Key Development Milestone

Embargoed Release: 07:00hrs Tuesday 22nd May 2007

                               Zenergy Power plc                               

                          (`Zenergy' or the `Group')                           

                           Key Development 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 its research and development team has completed the
construction and successful testing of the Group's ground breaking HTS
induction heater ahead of its Q3 schedule. As anticipated, the HTS induction
heater operated with energy efficiency levels of over 90% as compared to
conventional induction heaters that operate at efficiency levels of between 35%
and 45%. This effective halving of electricity requirement is of particular
significance when it is considered that, dependent on the country, between 1%
and 5% of the total annual electricity consumed in industrialised countries is
directly attributable to the operation of heating equipment.

Following this achievement, the Group's commercial product is now available for
sale and management expectation is that initial HTS induction heater sales will
be made to customers from whom the Group has already received clear expressions
of interest.

The current addressable market for the Group's induction heaters is estimated
at c. €2 billion per annum.

The Group's HTS induction heater was developed in conjunction with Bültmann
GmbH (`Bültmann'), one of the world's leading suppliers of industrial machinery
to the metal processing industry. In addition to its engineering expertise,
Bültmann will also provide the Group with an initial channel to market for the
HTS induction heater through its existing commercial activities, as well as
relationships within the global metals industry.

Induction heaters are used globally and ubiquitously by producers and
manufacturers in the metals industry to heat large quantities of metal bulk
prior to carrying out processes of manipulation and shaping that require the
metal material to be softened. The softened metal is used for products
including installation pipes, heat exchangers, window frames, computer
components and profiles for the automotive, aerospace and machine building
industries.

Further validation of the environmental significance of the Group's machine has
been provided by the German Environmental Fund, who contributed significant
development funds to the Group following extensive due diligence. This funding
was provided in recognition of the potential environmental improvements which
the HTS induction heater could deliver. It is the firm belief of the Board that
the increased energy efficiency will also deliver substantial cost savings
whilst simultaneously playing a significant role in greatly reducing the metal
industry's annual carbon footprint. From a cost savings perspective, it is
anticipated, that when run at full capacity, the Group's induction heater is
capable of yielding ongoing cost savings equivalent to its total initial
purchase price in as little as 5 years.

Ongoing testing has demonstrated that the Group's HTS induction heater renders
greatly improved heating performances with reduced heating times. These
attributes further demonstrate the superiority of the Group's HTS solution over
conventional copper-based machines.

Dirk Schötz, Technical Officer Climate Protection and Energy Technology, of
German Environmental Fund, commented,

`It is our belief that the HTS products being developed by Zenergy are capable
of having far reaching impacts on current endeavours to reduce global carbon
emissions. The exceptional efficiency levels of HTS products represent a
fundamental step change in the energy requirements of a number of global
industrial processes, and we are very proud to have supported the development
of one of the world's first truly commercial HTS products.'

Michael Fitzgerald, Chairman, added:

`At the end of last year we set out a number of definable milestones to mark
our progression to commercialised products based around our core HTS
intellectual property. To have a fully developed induction heater, capable of
delivering so many benefits to our end users, ahead of schedule, is testament
to our research and development team and I look forward to reporting on the
commercial progress that we achieve within our target markets.

Our induction heaters deliver not only huge reductions in energy consumption
but also superior and faster performance. These combine to make a commercially
compelling product that can further assist companies in their efforts to meet
carbon emission targets and save significant costs.'

                                    -Ends-                                     

Further information:

Dr. Jens Müller                 Zenergy Power Plc        + 49 22 26 90 60 200
                                                                             
Andrew Tan                      Hansard Group            + 44 207 245 1100   
                                                                             
                                www.hansardgroup.co.uk                       

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 developing a number of
energy efficient applications to be adopted in renewable energy power
generation, energy distribution and large scale, energy intensive industrial
processes.

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.