Langford Inc. to Equip Entire Fleet With Hy-Drive Technologies' Clean Burn Technology

Courtesy Sarah Van Lange

Mississauga, Ontario – September 5, 2006 – September 5, 2006 - Hy-Drive Technologies Ltd. (TSX-V:HGS), a leading provider of on-vehicle, hydrogen generating systems (HGS) announced today that Langford, Inc. of St. Cloud, Minnesota will install the proprietary and patented Hy-Drive system throughout its entire fleet. Langford has been conducting a series of over-the-road test programs using the Hy-Drive HGS for the past several months on selected trucks. The Company has been studying the proposed benefits using PeopleNet's on-board web-based performance monitoring system. Minneapolis based, PeopleNet is one of North America's most innovative and reliable provider of Internet-based and integrated onboard computing and mobile communications systems. Its technology allowed Langford, a long time user of the PeopleNet tracking system, the ability to analyze the performance of trucks equipped with the Hy-Drive HGS in order to verify the increased fuel efficiency, increased horsepower and reduction in greenhouse gas emissions.

"The proof is in the pudding," said Greg Langford, founder and president of the company, after reviewing the results of several months of testing the system. "One of our owner-operators has achieved an increase of more than a mile-per-gallon in fuel economy. We're getting better engine performance. But most importantly, we're cleaning up the environment."

"We are delighted that Langford, Inc. has become the first fleet using the PeopleNet tracking system to recognize the advantages of our technology and incorporate our units throughout their entire fleet," says Tom Brown, President and CEO of Hy-Drive. "We have more than 130 North American fleets that are currently evaluating our technology and we are confident that Langford represents the first of many companies that will become believers once they see the performance in real-world applications. The facts speak for themselves."

A former owner-operator, Langford and his wife, Joyce, established Langford Inc. in 1986. Using both company drivers and owner-operators, Langford excels in a competitive industry by specializing in hauling pre-fabricated high-end customized building products consisting of long-haul, multi-stop truckload and LTL shipments. Primary customers include Four Seasons Sunrooms and California Closet Co.

Langford's fascination with enhancing combustion with hydrogen dates back to 1984 when he tested a similar system for eight months. "It was primitive to say the least," he recalled. "Even with fuel at 85 cents per gallon, I could see the benefit. When fuel prices started climbing, I again started looking to what I'd learned about the benefits of hydrogen."

What he found was that under the innovative leadership of Hy-Drive, hydrogen enhanced combustion had come a long way. "Hy-Drive had developed a robust, reliable system that stood up to the rigors of the trucking environment," he said. "The more I looked, the more I liked. I liked the idea that they were publicly traded. I liked that they stood behind their product. I liked the fact that they were constantly looking to improve their products and not afraid to make mistakes. They have experience and know-how."

Langford cites the experience of his first two units - one on a company truck and one on an owner-operator's rig. "When we put it on our owner-operator's unit, mileage went through the roof," he said. "On the company unit, which was a 2005 Volvo, we knew we were getting a little more power and reduced emissions, but we weren't getting as great a difference in fuel economy as that of our owner-operator. Hy-Drive worked with us in optimizing the installation for fuel efficiency. We saw the improvement instantly and the rest is history."

After nearly four months of results, Langford's fuel economy has climbed to more than 7 miles per gallon in the units running the Hy-Drive system. That translates into a savings of $700 US a month, enough to pay for the system in
15 months.

For his owner-operators, Langford has set up a special $400 a month lease-purchase agreement to acquire the Hy-Drive system. In addition, he talks to both company drivers and owner-operators about fuel economy and how the Hy-Drive system can put more money in their pockets while cleaning up the air.

"We're creating a subculture," he says. "I'm a believer in getting off our dependence on foreign oil but more importantly, we have to leave a legacy for our kids and our neighbors and that's a cleaner environment."

In previous extensive customer trials and tests, the Hy-Drive system has demonstrated significant performance enhancements, including reduced emissions, increased torque/horsepower, fuel savings and extended engine life. These benefits, specifically fuel economy and reduced emissions, provide fleets with greater productivity overall, as their engines operate more efficiently, with improved cycle times and less carbon build-up.

About Hy-Drive
Hy-Drive is an energy technology firm that has developed a proprietary, patented hydrogen generating system. The Hy-Drive system generates and injects hydrogen gas into a regular internal combustion engine, enhancing the combustion process by allowing fuel to burn more efficiently and completely. In previous extensive customer trials and tests, the Hy-Drive system has demonstrated significant performance enhancements, including reduced emissions, increased torque/horsepower, fuel savings and extended engine life. These benefits, specifically fuel economy and reduced emissions provide customers with greater productivity overall, as their engines operate more efficiently, with improved cycle times and less carbon build-up. For further information, visit www.hy-drive.com.