Update on European OEM Product Launch

For immediate release 15 September 2011

Clean Air Power Ltd

("Clean Air Power" or "the Company")

Update on European OEM Product Launch

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, announces that there has been a temporary delay to the full scale production of the European OEM product which integrates Clean Air Power's Dual-Fuel™ technology within its engine.

The delay to the start of these sales together with lower than expected revenues for the Genesis Dual-Fuel™ products, emission and components business over the summer months means that the Company is trading below market expectations for the full year to 31 December 2011.

The interim results for the six months ending 30 June 2011 will be announced on 30 September 2011.

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

"We fully expect to get factory production back on track during this year so that we can reduce impact to the business. We have a very strong working relationship with our customer and together we are making every effort to resolve these short term issues as soon as possible. We have seen strong demand for our Dual-Fuel™ systems but concluding orders is taking longer than anticipated"

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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.