Trading Update

6 February 2013

Clean Air Power Limited

("Clean Air Power")

Trading Update

Clean Air Power (AIM:CAP), the developer and global leader in Dual-Fuel engine management software for heavy duty vehicles, is pleased to provide an update on trading for the year ended 31 December 2012 and on a very encouraging start to 2013.

Clean Air Power's preliminary full year results for 2012 will be issued on 4 April 2013 and are expected to be in-line with market expectations. Increasing interest in our European products amongst end users resulted in 300 system sales of our Dual-Fuel™ systems, a combination of both our own Genesis Edge product and sales to our European OEM partner. This compares with 70 system sales in 2011.

This momentum has continued into January 2013 with customers having already placed more than 100 new orders either with Clean Air Power or our European OEM partner for Dual-Fuel™ systems and is also reflected by increasing production levels by our European OEM partner. We have also delivered 20 of our Genesis-EDGE branded systems during the month, part of an order received in 2012.

John Pettitt, Chief Executive of Clean Air Power said: "Clean Air Power demonstrated strong results in 2012 with increasing demand in Europe for Dual-Fuel™ technologies translating into a significant increase in orders. The traction we are seeing in Europe is a success in its own right and also gives us great confidence we will deliver on the significant opportunity in the US where the availability and relatively low cost of natural gas is driving customer demand for natural gas vehicles. Our development programme for Genesis-EDGE for the US is underway with interest shown from a number of major fleet customers."

For further information, please contact:

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 65 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