500 hour prototype operation

AFC Energy Plc
29 February 2008



                                 AFC Energy plc


 Durability of fuel cell proven with 500 hour operation of prototype fuel cell


AFC Energy plc, ('AFC Energy' or the 'Company'), the low cost alkaline fuel cell
company that focuses on industrial markets, is pleased to announce that it has
successfully achieved its fifth technological milestone; 500 hours operation of
its prototype system.

The successful running of AFC Energy's prototype fuel cell confirms the
durability and stability of the system after prolonged operation. Two prototypes
systems were tested at the same time, both provided similar and consistent
satisfactory performances. These results combined form over 1,000 hours of
testing, validating the reliability of the prototype.

This milestone has been achieved within the projected timescale described in the
Company's Admission Document of April 2007.

The 500 hour operation is a significant development in the run up to beginning
shipment to the Company's customer, Akzo Nobel, who will use AFC Energy's fuel
cells to generate clean energy from the hydrogen it produces as a by-product.
The prototype provides valuable operating data which will be used to assist the
successful integration of the fuel cells into Akzo Nobel's complex operating
systems.

Akzo Nobel is the fourth-largest company in the chlorine manufacturing industry.
The directors of AFC Energy estimate that the global chlorine industry produces
approximately 1.6 million tones of hydrogen every year.

Fundamental to ensuring AFC Energy's fuel cells reach commercial viability has
been the reduction in the system's costs. As part of this process, AFC Energy
has eliminated the need for the life of electrodes to exceed 8,000 hours by
making them easily replaceable and recyclable by housing them in a series of
exchangeable cartridges.

Multiple cartridges assembled together will form a 3.5kW system. Initially five
3.5kW systems have been ordered, with delivery scheduled to start in August 2008
to Akzo Nobel's site in Bitterfeld, Germany.


Gerard Sauer, Chief Executive, AFC Energy plc, said:

'This is the penultimate milestone prior to the delivery of commercial units to
Akzo Nobel in August 2008 and it is extremely satisfying to have reached this
point ahead of schedule.

'Through the cartridges that house the electrodes, we have developed a 'plug and
power' system that is easy to maintain, ensures the viability of our fuel cells
and makes mass production a more simple operation.

'AFC Energy is now well positioned to become a real force in providing
industrial companies with solutions that allow them to re-use hydrogen to
recover energy costs and contribute to their own profitability.'



Tim Yeo, Chairman, AFC Energy plc, said:

'For fuel cells and any other type of renewable energy to be viable, it is
essential they can compete with existing sources of power generation.

'AFC Energy has always adopted a strategy of identifying the application and
then developing the solution. With the industrial sector's huge energy
requirements it remains the focus for the Company. It is extremely pleasing that
the Company's prototype is performing and can be manufactured at a marketable
level. We remain confident about the prospects for AFC Energy.'



                                    - Ends -



For further information please visit www.afcenergy.com or contact:


AFC Energy plc                                                 01483 276 726

Gerard Sauer, Chief Executive


Blue Oar Securities                                            020 7448 4400

Shane Gallwey
Jerry Keen


Madano Partnership                                             020 7593 4000

Mark Way / Graham Moonie




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