Thermal Energy International Inc V.TMG

NR

[Youngblood]

THERMAL ENERGY COMPLETES PRELIMINARY ENGINEERING CONTRACT 13:03 EDT Thursday, October 09, 2003 OTTAWA, Ontario--(Infolink)--October 9, 2003--Thermal Energy International Inc. (the "Corporation") (TSX-V:TMG) is pleased to announce that is has successfully completed its preliminary engineering analysis for Johnson Controls L.P. as previously announced August 7, 2003. The initial engineering phase established the final design and detailed feasibility analysis to implement this unique and substantial district heating solution. A customized hybrid FLU-ACE(R) solution has confirmed the recovery of up to 85% of the waste heat available from combined flue gases emitted from an existing Gas Turbine Cogeneration plant and simultaneously recycle and redistribute the recovered energy through a new low temperature hot water heating circuit. Potential energy savings will exceed $700,000 per year and will generate an attractive return on investment for a significant institutional client located in Ontario. The analysis undertaken by Thermal Energy involved the design of the heat recovery system, an operational evaluation of the client's existing boilers, gas turbine, Central Heating Plant, and relevant district heating and HVAC systems. Thermal also audited existing thermal energy production and heat distribution systems to determine the energy savings achievable as a result of implementing different solution options. "We have worked closely with Johnson Controls on this project", stated Thomas Hinke, ChE, P.Eng; President and CEO of Thermal Energy, "and we are extremely pleased that the preliminary analysis has confirmed the sought after return on investment. The solution we have proposed has the potential to become a precedent setting model and a new standard for energy efficiency and environment protection in the large institutional target market segment". About Thermal Energy Thermal Energy International Inc. is a leading environmental and energy technology company since 1986. Headquartered in Ottawa, Canada, the Company is an established designer, developer, fabricator, and supplier of superior proprietary and patented environmental compliance (air) and energy conservation, renewable energy products and technology solutions. The Company is also a fully accredited professional engineering firm, and offers advanced process and applications engineering services. FLU-ACE(R) is a registered trademark of Thermal Energy. More information can be found at: www.thermalenergy.com CONTACT: Thermal Energy International Inc. Mr. Thomas Hinke, ChE, P.Eng; President & CEO [phone] [e-mail] or Thermal Energy International Inc. Mr. Lindsay Malcolm, Investor Relations 1-866-222-3469 (toll-free) [e-mail] This news release contains forward-looking statements based on current expectations that involve risks and uncertainties. The Company's actual results may differ materially from the results discussed in the forward-looking statements. The Company assumes no obligations to update the forward-looking information contained in this release. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents herein.