HyPower Fuel First Acquisition Draws Closer

   HyPower Fuel Inc. (PINK SHEETS: HYPF)

HyPower hereby provides an update into the status of its negotiations to purchase two companies. Mr. Douglas Bender, CEO of HyPower, commented that "we have reached an Agreement in Principle on the Purchase Formula for the purchase of all or some of the first acquisition Target Company (TC). TC's principals have been updating their business plans and projections with the help of HyPower consultants. The purchase price is driven by both actual and future results and we are impressed by the drive and energy TC has exhibited to succeed and maximize its returns."

Mr. Bender went on further to comment on TC by saying that "we will be providing details as to TC and its revenue projections in the near future and are confident that this acquisition will generate large revenues and cash flow for HyPower in the years ahead."

Mr. Bender also commented that "the second acquisition is also proceeding well at this time and it truly is a Game Changer."

About HyPower Fuel Inc.

HyPower is a category leading company in the energy technology sector, providing innovative, clean alternative energies through unique methods. Currently HyPower has hydrogen insertion/production and biodiesel technologies in development and/or in the product commercialization stage. For more information please visit: www.hypowerfuel.com and/or contact us at: [e-mail]

Safe Harbor - This press release shall not constitute an offer to sell or a solicitation of an offer to buy securities of HyPower Fuel Inc. Certain statements in this release and other written or oral statements made by or on behalf of the Company are "forward looking statements" within the meaning of the federal securities laws. Statements regarding future events and developments and our future performance, as well as management's expectations, beliefs, plans, estimates or projections relating to the future are forward-looking statements within the meaning of these laws. The actual results achieved may differ materially from any forward-looking statements due to these risks and uncertainties. These statements are based on our current expectations and speak only as of the date of such statements.

Contacts: Newstrack Communications [phone] [e-mail] www.hypowerfuel.com