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FCEL news: (COMTEX) B: FuelCell Energy Receives New Direct FuelCell(R) Component Orde
from MTU CFC Solutions GmbH for 3 Sub-Megawatt Carbo
B: FuelCell Energy Receives New Direct FuelCell(R) Component Order from MTU CFC
olutions GmbH for 3 Sub-Megawatt Carbonate Fuel Cell Power Plants - MTU Commence
Operation of First European Dual Fuel Carbonate Power Plant at Berlin-based Uti
ity Vattenfall/BeWag - RWE Fuel Cells GmbH To Install First European Digester Ga
-Fueled Carbonate Fuel Cell Power Plant at Municipal Wastewater Treatment Facili
y in the City of Ahlen, Germany ( PRNewswire-FirstCall )

DANBURY, Conn., Oct 4, 2004 /PRNewswire-FirstCall via COMTEX/ -- FuelCell
Energy, Inc. (Nasdaq: FCEL) announced today that its European strategic partner,
MTU CFC Solutions, GmbH (a subsidiary of DaimlerChrysler), placed a new order
for the Company's Direct FuelCell(R) (DFC(R)) components for 3 new sub-megawatt
carbonate fuel cell power plants. Delivery is expected in late calendar year
2004 and early calendar year 2005. Announcements of individual power plant sites
utilizing these DFC stacks will be forthcoming, with each customer's request and
authorization.

MTU's branded carbonate fuel cell power plant, the HotModule(R), is based on
FuelCell Energy's Direct FuelCell technology and utilize fuel cells manufactured
by FuelCell Energy's Connecticut manufacturing facility. MTU is currently
operating eight Hot Modules in Germany and Spain, and two additional German
units completed their field trial programs.

"MTU CFC Solutions continues to demonstrate success by operating flexible high
temperature carbonate fuel cell power plants at European customer sites," said
Jerry D. Leitman, Chairman and CEO of FuelCell Energy. "This new order from MTU,
plus the additional siting announcements announced by MTU and its strategic
partner, RWE Fuel Cells, is evidence of a growing interest in clean and
efficient onsite power for commercial and industrial customers."

On September 30, 2004, MTU commenced operation of Europe's first dual fuel
250-kilowatt (kW) carbonate fuel cell power plant for Vattenfall/BeWag, a
Berlin-based utility. This unit will operate on natural gas, methanol from
organic waste/biomass generated from refuse of the city of Berlin, or a mix of
both fuels, the first of its kind in Europe.

"Unlike other fuel cells, the HotModule can be run with other hydrocarbon- based
fuels, such as biogas, sewage gas, landfill gas, industrial residue gases and
methanol as well as natural gas," said Michael Bode, CEO of MTU CFC Solutions.
"This presents us with completely new possibilities by converting this gas,
which normally goes to waste, or, at best, is used in thermal applications. This
offers a highly efficient possibility to utilize these gases to produce power."

Additionally, RWE Fuel Cells GmbH, stakeholder in MTU CFC Solutions, announced
on June 30, 2004, the signing of an agreement for the installation of a 250-kW
carbonate fuel cell power plant for a municipal wastewater treatment facility in
the City of Ahlen, Germany. This will be the first carbonate fuel cell to
operate on anaerobic digester gas in Europe.

FuelCell Energy delivered its first commercially available DFC300A power plant
in January 2003. Through mid-September 2004, over 48 million kilowatt hours of
electricity has been generated from power plants incorporating its DFC
technology at customer sites throughout the world.

About Direct FuelCells

Direct FuelCells efficiently generate clean electricity at distributed customer
locations, including hospitals, schools, universities, hotels and other
commercial and industrial facilities, as well as in grid-support applications
for utility customers. Direct FuelCells operate similar to large, continuously
operating batteries except they utilize a fuel to generate electricity, such as
natural gas or digester gas from wastewater treatment facilities. DFC power
plants are hydrogen generators, and because of this are ready today and do not
require the creation of a hydrogen infrastructure. This high-efficiency
technology generates more electric power from less fuel and with less carbon
dioxide emissions than traditional combustion methods. The sub-megawatt fuel
cell power plant is a collaborative effort using Direct FuelCell(R) technology
of FuelCell Energy and the Hot Module(R) balance of plant design of MTU CFC
Solutions, GmbH, a subsidiary of DaimlerChrysler.

About FuelCell Energy, Inc.

FuelCell Energy, Inc., based in Danbury, Connecticut, is a world leader in the
development and manufacture of high temperature hydrogen fuel cells for clean
electric power generation. The Company has developed commercial distribution
alliances for its carbonate Direct FuelCell products with MTU CFC Solutions in
Europe; Marubeni Corporation in Asia; Enbridge Inc. in Canada; Caterpillar, PPL
Energy Plus, Chevron Energy Solutions, Alliance Power and LOGANEnergy in the
U.S. FuelCell Energy developed its patented Direct FuelCell technology for
stationary power plants with the U.S. Department of Energy through its Office of
Fossil Energy's National Energy Technology Laboratory.

FuelCell Energy is also developing next generation high temperature fuel cell
products, such as a diesel fueled marine Ship Service Fuel Cell, a
combined-cycle DFC/Turbine(R) power plant and solid oxide fuel cells for
applications up to 100 kilowatts. More information is available at
http://www.fuelcellenergy.com.

About MTU CFC Solutions GmbH

The company MTU CFC Solutions, which has its registered offices in Ottobrunn
near Munich, Germany, was set up in January 2003 as a 100% subsidiary of MTU
Friedrichshafen GmbH. The company is the world's leading developer of fuel cells
for use in high-temperature fuel cell installations and currently employs about
85 people. MTU CFC Solutions is engaged in the design, development, testing and
construction of fuel cell facilities delivering 200 kilowatts up to roughly
three megawatts of power for the supply of decentralized energy through coupled
power-heat-(cold) co-generation. Since July 2003, RWE Fuel Cells GmbH, Essen,
has held a 25.1 % share in MTU CFC Solutions. More information is available at
http://www.mtu-friedrichshafen.com/cfc/en/cfcs/cfcs.htm.

About RWE Fuel Cells GmbH

RWE Fuel Cells, a wholly-owned subsidiary of RWE AG, Essen, Germany (one of the
largest enterprises in Europe and a leading international utility in the areas
of energy and water), works on the development and marketing of products and
services based on fuel cells as well as other small distributed energy plants,
such as micro gas turbines and Stirling engines. RWE Fuel Cells exclusively
focuses on stationary fuel cells for commercial, industrial and private uses. It
currently has a staff of 28 employees. More information is available at
http://www.rwe.com/generator.aspx/rwe-world/fuel-
cells/id=1838/fuel-cells-home.html.

This news release contains forward-looking statements, including statements
regarding the Company's plans and expectations regarding the development and
commercialization of its fuel cell technology. All forward- looking statements
are subject to risks and uncertainties that could cause actual results to differ
materially from those projected. Factors that could cause such a difference
include, without limitation, the risk that commercial field trials of the
Company's products will not occur when anticipated, general risks associated
with product development, manufacturing, changes in the utility regulatory
environment, potential volatility of energy prices, rapid technological change,
and competition, as well as other risks set forth in the Company's filings with
the Securities and Exchange Commission. The forward-looking statements contained
herein speak only as of the date of this press release. The Company expressly
disclaims any obligation or undertaking to release publicly any updates or
revisions to any such statement to reflect any change in the Company's
expectations or any change in events, conditions or circumstances on which any
such statement is based.

SOURCE FuelCell Energy, Inc.


CONTACT: Investor and Media - Steven P. Eschbach, CFA, FuelCell Energy

Inc., [phone], [e-mail]
(FCEL)

http://www.prnewswire.com

Copyright (C) 2004 PR Newswire. All rights reserved.

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KEYWORD: Connecticut
INDUSTRY KEYWORD: OIL

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