Hybrid Energy Boosts Income Projections and Asset Valuation of Heavy Oil LOI

  Hybrid Energy Holdings, Inc. (PINKSHEETS: HYBE) announced today that is has revised upwards the income potential and market valuation of the Heavy Oil Extraction technologies to be acquired from Visalo Energy.

The Heavy Oil Industry, currently at $155 billion per year business, is set for substantial increases based on dwindling supply and increased demand. The recent Deep Water drilling ban is further putting pressure on the demand for Heavy Oil Extraction solutions.

Worldwide, the Heavy Oil industry is a $155 billion-a-year business, and is expected to continue growing as oil demand increases and supplies dwindle.

There is 300 years worth of heavy oil at the current rate of consumption and 60% of the US oil reserves is Heavy Oil, just waiting to be extracted. The known US Heavy Oil reserves are estimated to be 100 - 180 billion barrels. Refineries from all around the world are retooling their facilities towards heavy oil refining.

Visalo's technology is a unique proprietary production and extraction method that dramatically increases recovery rates to 90% or higher at substantially lower entry costs in the heavy oil production industry. The Company believes its Heavy Oil Extraction technology will set the standard in a market with no clear cut extraction/production standard.

The Company believes Heavy Oil is an up and coming energy resource aggressively being sought as the world's energy demand increases. As technology continues to improve, this once costly energy source is quickly becoming a more viable alternative.

The Company earns revenues from the extraction and recovery of 'heavy oil' reserves from existing wells not in active production. The Company licenses the technology to joint venture recovery projects. Additionally, the technology and processes will dramatically increase the production potential and market valuation of the Company's current gas and oil production assets.

The LOI calls for the Company to acquire the technology asset and International Licensing rights for distribution and operations, as well as to Joint Venture with Visalo Energy Inc. regarding further technological development. The company will locate oil properties for joint venture production arrangements.

This Heavy Oil Extraction acquisition, together with the Solar Energy Acquisition and Development Project and the addition of technologies to increase the Company's production efficiencies and profitability, have increased the Company's revenue projections and shareholder value.

The Company is completing due diligence process and anticipates closing the transaction on or before October 15, 2010. Shareholders can expect timely updates as the company completes its due diligence and integrates these technologies and operations into its expanding portfolio of Oil & Gas producing properties, New Energy technologies, Intellectual Property assets, and operations in the Clean Energy, Energy Smart Technologies and Carbon Capture & Storage sectors of the Energy Sector.

The Company's foundation-building Phase I strategic plan called for traditional and proven fuel production acquisitions to establish revenues and assets. Building on its success, the Company launched Phase II of its growth strategy and began its transition to alternative and renewable energy and technology revenue models. the Company intends to diversify its holdings into forward thinking energy production and technology and divest its direct operation of production fields and focus instead on licensing, joint-ventures and distribution.

The company's New Energy Initiative calls for the aggressive investment in, and acquisition and development of nascent 'New Energy' technologies, Intellectual Property assets, and operations in the Clean Energy, Energy Smart Technologies and Carbon Capture & Storage sectors of the Energy Sector.

The company is assessing the acquisition of several new assets, operations and technologies and encourages further technology submittals and developmental joint ventures through the Merger & Acquisition portal at www.HybridEnergyHoldings.com

About Hybrid Energy Holdings

Hybrid Energy Holdings (HEH) acquires and operates profitable energy companies with strong historical cash-flow and sustainable profitability. The Company acquires sector-specific technology and assets as part of its Phase II Clean Energy Initiative. HEH's prior foundation building acquisitions focused primarily on traditional and proven fuel production has transitioned its growth strategy to adding the latest in energy conservation, reclamation, and power co-generation technologies. HEH may acquire nascent energy technology or rights as portfolio enhancing assets. HEH's primary business strategy is the acquisition of diverse, profitable energy related assets that provide synergistic profits and revenue enhancements across all portfolio companies.

HEH believes its combination of profitability and mitigated-risk funding structures provides long-term shareholder equity appreciation.

The company maintains its web site at: www.HybridEnergyHoldings.com

Safe-Harbor Statement

This release contains statements or projections regarding future performance that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties. The company's filings contain various RISK FACTORS (and are incorporated on the Company's website "Investors" section by reference) and should be read before any investment decision.

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