Significant New Order

26 July 2010

Clean Air Power Ltd

("CAP" or the "Company")

Significant New Order

Clean Air Power (AIM: CAP), the developer of Dual-Fuel combustion technology that enables heavy-duty diesel engines to operate on a combination of diesel and natural gas, is delighted to announce that the Company's Houston facility has received a significant catalytic converter order from its customer Emissions Solutions Inc.("ESI").

The order is worth $356,250 and is the second such order from ESI, the first was received in April 2010 for $215,000.

ESI will use these catalysts on their 7.6L Natural Gas Engines to control Nitrogen Oxide ("NOx"), Carbon Monoxide and Hydrocarbons. Combined with the CAP DeNOx catalysts, the ESI engines will deliver sub EPA '10 emission levels for their truck and bus operating customers. EPA '10 requires near-zero emissions of particulates and NOx.

The relationship between CAP and ESI has resulted in a design specifically for ESI's engine technology. Until now the Company has produced catalytic converters only for the static power generation market. ESI's existing and forecasted order book is anticipated to result in continued orders and customer acceptance of the 7.6L engine has prompted ESI to consider additional engine models for future development.

Commenting on the announcement, John Pettitt, CEO of Clean Air Power said:

"We are very excited to have developed this significant customer in such a short time. This takes us for the first time into a potentially very significant market supplying the truck and bus industry."

Vickie Yohe, Chief Operating Officer of ESI further commented:

"Clean Air Power was able to respond to us with precisely what we needed and met our unique technical and business requirements allowing us to meet our customer's needs in a timely manner".

For further information please contact:

Clean Air Power +44 (0)1772 624499

John Pettitt, Chief Executive

Peter Rowse, Finance Director

Charles Stanley Securities +44 (0)20 7149 6000

Nominated Adviser

Russell Cook

Carl Holmes

Buchanan Communications +44 (0)20 7466 5000

Charles Ryland

Ben Romney

Notes to Editors

About Clean Air Power

Clean Air Power is the developer and provider of Dual-Fuel™ combustion technology for heavy duty diesel engines. Dual-Fuel™ engines substantially cut fuel costs and carbon emissions without sacrificing the original engine's characteristic efficiency or reliability. Clean Air Power is well positioned to assist corporations and governments to deliver on their environmental commitments while at the same time reducing transport operators overheads.

Initially founded in the USA in 1991, around £40m has been invested in developing the technology with the result that 63 patents are currently held or pending. The holding company of the Group is based in Bermuda with operational subsidiaries in the UK, the USA and Australia. The Group was admitted to the AIM market of the London Stock Exchange in February 2006.

Further information on Clean Air Power is available at www.cleanairpower.com