Ballard Power Systems Inc. announced today that DaimlerChrysler demonstrated a Ballard Direct Methanol Fuel Cell (DMFC) prototype at DaimlerChrysler’s Innovation Symposium in Stuttgart, Germany. The fuel cell was used to power a small one-person demonstration vehicle. DMFC is proton exchange membrane (PEM) fuel cell technology that permits the use of methanol as fuel without requiring a fuel processor to extract hydrogen from the methanol.

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"Ballard is leading in the development of all aspects of proton exchange
membrane fuel cell technology, including direct methanol fuel cells," said
Dr. Alfred Steck, Ballard’s Vice-President and Chief Technology Officer. "We
are now beginning to refine direct methanol technology for use outside the laboratory
in applications ranging from portable and stationary power to transportation.
With this demonstration, Ballard has achieved another one of its stated goals
for 2000."

The three-kilowatt system is the result of an ongoing collaboration between
the research groups of DaimlerChrysler and Ballard.

This demonstration follows DaimlerChrysler’s public unveiling on November 7,
2000 of the NECAR 5 prototype automobile in Berlin, Germany. The NECAR 5 utilizes
methanol as a fuel with an advanced fuel processor and system developed by XCELLSIS
GmbH to supply hydrogen to a Ballard Mark 900 fuel cell. The fuel cell powers
a Mercedes A Class automobile, with five passengers and their luggage, to over
90 miles per hour (150 km/h). XCELLSIS is a jointly held company of DaimlerChrysler,
Ford and Ballard.

Ballard Power Systems is recognized as the world leader in developing, manufacturing
and marketing zero-emission proton exchange membrane fuel cells for use in transportation,
electricity generation and portable power products. Ballard Power Systems’ proprietary

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fuel cell technology is enabling automobile, electrical equipment and portable
power product manufacturers to develop environmentally clean products for sale.
The fundamental component of these end-user products is the Ballard(R)fuel cell
that combines hydrogen (which can be obtained from methanol, natural gas or
petroleum) and oxygen (from air) without combustion to generate electricity.
Ballard is partnering with strong, world-leading companies, including DaimlerChrysler,
Ford, GPU International, Alstom and Ebara, to commercialize Ballard fuel cells.
Ballard has also supplied fuel cells to Honda, Nissan, Volkswagen, Yamaha, Cinergy,
Coleman Powermate and Matsushita Electric Works, among others.

Ballard’s Common shares are listed on The Toronto Stock Exchange under the
trading symbol "BLD" and on the Nasdaq National Market System under
the symbol "BLDP". Ballard and the Ballard logo are registered trademarks
of Ballard Power Systems Inc.