Hydrogenics Delivers Fuel Cell Backup Power Generator

MISSISSAUGA, Ontario, Feb 16, 2006 (BUSINESS WIRE) -- Product Meets Telecom's Increasing Requirement for Extended Run Backup Power

Hydrogenics Corporation (TSX:HYG)(NASDAQ:HYGS), a leading designer and manufacturer of hydrogen and fuel cell systems, today announced the successful delivery and commissioning of a hydrogen fuel cell backup power generator at a Bell Canada telecommunication site in Burlington, Ontario.

The backup power generator, developed in collaboration with Emerson Network Power, a business of Emerson (NYSE:EMR), uses Hydrogenics' 8 kW HyPM(R) XR fuel cell power module. This project, announced in 2005 as part of Toronto's Hydrogen Village initiative, was made possible through an investment from the Government of Canada's 'Hydrogen Early Adopters' program (h2EA).

"Our fuel cell power offerings, all based on Hydrogenics' reliable and versatile HyPM(R) fuel cell power module, are creating strong value propositions to backup power users," said Pierre Rivard, President and Chief Executive Officer of Hydrogenics. "This applies to both DC power markets, such as telecommunications, and AC power markets, such as critical data centers. With competitive attributes that include scalable power range, compactness and hybrid architecture, our backup power products give us confidence that Hydrogenics will attract an increasing number of early-adopting customers in these markets."

Until now telecommunication providers have been forced to rely on a cumbersome combination of batteries and diesel generators for their backup power. A hydrogen fuel cell powered backup power system provides the industry with a new option to ensure power reliability. Because the fuel cell generator runs as long as there is hydrogen fuel available, when extended backup power is specified, all that is required is more hydrogen storage. This scalability also applies to the fuel cell component itself, a second power module can easily be added to the system to double the power output.

As disclosed previously, Hydrogenics has also been contracted to supply a similar DC backup power system to a leading U.S. telecommunications carrier for a pilot project. This telecom unit is scheduled for delivery later this quarter.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

This release contains forward-looking statements within the meaning of the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Law of 1995. These statements are based on management's current expectations and actual results may differ from these forward-looking statements due to numerous factors, including changes in the competitive environment adversely affecting the products, markets, revenues or margins of Hydrogenics' business. Readers should not place undue reliance on Hydrogenics' forward-looking statements. Investors are encouraged to review the section captioned "Risk Factors" in Hydrogenics' regulatory filings with the Canadian securities regulatory authorities and the United States Securities and Exchange Commission for a more complete discussion of factors that could affect Hydrogenics' future performance. Furthermore, the forward-looking statements contained herein are made as of the date of this release, and Hydrogenics undertakes no obligations to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release. The forward-looking statements contained in this release are expressly qualified by this.

Hydrogenics Corporation (TSX:HYG) (NASDAQ:HYGS)

SOURCE: Hydrogenics Corporation

CONTACT: Hydrogenics Corporation Investor Contact: Lawrence Davis Chief Financial Officer +1 (905) 361-3633 investors@hydrogenics.com OR Hydrogenics Corporation Media Contact: Jane Dalziel +1 (905) 361-3639 media@hydrogenics.com OR Hydrogenics Power Systems Business Contact: Jonathan Dogterom +1 (905) 361-4584 jdogterom@hydrogenics.com

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