to `downstream' devices. The successful testing of the Group's HTS
medium-voltage Fault Current Limiter (`FCL') is the first such achievement in
the United States and was conducted under the close observation of a number of
US utility companies and representatives of The National Electric Energy
Testing, Research and Applications Center (`NEETRAC').

Accordingly, the Group is proud to announce that the HTS FCL performed in line
with management expectation and is advancing on schedule to become the first
such device in the United States to be installed into a commercial power grid.
The Board considers the US market for HTS FCLs to be the largest in the world
and estimates it to be worth several billion dollars per annum. The Group was
delighted in February of this year to receive Notice of Allowance from the US
Patent Office for the issuance of its core patent surrounding the HTS FCL and
is now positioned to progress towards the first ever installation of an HTS FCL
in the United States.

Comparable to a computer network's `firewall', the Group's patented HTS FCL is
capable of absorbing huge amounts of unwanted and highly damaging electrical
power generated by fault currents in national electricity grids without having
to interrupt the steady supply of power to downstream grid users. In doing
this, the Group's HTS FCL not only protects electrical grid equipment from
damaging power surges, but also prevents the common knock-on effect associated
with blackouts that occurs when one part of the grid fails resulting in an
`over-spill' of power to an adjacent grid. The effects of this `over-spilling'
of electrical energy can be devastating and widespread as witnessed in August
2003 during the infamous northeast United States blackouts which began in
northern Ohio and spread eastward through New York and up into parts of Canada
affecting over 50 million people.

The global market for FCLs is expected to be worth up to US$5bn per annum.

The groundbreaking test of the Group's HTS FCL, attended by a number of
representatives from some of the largest utility companies in the United
States, was conducted at the world class facilities of Powertech Laboratories,
based in British Columbia, Canada. At these facilities, the Group's device was
- for the first time - exposed to real-life grid operating conditions and
repeatedly tested with electrical energy surges replicating the severe fault
currents associated with blackouts in national power grids. It is testimony to
the Group's ability to develop and produce world-class industrial devices based
upon its proprietary HTS know-how that the HTS FCL device consistently
performed to management expectation and further demonstrated its readiness for
commercial deployment.

These tests represent a major endorsement of the HTS FCL design and moreover of
the ability of Zenergy's engineering team to scale-up previously constructed
prototypes into grid-ready full-scale machines. Accordingly, the Board of
Directors feels that the successful testing of this full-scale medium-voltage
machine justifies a significant level of confidence in the successful outcome
of two major existing FCL projects in which the Group is engaged:

  * Firstly, as announced on 2 April 2007, the Group's wholly owned subsidiary,
    SC Power Systems, Inc. (`SC Power') based in San Mateo, California has been
    granted US$500,000 by the California Energy Commission to install its
    medium-voltage HTS FCL into the Californian Electricity grid. The
    successful testing of the Group's medium-voltage HTS FCL as announced today
    gives the Board significant confidence that Zenergy will be the first Group
    ever to successfully install an HTS FCL into a commercial grid within the
    United States.
   
  * Secondly, as announced on 29 June 2007, SC Power has also been awarded a
    further $11 million grant from the US Department of Energy to work with Los
    Alamos National Laboratory, Delta Star Inc., Southern California Edison
    (California's largest utility) and the Consolidated Edison Company of New
    York Inc. (a subsidiary of Consolidated Edison Inc., one of the largest
    investor-owned energy companies in the US) to install a larger scale
    high-voltage version of the HTS FCL into the US electricity grid. It is the
    consideration of the Board that the successful scaling up and testing of
    the Group's medium-voltage HTS FCL demonstrates the ability of Zenergy's
    engineering team and affords them increased confidence in the successful
    outcome of this major US Federal Government project.
   
Frank Lambert, Program Manager of NEETRAC, commented:

`The continuing increase in electricity consumption and corresponding load
density growth is requiring more and more generation and grid interconnections
in the electrical utility network. The level of fault current is beginning to
exceed the capabilities of existing circuit breakers and other power system
equipment. Fault current limiters can provide an economic solution for this
critical problem on our utility infrastructure.'

                                    -Ends-                                     

Further information:

Dr. Jens Müller                 Zenergy Power Plc        + 49 22 26 90 60 200
                                                                             
Andrew Tan                      Hansard Group            + 44 207 245 1100   
                                                                             
Tom Hulme                       Landsbanki Securities    + 44 207 426 9000   
                                (UK) Limited                                 

About NEETRAC

The National Electric Energy Testing, Research and Applications Center
(NEETRAC) is a non-profit, member supported electric energy research,
development and testing center, housed in the Georgia Institute of Technology's
School of Electrical and Computer Engineering. Widely recognized as one of the
world's foremost electric energy research, testing and evaluation centers,
NEETRAC is engaged in a wide spectrum of innovative activities. Members of
NEETRAC include among others; Baltimore Gas & Electric, Consolidated Edison Co.
of New York, Florida Power & Light, PacifiCorp and Southern California Edison.

For more information regarding NEETRAC please visit: http://
www.neetrac.gatech.edu/

About Zenergy Group plc

Zenergy Power plc is a global specialist manufacturer and developer of
commercial applications for superconductive materials. Comprising three
operating subsidiaries located in Germany (Trithor), USA (SC Power Systems) and
Australia (Australian Superconductors), Zenergy is highly focussed on the
commercialisation of a number of energy efficient applications to be adopted in
renewable energy power generation, energy distribution and large scale, energy
intensive industrial processes and achieved the world's first commercial sale
of an industrial scale HTS device in September 2007.

About superconductivity

Superconductive materials are capable of conducting electricity without any
resistance and were first discovered in 1911 in what was to prove to be one of
the most significant scientific breakthroughs of the 20th century.

The global HTS market is substantial and growing, with a number of market
studies projecting multi-billion dollar markets for the application of HTS
materials and products. The proliferation of the use of superconductor
materials is largely being driven by the following key factors:

(a) HTS materials are highly complementary to energy efficient technologies as
a substitute for copper

(b) HTS wires have power densities of over 100x that of copper

(c) Current developments are leading to substantially reduced costs in the
production of HTS wires and are targeting to be cheaper than copper over the
next few years

(d) HTS applications deliver exceptional energy efficiencies and thus reduced
power consumption and running costs

(e) HTS technology is set to play a significant role in reducing CO2 emissions
in line with international targets

(f) HTS applications are capable of delivering vastly increased levels of power
with increased reliability and reduced material usage