Astris Energi Shareholders Approve Affiliate Purchase


MISSISSAUGA, Ontario, Oct. 25, 2004 (PRIMEZONE) -- Astris Energi Inc. (OTCBB:ASRNF), the world's leading alkaline fuel cell (AFC) technology company, today held its Annual and Special Meeting at which its shareholders approved the memorandum of understanding for the acquisition of the outstanding shares in Astris s.r.o, its affiliate company in the Czech Republic. With this purchase, Astris Energi will own 100% of Astris s.r.o.

At the well-attended meeting, President and CEO Jiri Nor led a series of presentations outlining the progress Astris has made in the last year in the areas of technology, finance and marketing. The presentations highlighted:


 -- The December 2003 debut of the Model E8 AFC Portable Power 
    Generator.  Developed with partial funding from the Czech 
    Republic's Ministry of Industry and Trade, the E8 has a total 
    electrical efficiency of more than 50%, a figure unequalled by 
    any other device in its class, and several times higher than the 
    efficiency of conventional generators fuelled by gasoline.  It 
    is quiet, emission-free, and uses Astris' low-cost POWERSTACK(tm) 
    MC250 fuel cell modules, which were also introduced in December 
    2003.

 -- The launch and marketing of Astris' next-generation test load, 
    the TL5 Test Load and its companion Windows-based software 
    TESTMASTER(tm).

 -- The raising of CDN$1,815,000 from private investors, largely 
    through First Energy Advisors who were hired in June 2003.

 -- The completion in August of a US$500,000 private placement to 
    accredited investors.  The funds enabled Astris to move forward 
    with construction of Phase One of its pilot production line for 
    the POWERSTACK(tm) MC250 fuel cell module.  The line is now 
    completed and preliminary production trial runs are meeting 
    expectations.

 -- The paying down of an existing CDN$100,000 debenture through the 
    issuance of common shares, thus eliminating Astris' only long-
    term financial liability.

 -- Astris' continued marketing and business development efforts at 
    international events such as the Fuel Cell 2004 Conference in 
    Denver, Colorado and the Hydrogen and Fuel Cells 2004 Conference 
    and Trade Show in Toronto, Canada.  These conferences provide an 
    opportunity for Astris to demonstrate its products to industry, 
    government, and the general public and to present technical 
    papers on the advancements that it has made in alkaline fuel 
    cell technology. 

 -- Astris' value-added reseller Agreement with Alternate Energy 
    Corporation (AEC) for the development of a fuel cell power pack.  
    The proposed power pack will combine AEC's low-cost, on-demand 
    hydrogen production technology with Astris Energi's industry-
    leading AFC Power Generator technology.  The resulting product 
    will be suitable for stationary industrial and residential 
    primary and back-up power applications.

 -- The recently announced Cooperation Agreement with Italy's 
    Electronic Machining s.r.l. (El.Ma.)  The Agreement calls for the 
    licensing of Astris' AFC technology to El.Ma., along with 
    purchasing of Astris' consulting services and products at market 
    competitive prices.  El.Ma. will apply its research and 
    manufacturing expertise and work with Astris to further the 
    commercialization and production development of Astris' AFC 
    technology with an eye to the expanding European Union market.

Along with the motion approving the purchase of the outstanding Astris s.ro. shares, the following motions also received shareholder approval:


 -- A special resolution fixing the number of directors to be elected 
    at five;

 -- The appointment of two new directors, H. David Ramm and Brian D. 
    Clewes;

 -- The appointment of PricewaterhouseCoopers LLP as auditors for 
    the Company;

 -- An amendment increasing the maximum number of common shares 
    reserved for issuance under the Company's Stock Option Plan to 
    5,100,000;

 -- An amendment increasing the authorized capital of the corporation 
    to an unlimited number of common shares; and

 -- A resolution allowing for private placements in the next 12 
    months in aggregate not exceeding 60% of the current number 
    of common shares outstanding.

"We are always pleased to meet with our investors," commented CEO and President Jiri Nor. "This has been a particularly eventful year for Astris with exciting developments on all fronts. With the successful completion of Phase One of our pilot production line, we are well positioned to take advantage of our recent partnership and cooperation agreements. Our expectation is that, by January 2005, we will meet our production target of 200 kW per year. Phase two of the production line has a capacity target of 2 MW annually within two years, but its implementation is contingent on raising an additional US$ 3.5 million in financing. As our products reach pre-commercialization, there are ample opportunities to develop and expand our product line and generate new revenue."

About Astris Energi Inc.

Astris is a late-stage development company committed to becoming the leading provider of affordable fuel cells and fuel cell generators internationally. Over the past 21 years, more than $17 million has been spent to develop Astris' alkaline fuel cell for commercial applications. Astris is commencing pilot production of its POWERSTACK(tm) MC250 technology in 2004. Astris is the only publicly traded company in North America focused exclusively on the alkaline fuel cell. Additional information is also available at the company's website at www.astris.ca.

Forward-Looking Statements

Any statements in this release that are not statements of fact may be considered "forward looking statements" as that term is defined under securities laws in the United States and Canada. Forward-looking statements are only predictions and may differ materially from actual events or results.



            

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