Mr. Frank Carnevale reports

ALKALINE FUEL CELL POWER CORP. ANNOUNCES LETTER OF INTENT WITH FESTIVAL HYDRO TO PILOT JUPITER 1.0 FUEL CELL WITH SUPPORTING CLEANTECH

Alkaline Fuel Cell Power Corp. has entered into a non-binding letter of intent with Festival Hydro Inc. The LOI summarizes the intentions of the company and Festival Hydro to enter into a joint venture (JV) to demonstrate Alkaline Fuel's Jupiter 1.0 fuel cell prototype and supporting ammonia cracking and AI (artificial intelligence) electrical panel cleantech.

"PWWR is thrilled to announce this agreement with Festival Hydro to pilot our Jupiter 1.0 fuel cell prototype," stated Frank Carnevale, chief executive officer of Alkaline Fuel. "Over the past few months, PWWR has signed agreements with cleantech partners that may enhance the success of bringing our fuel cells to market quicker than anticipated, and locating these technologies with a forward-looking utility is a great opportunity to demonstrate and build the business case of utilizing hydrogen fuel cells within electric grids to support the decarbonization of the grid. PWWR sees the downstream deployment of small hydrogen fuel cells as critical to meeting utility needs and delivering affordability, renewable and reliable power to end-customers."

"We are excited to partner with PWWR to pilot the Jupiter 1.0 fuel cell prototype in the Festival Hydro distribution system, in Stratford, Ont.," said Jeff Graham, president and CEO of Festival Hydro. "This partnership represents a significant step forward in our efforts to promote clean energy and sustainable development, while providing our customers with reliable and affordable electricity. This innovative technology aims to provide clean and reliable power alternatives, supporting distributed energy resources for grid innovation while promoting the 'power of local hydro.' With this collaboration, Festival Hydro is taking a pro-active approach to exploring new technologies and sustainable solutions. This initiative aligns with Festival Hydro's commitment to providing safe, reliable and affordable electricity to its customers while supporting the transition to a cleaner energy future."

Joint venture details

Alkaline Fuel is seeking to pilot its Jupiter 1.0 or four-kilowatt fuel cell generator in a Festival Hydro site to develop the business case on the use of an alkaline fuel cell to provide either or both back-up and peaking power capacity downstream in the Festival Hydro network. Alkaline Fuel and Festival Hydro have identified a site owned by Festival Hydro.

Festival Hydro is interested in building and assessing a business case in the use of fuel cell technology and ammonia or hydrogen storage as a potential cost-effective non-wires alternative to delivering additional electrical capacity downstream of a substation to customer meter.

Both parties will work to identify and secure smart grid financing opportunities to support the JV and pilot.

Both parties will negotiate the terms of the JV pilot, including sourcing capital for the budget over the next 120 days.

Decarbonizing the electric grid

Decarbonizing the electricity grid locally in Canada and globally using hydrogen fuel cells presents significant value in terms of economic, environmental and social benefits. This technology can play a crucial role in reducing carbon emissions, improving energy efficiency and supporting the transition to a low-carbon economy. Reducing carbon emissions created by the electricity grid using this innovative technology presents a significant opportunity to mitigate the impacts of climate change. Using renewable sources to produce hydrogen for use in fuel cells for local generation of electricity can promote job growth, reduce the need for long transmission corridors and their energy losses to service remote areas, improve the quality of life for communities, and support sustainable development.

Cleantech

On Nov. 22, 2022, Alkaline Fuel announced a letter of intent with AmmPower to utilize its ammonia cracking technology in a pilot site.

On March 15, 2023, Alkaline Fuel announced an LOI with Koben to integrate its AI electric breaker panel with the Jupiter 1.0 and assess additional opportunities for collaboration.

Alkaline Fuel intends to utilize both ammonia, ammonia cracking and AI electric breaker panel cleantech within this JV and pilot with Festival Hydro, pending negotiations.

2023 priorities

As per the March 6, 2023, announcement of list of 2023 priorities, Alkaline Fuel is intending to use this pilot toward demonstrating the enhanced value to customers and potential partners and distributors, thus aimed to deliver nearer-term sales quicker than previously anticipated.

Alkaline Fuel has access to approximately $5-million in debt financing and intends to support costs in strategic fuel cell pilots.

Additional pilots are being discussed with other parties.

As announced on April 4, 2023, Alkaline Fuel is currently working toward securing its fuel cell assets held by Fuel Cell Power NV and utilize such assets in connection with various pilot projects in 2023 and 2024.

About Alkaline Fuel Cell Power Corp.

Alkaline Fuel is a diversified investment platform developing affordable, renewable and reliable energy assets and cleantech. The company brings power to the people today, combining a stable revenue stream with a future-forward vision to commercialize its advanced hydrogen fuel cell technology to meet the massive global market need and ultimately generate compelling returns for investors.

Alkaline Fuel is well positioned to deliver power to the people in the global energy transition while offering a diversified cleantech growth platform for investors.

We seek Safe Harbor.