BOTHELL, Wash., Jan. 20, 2010 (GLOBE NEWSWIRE) -- As the Chief Executive Officer of Neah Power Systems (OTCBB:NPWZ), I am delighted to continue my dialogue with you. Neah has had favorable and significant events occur since my last letter to shareholders, and I would like to thank all of you for your continued support. The intent of this letter is to update you on the company and address specific questions that have risen during this period.
What are some of the highlights of the last fiscal year?
The team at Neah Power Systems has continued to make significant strides on the technology, product, and customer engagement fronts. We announced the completion of the second Office of Naval Research (U.S. Navy) grant on Sept 12, 2009, the implementation of a manufacturing supply chain, the adoption of our disruptive technology by two customers (EKO Vehicles and Hobie Cat), and most recently, the introduction of our standalone product, the Infinity eL series of fuel cells. While we have made this extensive progress, we also continued to focus on reducing our cost of operations.
How revolutionary are the Neah developments?
The Neah fuel cell is a very compelling, differentiated, patent – protected product. Previous investors in the company include Intel Capital, Novellus Systems, Frazier Technology Ventures, Castile Ventures, etc. The company has won multiple awards for its technology. A total of more than $40M has been invested into the company and the returns on those investments are being seen with our product offerings.
How is the Neah product different from other fuel cells?
Almost all other portable fuel cells are PEM (Proton Exchange Membrane) based. These membranes have short lifetimes, are negatively impacted if they operate in high or low humidity, and contamination can affect their performance, and are very expensive to manufacture. In contrast, Neah fuel cells are silicon based, have approximately 2.5X higher power density (power per unit area) than a PEM, can be manufactured in high volumes at low cost using computer chip manufacturing capacity, and are insensitive to the ambient in which they operate, meaning they can operate both in air and non-air environments, i.e. in space and underwater.
What do these unique anaerobic capabilities offer for transportation applications?
The Neah fuel cell is uniquely suited to operate without air (“anaerobic” operation). This unique capability makes us an attractive solution for automobiles, trucks, two wheelers, forklifts, electric scooters (EKO Vehicles), and water-based transportation (Hobie Cat). These are hybrid implementations where the fuel cell is used to keep a battery constantly charged, and the battery then drives the motor. If the vehicle has an electric drive, the fuel cell can effectively make the range unlimited.
Thank you for your continued support of Neah Power and the management team at the company
Sincerely,
Chris D’Couto
Chief Executive Officer & President
About Neah Power
Neah Power Systems, Inc. (OTCBB:NPWZ) is developing long-lasting, efficient and safe power solutions for the military and for portable electronic devices. Neah uses a unique, patented, silicon-based design for its micro fuel cells that enable higher power densities, lower cost and compact form-factors. The company’s micro fuel cell system can run in aerobic and anaerobic modes. Neah believes that the technology can also be used for energy storage and generation.
Further company information can be found at www.neahpower.com.
Forward-Looking Statements
Certain of the statements contained herein may be, within the meaning of the federal securities laws, "forward-looking statements," which are subject to risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. See Neah Power System’s Form 10-KSB for the fiscal year ended September 30, 2008 for a discussion of such risks, uncertainties and other factors. These forward-looking statements are based on management's expectations as of the date hereof, and the company does not undertake any responsibility to update any of these statements in the future.