Hybrid Energy to Acquire Breakthrough Heavy Oil Extraction Technology: 60% of US Oil Reserves Heavy Oil Waiting to Be Extracted

  Hybrid Energy Holdings, Inc. (PINKSHEETS: HYBE) announced today the signing of a Letter of Intent (LOI) with Visalo Energy, Inc. to acquire their Heavy Oil Extraction Technology, paving the way to enter the expanding $155 billion per year Heavy Oil Industry.

The LOI calls for the Company to acquire the Intellectual Property (IP) asset, the International Licensing rights for distribution and operations; as well as to Joint Venture with Visalo Energy Inc. regarding further technological development. The company will also initiate sales and marketing efforts to locate oil producing properties for joint venture production arrangements.

The 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, will increase the Company's revenue and shareholder value.

The Company has commenced its due diligence process and anticipates a closing of this 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 both Oil & Gas producing properties and New Energy technologies, Intellectual Property assets, and operations in the Clean Energy, Energy Smart Technologies and Carbon Capture & Storage sectors.

The Company initially plans to focus its initiative on the extraction and profitable recovery of 'heavy oil' reserves from existing wells not in active production.

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.

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.

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'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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