Hydrogenics announces big cash infusion from Government

Hydrogenics Corporation, a leading developer and manufacturer of hydrogen generation and fuel cell products, announced today that it has signed a term sheet with the Ontario Government that will realize up to CA$6.0 million to advance the company's commercialization of products for the telecommunications, vehicle and utility-scale energy storage markets.

The agreement through Ontario's Strategic Investment Fund represents 100 new and retained jobs in Ontario in support of the Province's emerging status as a world leader in clean energy innovation. Sandra Pupatello, Ontario Minister of Economic Development and Trade, joined Hydrogenics President and CEO Daryl Wilson to make the announcement at Hydrogenics' headquarters in Mississauga.

The new financial support, in the form of an interest-free loan, will enable Hydrogenics to scale up its manufacturing and expand its research and development activities, solidifying the company's path toward full commercial profitability. Hydrogenics has refined its product line-up to a level where it is now well positioned with competitive back-up power solutions for telecommunications, zero emission transportation products focused on early adopter markets and electrolyzer products for energy storage in the power utility market. Each of these areas will benefit from the Ontario Government funding.

"Developing and marketing innovative, clean technologies that reduce the carbon footprint is one of Ontario's strengths, and a testimony of our growing impact in the global marketplace. Hydrogenics' achievements will help ensure that Ontario remains at the forefront of hydrogen power research," said Sandra Pupatello, Ontario Minister of Economic Development and Trade.

"Today's announcement reconfirms the Ontario Government's strong commitment to creating jobs in Ontario and supporting clean energy innovation," said Daryl Wilson, Hydrogenics President and CEO. "Through development and commercialization of fuel cell and electrolyser technologies, we look forward to working together with this government for a strong, resilient Ontario."

The funding term sheet is subject to various conditions, including completion of a definitive agreement by October 7, 2011. No assurances can be provided that Hydrogenics will satisfy the conditions included in the term sheet.

About Hydrogenics

Hydrogenics Corporation (www.hydrogenics.com) is a globally recognized developer and provider of hydrogen generation and fuel cell products and services, serving the growing industrial and clean energy markets of today and tomorrow. Based in Mississauga, Ontario, Canada, Hydrogenics has operations in North America and Europe.