Date: Wednesday, November 02, 2005 @ 23:00:36 GMT
Topic: Investors

Plug-in hybrid electric vehicles are currently attracting a great deal of attention. Modified Toyota Prius automobiles often exceed 100 mpg. Some reach 150 mpg. City and town driving is done using electric power. These cars need refueling with gasoline only when driving long distances. Hybrids such as the Prius are popular. Moving toward substituting a Magnetic Power Module™, for the need to plug-in, can be viewed as a logical next step.

A NASA news release (3-30-05) states: “zero point energy,” a potentially bottomless sea of invisible, ultra-powerful energy…in the vacuum of space. Work involving the science and technology relating to this new energy source has surfaced in Germany, India, Japan, the U.K., Switzerland and Russia, as well as the United States. Our company, Sebastopol, California, based Magnetic Power Inc. (MPI), is one of several developing technology that converts Zero Point Energy (ZPE) to electricity. NASA data suggests that ZPE can provide far more than 20 times the energy available from solar energy, at any point on earth, 24/7. ZPE is an unlimited, renewable, as yet largely unrecognized, potential source of electric power.

A 1 Kw Magnetic Power Module, such as MPI is developing as an early product, could eliminate the need to plug-in a rechargeable hybrid. This would provide all the advantages without the need to plug-in to the utility grid. The result will be the first step toward driving automobiles, trucks and busses, without any need for gas or oil.

Based on current progress in our laboratories, a 1 Kw pre-production prototype for a car could be completed by the end of 2006. In a hybrid Prius, this would become the first example of the use of this little known, potential source of electricity in an automotive power system. Perhaps 50 miles of driving would be fuel-free, with no need to plug-in.

The next step will be to replace the engine in a hybrid, such as the Prius, with a more powerful Magnetic Power Module, perhaps capable of producing 50 kW. If development is accomplished using three shifts of engineers and technicians, with work continuing around the clock, this can be expected to produce a pre-manufacturing prototype in 2007.

Now we have a totally electric, pollution free vehicle, requiring no plug-in recharge, with performance matching that which was possible when gasoline was employed as a fuel.

The obvious final step is production of higher power modules to replace the need for any engine, in any vehicle. This revolutionary possibility is now in sight. Prototypes should be on the road in 2008. By 2010, auto manufacturers could have these remarkable, fuel-free, systems in production worldwide.

The implications are obvious.

Mark Goldes

Chairman & CEO

707 829-9391

© 2005 Magnetic Power Inc. All rights reserved.

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