DynaMotive Europe Ltd. Announces Acquisition of Border Biofuels Ltd.

Provides Access to Commercial Power Generation Contracts Under UK

Non Fossil Fuel Obligation



Revenues Guaranteed under NFFO Contracts could Exceed US$800,000,000

Over 15 Years



Apr 23, 2001, 01:00 ET from DynaMotive Technologies Corporation

    VANCOUVER, April 23 /PRNewswire/ - DynaMotive Technologies Corporation
 (OTCBB: DYMTF) announced today that it has acquired 75% of Border Biofuels
 Limited (BBL), a UK Green Power project development company with an option to
 acquire 100% of the company in a deferred stock transaction. Through the
 acquisition of BBL, DynaMotive has accessed 15 year power purchase contracts
 in the UK for the production of 60 MW of electricity. Projects are to be
 fuelled by BioOil. The contracts provide an option for, but not the obligation
 to provide power. Revenues provided for under the agreement could exceed
 US$800,000,000 over 15 years. The contracts provide an indexed and incentive-
 based guaranteed purchase price structure which DynaMotive believes will be
 profitable using its technology subject to the requirement for DynaMotive to
 secure significant project finance for necessary capital expenditures, local
 project permitting and securing reliable supplies of bio-feedstock.
     The transaction involved the assumption of debt by DynaMotive of pnds
 stlg 200,000 for which the Company provided guarantee to BBL's Bankers, the
 transfer of 75% of the shares in BBL for a nominal consideration of (pnds stlg
 1) and an agreement to acquire the balance of BBL's equity for pnds stlg
 800,000 in DynaMotive stock at the higher rate of $2.00 per share or the
 prevailing market price at the time BBL becomes profitable under UK General
 Accepted Accounting Principles (GAAP). Furthermore, as part of the
 transaction, BBL restructured its debt with its Bankers (pnds stlg 1,200,000).
 This debt will be repaid from profits generated by BBL.
     Commenting on the acquisition of BBL, Andrew Kingston, President and
 Chief Executive Officer of DynaMotive said, "BBL's capabilities and project
 portfolio puts DynaMotive at the forefront of power generation through the
 application of pyrolysis technology. The power purchase agreements provide
 substantive revenue potential under the UK Non Fossil Fuel Obligation Program
 and position DynaMotive as a key player in the European Green power generation
 market."
     Stephen Ives, DynaMotive's Chief Financial Officer, worked closely with
 Mr. Antony Robson, DynaMotive Europe's Managing Director in structuring this
 transaction. "I would like to extend on behalf of DynaMotive, my
 congratulations on achieving such a positive outcome for the Company and to
 welcome BBL's management to DynaMotive's Group of Companies."
     Mr. Antony Robson, DynaMotive Europe's Managing Director said, "Over the
 past year, DynaMotive has established significant relationships with engine
 manufacturers, energy utilities, engineering firms and Government
 organizations. This major acquisition of BBL yet further strengthens our ties
 in the UK to develop and create a significant market presence in the UK and
 our European target markets."
     Stephen Ives, DynaMotive's Chief Financial Officer commented "This
 acquisition marks a major milestone in DynaMotive's move towards
 commercialisation of its BioOil technology. It provides us with control over
 every aspect of a range of well advanced projects for the generation of
 electricity from renewable resources and a top quality project management team
 of proven ability. With the support of grants from the Department of Trade and
 Industry and our new partners, we are now able to demonstrate and prove our
 technology on a cost effective and low risk basis. In short, we have secured
 our route to commercial exploitation of our technology at a stroke, which is
 very exciting indeed."
 
     DynaMotive Technologies Corporation is an energy systems company that is
 a world leader in the development of technology to produce competitively
 priced BioOil liquid fuels from renewable and non-depleting biomass. As a
 clean fuel to replace natural gas, diesel and other fossil fuels to produce
 power and heat in industrial boilers, gas turbines and diesel engines, BioOil
 presents significant market opportunities that DynaMotive intends to exploit
 commercially. The Company and its partners are also engaged in research and
 development on a range of derivative products that, if successful, could
 potentially further enhance the market and value for BioOil as an alternative
 fuel and product source.
 
     Forward Looking Statement
     Statements in this news release concerning the company's business outlook
 or future economic performance; anticipated profitability, revenues, expenses,
 or other financial items; and statements concerning assumptions made or
 expectations as to any future events, conditions, performance or other
 matters, are "forward-looking statements" as that term is defined under the
 Federal Securities Laws.
     Forward-looking statements are subject to risks, uncertainties and other
 factors which could cause actual results to differ materially from those
 stored in such statements. Such risks, uncertainties and factors include, but
 are not limited to, changes and delays in product development plans and
 schedules, customer acceptance of new products, changes in pricing or other
 actions by competitors, patents owned by the Company and its competitors, and
 general economic conditions, as well as other risks detailed in the Company's
 filings with the Securities and Exchange Commission.
 
 

SOURCE DynaMotive Technologies Corporation
    VANCOUVER, April 23 /PRNewswire/ - DynaMotive Technologies Corporation
 (OTCBB: DYMTF) announced today that it has acquired 75% of Border Biofuels
 Limited (BBL), a UK Green Power project development company with an option to
 acquire 100% of the company in a deferred stock transaction. Through the
 acquisition of BBL, DynaMotive has accessed 15 year power purchase contracts
 in the UK for the production of 60 MW of electricity. Projects are to be
 fuelled by BioOil. The contracts provide an option for, but not the obligation
 to provide power. Revenues provided for under the agreement could exceed
 US$800,000,000 over 15 years. The contracts provide an indexed and incentive-
 based guaranteed purchase price structure which DynaMotive believes will be
 profitable using its technology subject to the requirement for DynaMotive to
 secure significant project finance for necessary capital expenditures, local
 project permitting and securing reliable supplies of bio-feedstock.
     The transaction involved the assumption of debt by DynaMotive of pnds
 stlg 200,000 for which the Company provided guarantee to BBL's Bankers, the
 transfer of 75% of the shares in BBL for a nominal consideration of (pnds stlg
 1) and an agreement to acquire the balance of BBL's equity for pnds stlg
 800,000 in DynaMotive stock at the higher rate of $2.00 per share or the
 prevailing market price at the time BBL becomes profitable under UK General
 Accepted Accounting Principles (GAAP). Furthermore, as part of the
 transaction, BBL restructured its debt with its Bankers (pnds stlg 1,200,000).
 This debt will be repaid from profits generated by BBL.
     Commenting on the acquisition of BBL, Andrew Kingston, President and
 Chief Executive Officer of DynaMotive said, "BBL's capabilities and project
 portfolio puts DynaMotive at the forefront of power generation through the
 application of pyrolysis technology. The power purchase agreements provide
 substantive revenue potential under the UK Non Fossil Fuel Obligation Program
 and position DynaMotive as a key player in the European Green power generation
 market."
     Stephen Ives, DynaMotive's Chief Financial Officer, worked closely with
 Mr. Antony Robson, DynaMotive Europe's Managing Director in structuring this
 transaction. "I would like to extend on behalf of DynaMotive, my
 congratulations on achieving such a positive outcome for the Company and to
 welcome BBL's management to DynaMotive's Group of Companies."
     Mr. Antony Robson, DynaMotive Europe's Managing Director said, "Over the
 past year, DynaMotive has established significant relationships with engine
 manufacturers, energy utilities, engineering firms and Government
 organizations. This major acquisition of BBL yet further strengthens our ties
 in the UK to develop and create a significant market presence in the UK and
 our European target markets."
     Stephen Ives, DynaMotive's Chief Financial Officer commented "This
 acquisition marks a major milestone in DynaMotive's move towards
 commercialisation of its BioOil technology. It provides us with control over
 every aspect of a range of well advanced projects for the generation of
 electricity from renewable resources and a top quality project management team
 of proven ability. With the support of grants from the Department of Trade and
 Industry and our new partners, we are now able to demonstrate and prove our
 technology on a cost effective and low risk basis. In short, we have secured
 our route to commercial exploitation of our technology at a stroke, which is
 very exciting indeed."
 
     DynaMotive Technologies Corporation is an energy systems company that is
 a world leader in the development of technology to produce competitively
 priced BioOil liquid fuels from renewable and non-depleting biomass. As a
 clean fuel to replace natural gas, diesel and other fossil fuels to produce
 power and heat in industrial boilers, gas turbines and diesel engines, BioOil
 presents significant market opportunities that DynaMotive intends to exploit
 commercially. The Company and its partners are also engaged in research and
 development on a range of derivative products that, if successful, could
 potentially further enhance the market and value for BioOil as an alternative
 fuel and product source.
 
     Forward Looking Statement
     Statements in this news release concerning the company's business outlook
 or future economic performance; anticipated profitability, revenues, expenses,
 or other financial items; and statements concerning assumptions made or
 expectations as to any future events, conditions, performance or other
 matters, are "forward-looking statements" as that term is defined under the
 Federal Securities Laws.
     Forward-looking statements are subject to risks, uncertainties and other
 factors which could cause actual results to differ materially from those
 stored in such statements. Such risks, uncertainties and factors include, but
 are not limited to, changes and delays in product development plans and
 schedules, customer acceptance of new products, changes in pricing or other
 actions by competitors, patents owned by the Company and its competitors, and
 general economic conditions, as well as other risks detailed in the Company's
 filings with the Securities and Exchange Commission.
 
 SOURCE DynaMotive Technologies Corporation